.svg)
.svg)
PolicyMe content follows strict guidelines for editorial accuracy and integrity. Learn more about our editorial guidelines.
Key takeaways
The big advantage of term life insurance is that it’s simple and budget-friendly. You get coverage for a set period—say 10, 20, or 30 years—at a lower cost compared to other types of life insurance.
It’s perfect for when you need solid protection, like while raising a family or paying off a mortgage. Since there’s no investment side to it, every dollar you pay goes straight to keeping your loved ones financially secure if something happens to you.
Term life insurance is a great option for many Canadians, offering affordable and straightforward coverage for a specific period, such as 10, 20, or 30 years.
This makes it ideal for covering needs like paying off a mortgage, supporting children until they are independent, or providing financial security during your working years. For the majority of Canadians, term life insurance is an effective way to get the necessary coverage without straining their budget.
However, the best option can vary depending on your personal needs and long-term goals. While term life insurance suits those seeking temporary protection, it doesn’t build cash value and can become costly if renewed later in life.
If you have more complex needs, such as long-term financial planning or providing for dependents with lifelong needs, a permanent life insurance policy might be more appropriate.
We always recommend to assess your specific situation or consult with a financial advisor to determine the best type of life insurance for you.
The best term life insurance providers in Canada are BMO Insurance, Canada Life, PolicyMe, Sun Life and Wawanesa Life.
To create this list, we looked at each company’s rates, approval times, application process, customer reviews and quality of customer service vis-a-vis their term life insurance options.
Each company has advantages and weaknesses, so consider them carefully against your life insurance needs.
The insurer that worked for your friend or family member won’t necessarily be the best choice for you.
If term life insurance is not up your alley due to your age, we recommend over 50s life insurance Canada
Company bio: PolicyMe is an online insurance solution based in Toronto, Ontario. It was founded in 2018 and in early 2021, PolicyMe launched its own digital life insurance and critical illness product with Canadian Premier's backing and announced $18M in funding in 2022. PolicyMe now has $5B in coverage in force in Canada.
Rates
Pros
Cons
Customer review
“The process was quick, support was top notch and the price was competitive.” – Verified customer on Reviews.io.
Company bio: The Bank of Montreal (BMO) is a multinational investment bank that now operates in Toronto. It's the oldest bank in Canada. BMO has standard term life insurance options: 10, 15, 20, 25 and 30 year terms, from $100,000 to $5M in coverage.
Rates
Read the full BMO Life Insurance review here.
Company bio: Canada Life is the second largest insurer in Canada. It has a financial strength rating of A+ and $220 million in assets. Canada Life offers a range of term life insurance plans and offers a wide variety of term lengths: from five to 50 years.
Rates
Read the full review of Canada Life insurance here.
Company bio: Wawanesa was founded in 1896 in Quebec but they only started offering life insurance recently. Credit rating agency, AM Best, awarded Wawanesa a rating of A (Excellent) for the financial strength of their Life/Health subsidiary.
Rates
Company bio: Sun Life is the third largest insurer in Canada. Sun Life has four distinct term life products for sale. This can be a good choice for someone who is unsure about their options and wants a package deal. For example, Sun life Go Term Life Insurance offers $100,000 to $1M in coverage for 10 or 20 years.
Rates
Not sure what a rider is? CLHIA defines it as something you add to your insurance policy that changes your policy’s coverage or benefits.
When we asked about riders, our former certified life insurance advisor, Tobin Tuff said:
“The bang is typically not worth the buck. For example, a disability rider makes your policy free while disabled. However, to be considered disabled means you can’t do any job on earth. There’s also a very low chance you’ll ever claim it. So why pay extra every single month for it?”
We also recommend looking at some of the best no medical exam life insurance companies in Canada
For more extensive coverage between you and your partner, look into first to die life insurance.
The top five term life insurance companies in Canada are PolicyMe, BMO Insurance, Canada Life, Sun Life and Wawanesa Life.
We identified these companies based on policy options, premium prices, customer reviews and more. Note that each insurer has different pros and cons so do your research before settling on one. The best life insurance in Canada is the one that matches your unique needs. Visit PolicyMe to get the best term life insurance rates.
PolicyMe has one of the best term life insurance rates in Canada. For example, PolicyMe term life insurance costs a 35-year-old woman around $23.44 per month and $31.29 per month for a 35- year-old man.
You may even want to look at the critical illness insurance calculator.
Want to learn more about other life insurance options? Here are more reviews of Canadian life insurance companies:
