Best Term Life Insurance in Canada: 2026 Rates & Company Reviews
Why is term life insurance the best option for most Canadians?
Thanks to its affordability, flexibility and straightforward coverage, term life insurance is the best type of life insurance for most Canadians. You can lock in low rates for the entire length of your policy, choose a term length that aligns with your financial obligations and avoid paying for extras like cash values.
To help you with your research, this page compares over 25 term life coverage options from the best term life insurance companies. They’re ranked by price, customer satisfaction and convenience, so you can find the cheapest term life insurance in Canada in 2026.
"Term life insurance is a simple and affordable way to protect your family’s financial future. The key is finding a policy that balances affordability with the right coverage amount." – Christelle Arouko, Licensed Insurance Advisor
What’s the best term life insurance in Canada?
Based on a data-driven review of the leading products and over 450,000 quotes, PolicyMe is the best life insurance in Canada in 2026 for affordability, customer satisfaction and ease of purchase. The runner-ups for best term insurance in Canada include RBC Life Insurance, Empire Life, Co-operators, and Foresters Financial:
* For each product, we calculated the average monthly premiums for a female non-smoker between 30-44. The results show the approximate cost of a 10-30-year term life insurance policy with $600,000 in coverage.
1. Term life insurance by PolicyMe
2. RBC YourTerm by RBC Life Insurance
3. Solution by Empire Life
4.Versatile Term by Co-operators
5. Term life insurance by Foresters Financial
* We compared each product's yearly costs to the average cost of similar products for the same type of applicant. This figure shows the approximate price difference for a female non-smoker between 30-44 shopping for a 10-30-year term life insurance policy with $600,000 in coverage.
Methodology: Best term life insurance in Canada
About the data
PolicyMe’s rankings are based on an independent, data-driven review of Canada’s best life insurance products and providers. Our analysis combines 450,000+ quotes for 95+ policies and 25+ insurers, drawing on trusted sources such as COMPULIFE, WinQuote and official provider websites, supplemented by ratings from Google.
About star ratings
Each product received a star rating out of five based on pricing, customer satisfaction and ease of purchase, customized by age group, sex at birth, and smoking status. We awarded three stars to every provider with insolvency protection from Assuris and a financial stability rating of “A-” or higher from a respected credit rating agency such as A.M. Best.
Products with an average price at least 5% below the industry average received one extra star for affordability, while providers with a Google Reviews score of 4.0 or higher earned an extra half-star for customer satisfaction. Finally, products offering convenient online quoting options earned another half-star for accessibility.
About the categories
Our “Best Of” categories use criteria reflecting the most popular types of coverage and buyer needs. Most term life insurance categories compare the average price of a 10-30-year policy with $600,000 in coverage for non-smoking women between the ages of 30-44. The “best of” categories for smokers and seniors compare policies for smoking women and 60-year-old women, respectively.
Most senior customers purchase a smaller amount of permanent and no medical coverage because it’s expensive, and they require coverage for end-of-life expenses rather than debt or income replacement. We therefore capped coverage for the best no medical term life insurance category at $50,000, and coverage for all the best permanent life insurance categories at $25,000.
About rankings
The rankings within each category are determined first by star rating and then by average monthly premiums by age group, sex at birth and smoking status.
About pricing comparisons
To ensure fairness and accuracy, we made all pricing comparisons between products of the same type, with the same coverage amount, and for the same combination of age group, sex at birth and smoking status. The rates listed in this article are based on publicly available rates as of August 2026.
For example, the cost of a 10-year term policy for non-smoking women aged 18-29 with $400,000 in coverage is always compared to the industry average for all 10-year term policies for the same demographic segment and with the same amount of coverage.
Similarly, the average cost of a fully underwritten permanent life insurance policy for non-smoking women aged 30-44 with $75,000 in coverage is always compared to the industry average for all fully underwritten permanent policies for the same demographic segment and with the same amount of coverage.
Disclaimer
PolicyMe’s findings use unaltered data and are free from paid placements or sponsored influence. While we strive to keep our information up-to-date, we cannot guarantee the validity of third-party data. These results are intended as a helpful reference and not as a substitute for personalized financial advice.
The best term life insurance companies according to Redditors
Redditors agree that the best term life insurance policies include the option to convert or renew because, as u/lifeinsurancecanada puts it, “you cannot predict your future health.” As for specific recommendations for the best term insurance in Canada, here are a few:
- u/labo-is-mast: “PolicyMe is the easiest and cheapest if you’re healthy and just want something simple.”
- u/nsparadise: “I’ve worked with many companies over the years. Nowadays, I primarily use Canada Life and Empire Life with my clients, because they are solid companies with good policies and good service. BMO is good too.”
- u/Khyron686: “I switched to PolicyMe, no issues/regrets. In our 20s we were suckered into whole life from a mutual advisor... The numbers make no sense once you’re 50+ and don’t need insurance anymore.”
How much does term life insurance cost in 2026?
Term coverage costs around $25–$45/month for the average Canadian in 2026.
The cost of life insurance in Canada depends on your age, sex at birth, smoking status and health, plus how much coverage you choose, the length of your term and whether you apply for no medical life insurance or not. For instance, young women drink 3x less frequently than young men in the same age bracket according to PolicyMe’s recent insurance study.
- Lowest rates: Young, female, non-smoking applicants in good health who are shopping for $50,000 of coverage for 10 years (and are willing to undergo a medical exam)
- Highest rates: Elderly, male applicants who smoke and are looking for $750,000 of coverage for 30 years
Average rates in Canada by age group and term length
Age and term length are two major factors that affect how much you pay for coverage.
Below are the average rates for non-smokers in different age groups, calculated using quotes from 28 Canadian term life insurance plans:
* Prices reflect the approximate average monthly cost of a fully-written 20-year term life insurance policy with $600,000 in coverage for healthy, non-smoking individuals.
How to find cheap term life insurance quotes
You can find the cheapest life insurance quotes by comparison shopping for fully underwritten term life insurance.
- Compare insurers: Rates can vary widely for the same coverage.
- Underwriting: This process helps companies accurately assess your risk (and get lower rates, if you’re healthy).
- Term length: Match your term to your financial obligations, and don’t over-buy.
- Avoid unnecessary riders: Optional add-ons can increase your monthly premiums.
- Pay annually: Some insurers offer a small discount for paying a year at a time vs. monthly.
- Buy young: Term policies cost less when you’re young and healthy.
Note: Underwriting may include medical questions or a medical exam. But this can pay off with big savings with no risk to your insurability–you can always apply for no medical life insurance later.
How to choose the best term life insurance policy
Term life insurance works best when it’s tailored to your insurance needs. To find a policy that works for you, first:
- Calculate how much life insurance you need. Rather than simply multiplying your income, sit down and think about what you want to cover and how much it’ll cost, whether it’s a mortgage or your children’s education. Accurately estimating your insurance needs can help you avoid overpaying or going underinsured.
- Choose your term length. Think about how long your financial obligations will last and set your term accordingly. How long will your mortgage last? How long until your children turn 18? How long until your spouse retires?
- Compare term life insurance quotes. The best way to find a deal is to compare prices from life insurance providers, whether on your own or through an insurance broker.
10-year vs 20-year vs 30-year term: which length is best?
20 and 30-year terms are often a good fit for Canadian families. These term lengths fit the most common debt and dependent timelines, from mortgage payoffs and raising children to independence to finally retiring.
The right term length will fit your family’s specific timeline for financial burdens.
PolicyMe’s available term lengths are 10, 15, 20, 25, and 30 years. The smaller the term length, the smaller the premium. But it’s more important to find the best fit than the lowest cost.
- 10 year: Good for near-retirees, short-term debt coverage, or laddering
- 20 year: Good for working parents and couples within 20-25 years of retirement, mortgage coverage, income replacement
- 30 year: Good for longer mortgages, couples with very young children or planning more children, when retirement is 25+ years away, or when there are concerns about future health issues
What happens when your term ends?
Your life insurance coverage will naturally stop when your term policy expires. But if you don’t want to cancel, you may have three options if you still need life insurance at that time: reapply, renew, or convert.
- Reapply: Get a new policy from another insurance company. This is usually the cheapest option, although your premiums will increase from your previous cost since rates are tied to age.
- Renew: Renew your existing term policy for another year. This is guaranteed coverage with simple admin, which can be especially useful if your health has changed. However, premiums are higher.
- Convert: If you need lifelong coverage and your term policy is convertible, you can switch from term to permanent coverage. Your premiums will increase but there’s no new medical underwriting.
You could also self-insure, if you have enough savings and liquid assets to cover your debts and dependents (or if your mortgage is paid off and your kids are financially independent). A short term policy may be wise if your spouse is still relying on your ongoing work income.
Next steps: Best term life insurance in Canada
After you decide on the best term life insurance for you, you can buy an affordable term policy 100% online to secure protection for your loved ones.
In 20 minutes, you can get a quote and purchase your policy. For most applicants with PolicyMe, there’s no medical exam and you’ll receive an instant decision. Here’s how to buy online in five steps:
- Decide on a coverage amount, term length, and product.
- Complete an application online, over the phone or in person, then wait for a decision.*
- Read insurance policy details closely before signing.
- Provide your payment information and make your first payment.
- Use your 10-day, free look period to consider your policy documents carefully.
With PolicyMe, you can get a quote, apply, and pay for a life insurance policy entirely online in 20 minutes or less. Enjoy a 30-day money-back guarantee for plenty of time to consider your purchase and make a change if you need to.
* If you’re denied, consider applying for no medical life insurance like PolicyMe’s Guaranteed Issue coverage.
FAQ: Best term life insurance in Canada
Want to learn more about other life insurance options? Here are more reviews of Canadian life insurance companies:
- Biggest life insurance companies in Canada
- Best bank owned life insurance
- Best whole life insurance in Canada
- American Income life insurance review
- Beneva life insurance review
- Canada life insurance review
- Canada Protection Plan life insurance review
- Canadian Premier life insurance review
- Costco life insurance review
- Desjardins life insurance review
- Equitable life Insurance review
- Foresters life insurance review
- Industrial Alliance life insurance
- Ivari life insurance review
- Manulife life insurance review
- PolicyMe life insurance review
- Primerica life insurance review
- UV life insurance review
Bonnie Stinson is an insurance writer and researcher in Toronto with a decade of experience producing helpful, accurate content for Canadians. They have published resources for some of Canada's most innovative and consumer-trusted companies in the health, legal, and fintech sectors.
Bonnie Stinson is an insurance writer and researcher in Toronto with a decade of experience producing helpful, accurate content for Canadians. They have published resources for some of Canada's most innovative and consumer-trusted companies in the health, legal, and fintech sectors.