Provincial legislation passed Wednesday places a limit on amounts of money that can be held within side accounts associated with life insurance contracts.

The Insurance Amendment Act limits deposits made into side accounts which provides protection to both insurers and consumers. Justice Minister and Attorney General Gordon Wyant says life insurance providers are not banks and should not be made to provide services that banks do. A March, 2021, Saskatchewan Court of Appeal decision says the limit must apply to all existing life insurance contracts on a retrospective basis.