5 Best Life Insurance in Canada 2020 – Life insurance is very important, and that’s why we collect data sources and reviews from people who use insurance services from different service providers.
This way, you can rest easy and know you have the best life insurance in Canada to suit your needs. We even have recommendations for specific buyers, including:
Life insurance for couples in Canada
Best individual life insurance in Canada
The best bank-owned life insurance
Best life insurance for smokers
Options for high-risk life insurance for people with health care
News : COVID-19 update: Amid the coronavirus pandemic, life insurance companies in Canada are still accepting new applications. For the latest information on how life insurance companies are managing COVID-19.
Permanent Life Insurance
Permanent life insurance pays out a benefit to your beneficiaries no matter when you die (hence why it is called permanent insurance). Permanent life insurance comes in a couple of different forms, including whole life, universal, or variable life insurance.
Permanent life insurance policies are much more expensive than term life insurance policies because the policy also acts as an investment account.
Your premiums are designed to build cash value over your life. But don’t be fooled – this is NOT a cost-free financial investment, and it turns out to be much more expensive and inflexible than other ways of investing.
Permanent life insurance policies tend to be less straightforward than term insurance. You’ll want to understand all the fine print and details before buying this kind of policy. For example, be sure to know the terms of the cash value component. Every permanent life policy has a guaranteed interest rate so you should understand how these differ by company.
Top 5 Companies for the Best Life Insurance in Canada
1. Canada Protection Plan
Canada Protection Plan is a leading provider of No Medical & Simplified Issue Life Insurance in Canada. That means that they do not require the extensive medical telephone exams needed with the other insurers in Canada. Compare Canada Protection Plan life insurance quotes today.
Shopping for a life insurance policy can be especially intimidating for anyone recently diagnosed with a severe health condition such as a heart attack, cancer, or a stroke – you may need high risk life insurance, from the perspective of your provider.
Simplified issue or guaranteed issue products are life insurance products that do not require medical exams (or sometimes even medical questions) to qualify.
The trade-off is that the policies are much more expensive than traditional term life insurance and usually cap you on the total amount of coverage you can buy. But if you are unable to purchase regular term insurance, a simplified issue or guaranteed issue life insurance policy could be an excellent way to get some life insurance coverage and a small death benefit for your family.
Not for Everyone: The Canada Protection Plan offers many options for elderly customers and those who haven’t been able to get insurance in the past.
No Medical Required: Canada Protection Plan application requires no fluids, no doctor’s note, and no medical examination.
Quick Approval Time: Given there are no fluids or medical tests, the Canada Protection Plan has some of the fastest approval times in the industry. Often, customers will be approved in just 48 hours!
If you are young and healthy, this may not be the right insurance provider for you.
2. Manulife Financial
Manulife is one of the largest insurers in Canada, and has more than 30 million customers worldwide.
It is one of the oldest insurance companies and was founded in 1887.
Manulife offers a wide range of life and health insurance products as well as life insurance plans for groups (families, organizations, companies and more). Many customers can recognize the brand if they have some health coverage through work!
Manulife’s Combined Family Term life insurance policy acts like a family policy that covers you and your spouse. It operates like having two separate policies (2 separate death benefits will be paid) but there is a discount on the policy to combine them into one.
The advantage you’ll get is that this insurance company actually offers discounts when you’re with your partner!
This discount on life insurance for couples can be obtained anywhere from $3-5 per month (as insurers only charge what they call “single policy fees” on combined policies).
Manulife adds an additional 3% savings when you choose the same amount of coverage and policy length for you and your partner. They are the only ones in the industry to offer an additional 3% savings.
Low Cost: Usually the most affordable option for couples applying together
Faster Approval Time: Manulife has a faster than average turnaround time. In 2017, Manulife launched an accelerated underwriting program for its term and permanent life insurance products. This means they offer fluidless medical underwriting (no blood or urine tests) for over 75% of applicants.
Easy Access to Policy Documents Through eDelivery: Quick delivery of your policy documents right to your inbox
If you want to get an extra discount, you should invite someone to apply for this insurance form.
3. Industrial Alliance
iA Financial Group is one of the largest insurance and wealth management groups in Canada, with operations in the United States. And Founded in 1892.
If you’re trying to find life insurance for smokers, the Industry Alliance may be the right company for you! On average, those prices are more competitive for smokers than other life insurance companies we compare.
If you smoke tobacco, or even vape, you’ll probably pay more for other life insurance.
Why? As you probably know, smoking puts you at a higher risk of developing health problems later in life.
And as a result, smoking puts you into a higher risk category in the eyes of your life insurance company.
The rate of smokers / tobacco can reach 2x to 3x more than the level of non-smokers / non-tobacco. The good news is that iA tends to have the best rates for smokers in the industry.
Average pricing: Industrial Alliance prices are in line with the rest of the market. However, they do have above average pricing for select customer characteristics (smokers, under 40, and female).
Lots of Flexibility: Industrial Alliance’s Pick-A-Term life insurance product stands out from other coverage on the market by allowing applicants to choose their policy length with anything from 10 to 40 years
4. Wawanesa Life Insurance
Wawanesa is one of the oldest insurance companies in Canada, founded in 1896 in Wawanesa, Manitoba.
Now its headquarters are in Manitoba; however, it is licensed in all provinces throughout Canada.
Wawanesa Life is rated by A.M. Best as part of the entire Wawanesa organization. Wawanesa Life and its parent company, Wawanesa Mutual Insurance Company are both rated A (Excellent).
Wawanesa’s long-term products offer plenty of options for anyone who signs up. Their plan consists of 10, 15, 20, 25 and 30 years long policies.
They also offer some of the best prices on the market, and most applicants will find that Wawanesa is finally the most affordable option for their needs!
Low Cost: Wawanesa’s life insurance products are generally some of the most affordable products on the market for all age groups!
Lots of Flexibility: Applicants are limited to just 2 or 3 policy lengths. With Wawanesa, applicants can apply for 10, 15, 20, 25 or 30-year policy lengths.
Easy Policy Laddering: Think you can benefit from a personalized ladder policy with multiple coverages at different policy lengths? With their large number of policy lengths to select from, Wawanesa might be the insurer for you.
5. BMO Insurance
BMO Insurance is a member of BMO Financial Group, one of the largest banks in Canada that was founded in 1817. A.M. Best Company gives BMO a Financial Strength Insurer Rating of A, making them an excellent choice.
With competitive pricing and a range of policy options, BMO is a good potential option for life insurance shoppers who want bank owned life insurance. Cost tends to be one of the most important factors in choosing a life insurance company and BMO has some of the most competitive costs in the industry. However, BMO does fall short in the length of time it takes to get approved. On average, shoppers will have to wait 4-6 weeks before they get an approval on their policies which is a deal-breaker for some!
Low Cost: BMO has some of the most competitive costs in the industry
Long Application Process: BMO requires enhanced medical requirements for customers looking to buy non-face-to-face, making for a longer than usual time to get approved.
No eDelivery: Getting your life insurance policy will take some time as BMO will need to print and deliver the paperwork for you vs. sending the documents electronically.