Choosing the right term life insurance policy is crucial to ensure financial security for your loved ones. With numerous options available, it’s essential to understand which term insurance is good in Canada, which company is best for life insurance in Canada, and what are the best terms for pricing insurance in Ontario. This comprehensive guide highlights the top Term Life Insurance Companies in Canada or 2024, their unique features, pros and cons, and customer reviews to help you make an informed decision.
1. PolicyMe: Most Affordable Term Life Insurance in Canada
Company Overview
PolicyMe is an online insurance solution based in Toronto, Ontario. Founded in 2018, PolicyMe launched its own digital life insurance and critical illness product in early 2021 with the backing of Canadian Premier. In 2022, PolicyMe announced $18 million in funding and now has $5 billion in coverage in force in Canada.
Rates
- 35-year-old woman: Starts at $23.44 per month
- 35-year-old man: Starts at $31.29 per month
Key Features
- Discount for Couples: Couples applying together get a 10% discount in their first year.
- Child Coverage: Free $10,000 coverage per child.
- Coverage Amount: From $100,000 to $5 million.
- Application Process: Apply online in 20 minutes or less with an instant decision.
- Support: Licensed Canadian advisors available seven days a week via phone or email.
- Flexibility: Policies are fully underwritten, allowing for better rates and the option to add critical illness insurance.
Pros and Cons
Pros:
- Easy online application process.
- No commission for advisors, reducing pressure and upselling.
- Policies backed by Canadian Premier and a global reinsurance company.
- Option to extend or upgrade policies within the first five years.
Cons:
- Only available online.
- Policies are not renewable or convertible to permanent coverage.
- Limited rider options.
Customer Review
“The process was quick, support was top notch and the price was competitive.” – Verified customer on Reviews.io.
PolicyMe Data Table
| Feature | Details |
|---|---|
| Financial Strength | Backed by Canadian Premier |
| NAIC Complaints | Far fewer than expected |
| Policies Offered | Term |
| Minimum Coverage | $100,000 |
| Maximum Issue Age | 75 years |
| Conversion to Permanent | No |
2. BMO Insurance: Best Traditional Term Life Insurance
Company Overview
The Bank of Montreal (BMO), the oldest bank in Canada, offers standard term life insurance options. BMO operates in Toronto and provides a variety of term lengths to meet different needs.
Rates
- Average for a woman: Starts at $26.10 per month
- Average for a man: Starts at $33.30 per month
Key Features
- Term Lengths: 10, 15, 20, 25, and 30 years.
- Conversion Option: Convert term policy to whole life insurance without a medical exam.
- Renewal: Coverage can be renewed at the end of the term.
Pros and Cons
Pros:
- Financial strength rating of A.
- Easy online quote process.
- Policies are renewable and convertible.
Cons:
- 25 and 30-year term options cannot be renewed.
- More medical requirements for in-person applications.
- Policies must be purchased through a commissioned advisor.
Customer Review
“Culture of foot-dragging when you want to cancel […]” – Customer on Insureye.
BMO Insurance Data Table
| Feature | Details |
|---|---|
| Financial Strength | A |
| NAIC Complaints | More than expected |
| Policies Offered | Term & Permanent |
| Minimum Coverage | $100,000 |
| Maximum Issue Age | 75 years |
| Conversion to Permanent | Yes |
3. Canada Life: Best Term Life Insurance for Term Length Options
Company Overview
Canada Life, the second-largest insurer in Canada, offers a range of term life insurance plans with flexible term lengths. With a financial strength rating of A+ and $220 million in assets, Canada Life is a reliable choice for many Canadians.
Rates
- Average for a 35-year-old woman: $29.25 per month
- Average for a 35-year-old man: $36.45 per month
Key Features
- Term Lengths: Choose any number of years between 5 to 50.
- Premium Consistency: Premiums remain the same throughout the term.
- Conversion Option: Convert term policies into permanent policies.
Pros and Cons
Pros:
- Wide range of term lengths.
- Multiple rider options for single and joint policies.
- Virtual and phone meetings with advisors.
Cons:
- Automatic renewal with gradual price increases.
- Long approval process (up to 6 to 10 weeks).
- Higher average premium costs compared to other insurers.
Customer Review
“It’s been a month since putting in an application. Haven’t heard from anyone.” – Customer on Insureye.
Canada Life Data Table
| Feature | Details |
|---|---|
| Financial Strength | A+ |
| NAIC Complaints | More than expected |
| Policies Offered | Term & Permanent |
| Minimum Coverage | Not specified |
| Maximum Issue Age | Not specified |
| Conversion to Permanent | Yes |
4. Wawanesa Life: Best Life Insurance for Longer Term Lengths
Company Overview
Founded in 1896 in Quebec, Wawanesa started offering life insurance more recently. The company has a financial strength rating of A (Excellent) by AM Best, indicating strong financial stability.
Rates
- Average for a woman: $28.80 per month
- Average for a man: $36.66 per month
Key Features
- Term Lengths: 10, 15, 20, 25, 30 years, and to age 80.
- Conversion Option: Convert term policies to permanent policies before age 70.
- Flexible Payments: Pay premiums via credit card or choose annual payment options.
Pros and Cons
Pros:
- Insured up to age 100.
- Healthy lifestyle rewards (lower premiums for healthy choices).
- Optional riders, including disability waiver.
Cons:
- Difficult approval for individuals with pre-existing health conditions.
- No online application; manual application required.
- Child protection rider is more expensive compared to other providers.
Customer Review
“We had a fine experience with them, but it was a small policy. When we decided to take out a bigger policy we went with a company that offered a better package.” – Customer on Insureye.
Wawanesa Life Data Table
| Feature | Details |
|---|---|
| Financial Strength | A (Excellent) |
| NAIC Complaints | More than expected |
| Policies Offered | Term & Permanent |
| Minimum Coverage | Not specified |
| Maximum Issue Age | 70 years |
| Conversion to Permanent | Yes |
5. Sun Life: Best for Term Life Policy Options
Company Overview
Sun Life is the third-largest insurer in Canada and offers a variety of term life insurance products. This makes it an excellent choice for individuals who want multiple options and flexible coverage.
Rates
- Average for a woman: $23 to $33 per month
- Average for a man: $29 to $41 per month
Key Features
- Term Lengths: 10 and 20 years for Go Term Life Insurance; up to $1 million in coverage.
- Conversion Option: Convert term policies to permanent policies up to age 75.
- Instant Coverage: Temporary coverage up to 90 days when you apply.
Pros and Cons
Pros:
- Instant temporary coverage.
- High coverage amounts (up to $25 million with SunSpectrum Term Life Insurance).
- Online application for Go Simplified and Go Term products.
Cons:
- Limited term length options for no medical plan.
- Optional riders increase the cost.
- Poor customer service reviews.
Customer Review
“Waiting 5 months on a claim decision.” – Customer on Insureye.
Sun Life Data Table
| Feature | Details |
|---|---|
| Financial Strength | A+ |
| NAIC Complaints | More than expected |
| Policies Offered | Term & Permanent |
| Minimum Coverage | $100,000 |
| Maximum Issue Age | 75 years |
| Conversion to Permanent | Yes |
FAQs on Term Life Insurance in Canada
Which Term Insurance is Good in Canada?
PolicyMe is often considered the best for affordability and ease of application. However, BMO Insurance, Canada Life, Wawanesa Life, and Sun Life also offer excellent options with various benefits and features tailored to different needs.
Which Company is Best for Life Insurance in Canada?
The best company depends on individual needs, but top contenders include PolicyMe, BMO Insurance, Canada Life, Wawanesa Life, and Sun Life. Each offers unique advantages such as affordable rates, flexible terms, and strong customer support.
What is Best Terms Pricing Insurance in Ontario?
PolicyMe and BMO Insurance are known for competitive pricing in Ontario. PolicyMe offers rates starting at $23.44 per month for
women and $31.29 per month for men, making it one of the most affordable options.
Who Offers the Best Term Insurance?
PolicyMe, BMO Insurance, Canada Life, Wawanesa Life, and Sun Life are among the best providers, offering a range of term lengths, conversion options, and customer-friendly policies.
Best Term Insurance Plan in Canada 2024 Reddit
On Reddit, PolicyMe is frequently recommended for its affordability and straightforward online application process. Other popular choices include BMO Insurance for its traditional approach and Sun Life for its extensive term life policy options.
Best Term Insurance Plan in Canada 2024 Calculator
Many insurers provide online calculators to estimate premiums. PolicyMe and BMO Insurance have user-friendly calculators that help you determine the best term insurance plan based on your needs.
Best Term Life Insurance Companies Consumer Reports
Consumer Reports often highlight PolicyMe, BMO Insurance, and Canada Life for their customer satisfaction, financial strength, and policy flexibility.
Best Term Life Insurance for Seniors
Wawanesa Life and Sun Life offer policies with flexible term lengths and conversion options, making them ideal for seniors. Sun Life’s term policies are convertible up to age 75.
Best Term Life Insurance for Over 50
For those over 50, Wawanesa Life and Canada Life provide excellent options with high coverage amounts and flexible terms. Both companies offer policies that can be converted to permanent life insurance, ensuring long-term financial security.
Conclusion
Choosing the best term life insurance company in Canada requires careful consideration of your unique needs and financial goals. The top five companies—PolicyMe, BMO Insurance, Canada Life, Wawanesa Life, and Sun Life—offer a range of policies with various benefits and features. By understanding each company’s strengths and weaknesses, you can select the policy that best fits your requirements and provides the security your family needs.
