RRSPs vs Universal Life

RRSPs and universal life insurance both offer tax deferred investment growth. How else do they compare?

Item RRSP Universal Life
Are my contributions tax-deductible? Yes No
Is my investment growth tax-free? Yes Yes
Can I switch investments tax-free? Yes Yes
Can I switch providers tax-free? Yes No (tax on gain)
Is there a tax-free estate value? No (deemed disposition) Yes
Are my deposits unlimited? No (contribution limits) Yes
Am I free of withdrawal requirements? No (mandated minimums) Yes

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