Glossary: R

Ratio withdrawal plan – A type of mutual fund withdrawal plan that provides investors with an income based on a percentage of the value of units held.

Referral – within many managed care plans, transfer to specialty physician or specialty care by a primary care physician.

Registered Education Savings Plan (RESP) – A plan that enables a contributor, on a tax deferral basis, to accumulate assets on behalf of a beneficiary to pay for a post secondary education.

Registered Retirement Income Fund (RRIF) – A maturity option available for RRSP assets to provide a stream of income at retirement.

Registered Retirement Savings Plan (RRSP) – A retirement savings plan to hold amounts deducted from taxable income, within certain limits, in a tax deferred state. There are various investment options and a tax deferral on investment income and gains. Available to individuals to and including 69 years of age, but must be collapsed by the end of the year in which the holder turns 69 years of age.

Renewable Term Insurance – Term insurance which can be renewed at the end of the term, at the option of the policyowner and without evidence of insurability, for a limited number of successive terms. The rates generally increase at each renewal as the age of the insured increases.

Retained earnings – The accumulated profits of a company. These may or may not be reinvested in the business.

Rider – a modification to a Certificate of Insurance regarding clauses and provisions of a policy. A rider usually adds or excludes coverage.

Risk – The possibility of loss; the uncertainty of future returns.