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How Cheap a Life Insurance Policy in Canada Can You Get?

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If you want to protect your family if the unexpected happens, you need a good life insurance policy. However, a large number of Canadians are still without life insurance coverage.

According to a survey conducted in February 2022, roughly 52% of Canadians do not have any life insurance at all. And a lot of them don’t think they need it because they believe that life insurance is expensive.

But is it really? In this article, we’ll look at the average cost of life insurance in Canada and how to find cheap life insurance coverage that meets your needs.

Is Life Insurance Expensive in Canada?

A lot of people believe that life insurance is expensive. And while it’s true that the price of life insurance has gone up in recent years, it’s still very affordable for most people. Why are so many people saying that the coverage is expensive?

Well, it depends on who you ask. For certain people, life insurance can be quite expensive. For instance, if you’re a smoker or have health issues, you may have to pay more for your coverage.

Also, if you’re looking for a policy with a death benefit of $1 million or more, you can expect to pay a higher premium.

However, if you’re a non-smoker in good health, you can get a very affordable life insurance policy. If you’re patient, shop around, and compare different policies, you can find the right life insurance coverage at a price that fits your budget.

How Cheap a Life Insurance Policy in Canada Can You Get - Best Insurance Online

What’s the Average Cost of Life Insurance in Canada?

When it comes to life insurance policies of the Great North, there are two options for you: term life insurance and permanent life insurance.

Term insurance is the more widespread coverage of the two because it’s more affordable than permanent life insurance. However, with term life insurance, you’re only covered for a specific period (usually 10, 20, or 30 years).

Permanent insurance, on the other hand, covers you for your entire life. But because it’s more comprehensive coverage, it’s also more expensive.

So, how much will life insurance cost you in Canada?

To find out that, we must create a profile of the average Canadian. The average person in Canada is 41 years old and has a 20-year life insurance policy with a $500,000 death benefit.

The average premium for this type of coverage is $50 per month.

However, the cost of life insurance will differ depending on your age, gender, health, lifestyle, and the type and amount of coverage you’re looking for.

What Affects the Cost of Life Insurance in Canada?

Several factors affect the cost of life insurance in Canada, and we’ll look at some of the more noticable ones:

  • Age: Younger people usually pay lower premiums because they’re less likely to die than older people.
  • Gender: Men usually pay higher premiums than women because they have a shorter life expectancy.
  • Health: People in good health will pay lower premiums than those with health issues.
  • Lifestyle: Smokers and people with risky hobbies (such as skydiving) will pay more for their coverage because they’re more likely to die than people with healthier lifestyles.
  • Type of coverage: Term life insurance is more affordable than permanent life insurance because it only covers you for a specific period.
  • Amount of coverage: The more coverage you want, the more you’ll have to pay for your policy.

Besides these factors, your hobbies and lifestyle may affect your premium. For instance, if you enjoy adrenaline-pumping activities like skydiving, you may have to pay more for your coverage because you’re at a higher risk of dying.

Just remember not to lie about your hobbies and lifestyle when applying for life insurance. If the insurer finds out you’ve lied, they may refuse to pay your death benefit.

Discussing your life insurance needs with a licensed broker is the single best way of finding out how much coverage you need and what policy type is right for you.

How to Find Cheap Life Insurance in Canada?

If you’re looking for cheap life insurance in Canada, the best way to find it is to shop around and compare different policies.

There are many life insurance companies in Canada, so it’s important to compare their rates and coverage options before you decide on a policy.

Here’s how to compare life insurance policies:

  • First, you need to know how much coverage you need. To do that, you can use an online life insurance needs calculator.
  • Once you know how much coverage you need, you can compare quotes from different companies.
  • If you see a quote much lower or higher than other policies you’ve found, there’s a chance you’re comparing different types of coverage. So if the price is off by 15% to 25%, you’re likely not comparing similar policies.
  • It’s also important to compare the different features of each policy. For instance, some companies offer additional coverage, such as critical illness insurance, while others don’t.
  • Make sure you understand each policy’s exclusions and limitations before deciding.
  • If you already have a policy, it’s still a good idea to compare it with other policies every few years to ensure you’re getting the best possible rate.

Shop Around for Cheap Life Insurance in Canada

As mentioned earlier, cheap life insurance in Canada is available, but you may have better options. It’s important to find a policy that meets your needs and budget.

Best prices are similar between insurance providers, but some will offer better service. Make sure you’re getting the best insurance deal by going around and comparing different policies before you decide on a policy.

And remember that the quotes you get are estimates. The price you’ll pay for your policy will depend on various factors, including your age, gender, health, lifestyle, and the type of coverage you choose.

Reach out to us by letting us call you back if you have any questions about life insurance. We’ll be able to help you find what’s best for your situation.

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