Life insurance can cost anywhere between $15-$100 in BC. This is the average range for term life insurance premiums in Canada.
But make note that the older you are and the higher risk you are (e.g. pre-existing conditions), the more your premiums will cost. So there’s no time like the present to get a life insurance policy, so you can lock in lower rates.
You can apply for life insurance in BC by following these recommended steps:
You should buy life insurance at the age you need it or expect to need it. For example, if your family status has changed (maybe you’re about to have a child), you’ll want to get life insurance now. This will ensure your family income is secure in the event of your passing.
The younger you are, the lower your monthly premiums are likely to be. And you may not need to get a medical examination. But as you get older, you’re more likely to develop a medical condition, which will increase your life insurance premiums.
In British Columbia, it is illegal to sell your life insurance to a third party. This legislation is in place to prevent people from exploiting those in financial need or who are not well informed about their policy.
If you can no longer afford your life insurance premiums, you still have other options. For example, you can negotiate a deferral of payment or cancel the policy if the terms allow. Look into financial planning services or talk to one of our advisors to learn more about your options.
In British Columbia and the rest of Canada, payment of insurance money (death benefits) is not taxable, regardless of your policy size.
In specific situations, a death benefit is taxable. Here are some examples:
You can trace a life insurance policy in British Columbia by submitting a request with the OmbudService for Life and Health Insurance (OLHI).
Here’s how it works:
In British Columbia, life insurance works by creating an agreement between you (the policyholder) and an insurer. In exchange for you paying monthly premiums, the insurer will give your death benefit insurance money to your beneficiaries.
Other quick tips about how life insurance works:
In British Columbia, an individual life insurance plan covers the death of the policyholder, such as death by illness or accidental death. The specifics will be outlined in your policy, including possible exceptions.
Your beneficiaries will receive a tax-free lump sum payout that they can use for anything they wish – from mortgage payments, to tuition, childcare and beyond.
With PolicyMe, you can get life insurance coverage to age 85, as long as you sign up for your term insurance policy by age 75.
Yes, there are two ways you can get life insurance without a medical exam in British Columbia:
Before you opt for no medical/simplified life insurance, you should still apply for a term life insurance policy and see if you get approved first.
The first step to your application is a questionnaire about your health. This is for the insurer to know your current medical condition and if you have pre-existing conditions. So you might not even have to do a medical examination. This way, you can still enjoy the lower rates and higher coverage that term insurance offers.