Canadian life insurance, compared across 17 insurers.

Term life insurance in Canada typically costs between $20 and $50 per month for healthy non-smokers aged 25–45 with $500,000 in coverage. However, your exact rate depends on your age, gender, smoking status, health history, coverage amount and policy type. For example, smokers generally pay about 85% more than non-smokers, while women typically pay 15–20% less than men. By contrast, whole life and universal life policies cost 5–15 times more than term but provide lifetime coverage and build cash value. Get your exact rate in 60 seconds.

Final expense insurance (also called burial or funeral insurance) is a smaller whole life policy, typically $5,000–$25,000, designed to cover end-of-life costs like funeral expenses, burial or cremation, final medical bills and outstanding debts.

It’s popular with Canadians aged 50–80 because:

• Most plans require no medical exam
• Some plans offer guaranteed acceptance with no health questions
• Premiums never increase
• Coverage starts immediately on many plans; some carry a short waiting period depending on the product
• The death benefit is paid tax-free to your beneficiary, usually within 1–2 weeks

The average Canadian funeral now costs $8,000–$15,000. As a result, final expense coverage makes sure your family isn’t carrying that cost during an already difficult time.

Yes. Life insurance for seniors over 60 is one of the most effective ways to protect your family from final expenses, leave a tax-free legacy and cover outstanding debts. Although premiums are higher than for younger applicants, coverage is widely available and often more affordable than people expect.

• Final expense / burial insurance: $5,000–$25,000, no medical exam
• Simplified issue term: higher amounts with health questions only
• Permanent whole life: builds cash value and never expires

Additionally, benefits paid to your beneficiary are 100% tax-free in Canada and bypass probate entirely.

Not always. Many Canadian policies up to $500,000–$1,000,000 in coverage can be approved without a medical exam — just health questions and same-day or 48-hour approval. These are called simplified issue policies.

However, if you want higher coverage or the lowest possible rate, a fully underwritten policy with a paramedical exam may be required. Even then, the exam is free, takes 20–30 minutes and is done at your home.

Finally, guaranteed issue policies require no medical questions at all but have lower coverage limits and higher premiums. Consequently, these are popular with seniors and people with serious health conditions.

Yes. In most cases, Canadians with pre-existing conditions can still get meaningful coverage. Because we work with 17 insurers, we can shop for the carrier most likely to offer favourable terms for your specific condition; different insurers rate the same condition very differently.

Conditions we regularly find coverage for include diabetes (Type 1 and Type 2), high blood pressure, high cholesterol, depression and anxiety, heart conditions, sleep apnea, cancer survivors and obesity. Depending on the carrier, options may include standard rates, a small premium rating, an exclusion for the specific condition, or a simplified or guaranteed issue policy.

• Same day to 48 hours: simplified issue policies with no exam
• 1–2 weeks: standard term policies with a health questionnaire
• 3–6 weeks: fully underwritten policies with a paramedical exam and medical records

Coverage takes effect when your policy is issued and your first premium is received. In the meantime, some policies offer temporary coverage from the day you apply.

Term life insurance covers you for a fixed period (typically 10, 20 or 30 years) at the lowest monthly cost. It’s ideal for peak earning years, covering a mortgage or replacing income. However, it has no cash value and expires at the end of the term.

Whole life insurance covers you for your entire life with fixed premiums that never increase. Furthermore, it builds guaranteed tax-sheltered cash value you can borrow against. Whole life costs 5–15 times more than equivalent term coverage but provides permanent protection and a guaranteed payout.

A widely used Canadian guideline is 10 to 12 times your annual income. For example, if you earn $80,000 a year, that suggests $800,000–$960,000. However, your ideal amount also depends on your outstanding mortgage, other debts, number and ages of dependents, children’s education costs, final expenses (typically $15,000–$25,000) and your spouse’s income. For this reason, our advisors run a free needs assessment with you on the call.

No. A personal term life policy is almost always the better choice:

• You own the policy, not the bank. Your family receives the payout to use however they need.
• Coverage stays constant while bank insurance shrinks as your mortgage balance falls, even though you pay the same premium.
• It follows you if you switch lenders or refinance.
• It’s usually cheaper — typically 30–50% less for the same coverage.
• Underwriting happens at issue, not at claim time, so there are no surprises later.

No. Life insurance death benefits paid to your named beneficiary in Canada are 100% tax-free. In addition, benefits bypass probate, cash value inside permanent policies grows tax-deferred, policy loans are generally not taxable income, and corporate-owned life insurance can pay benefits tax-free to shareholders through the Capital Dividend Account (CDA). As always, consult a tax professional for advice specific to your situation.

Life insurance pays a tax-free lump sum to your beneficiary when you pass away. Critical illness insurance pays a tax-free lump sum directly to you if you’re diagnosed with one of 25+ covered conditions such as cancer, heart attack, stroke, MS, kidney failure or organ transplant — while you’re still alive. You can use it for treatment, mortgage payments, lost income or anything else. Consequently, many Canadians carry both because they protect against different risks.

Going direct limits you to one company’s products and pricing. By comparison, an independent broker compares 17 insurers to find your best rate and approval odds, costs you nothing (we’re compensated by the insurer), gives you better odds with health conditions because carriers rate them differently, provides unbiased advice, and stays with you for ongoing service if your needs change. In practice, comparing insurers often uncovers meaningfully lower premiums for the exact same coverage.

North Shield Financial is a Canadian brokerage headquartered in Ontario. We currently serve clients in Ontario and Alberta and are expanding to additional provinces. Because consultations are by phone or video and the application process is fully remote, the experience is the same wherever you live.

Yes. Premiums are dramatically lower when you’re young. Moreover, you lock in your health rating so a later diagnosis doesn’t affect your existing policy, and most term policies can be converted to permanent coverage later without a new medical exam. Overall, buying earlier can save tens of thousands of dollars over the life of the policy.