What is term life insurance?

Term Life Insurance offers the most affordable and simple form of insurance. This type of insurance pays a benefit to your beneficiaries if you die within a certain period, typically 10, 20, or 30, years.

You have the option to renew the policy for a new term, change to permanent coverage, or terminate the policy after the expiration of the current term.

How do I get a quote for term life insurance?

To purchase life insurance, the first step is to obtain quotes for a policy.

There are three ways to obtain life insurance quotes in Canada:

1. Directly from the insurance company’s site

You can visit the website for a specific insurance company such as TIP Services, and request a quote online. It’s similar to going to Air Canada’s website to find the price for a flight from Toronto to Paris.

2. Through an independent local insurance agent

Another option is to request quotes from an independent local insurance agent. It’s like visiting your local travel agency and having an agent help find the best options for a Toronto to Paris flight.

Working with an independent agent in your area will allow you to compare quotes from many insurance companies. You can compare quotes and find the best deals. Even if you communicate via the internet, you can speak to an actual agent to answer any questions or provide advice.

3. An independent online broker

The third option is to obtain quotes from an independent online broker like TIP Services. It’s similar to using Expedia or Travelocity online travel websites to search for options for a Toronto-Paris flight.

You can compare multiple life insurance quotes online by using an independent broker. It’s quick and easy to get multiple quotes online.

How do you get your final quote?

Your age, gender, and smoking history will be used to determine your initial term life insurance quote. To get a final quote from your insurer, you will need to provide additional information.

They will need to know your medical history to determine how risky it would be for them to provide you with insurance. Many insurers conduct this quickly by asking applicants to complete an at-home medical exam. A nurse will visit your home to take vital information (such as your weight, height, and blood pressure) along with withdrawing blood. A urine sample might also be requested by some. Your insurer may also request that you have a 20-minute telephone conversation with a healthcare professional. During the call, you will be asked about your family and personal medical history.

Your financial and lifestyle information will be collected by your insurer. They need to know whether you regularly engage in risky leisure activities such as scuba diving or rock climbing. They don’t want to be enthralled by your life. Risky hobbies can increase your chances of dying young. Insurance companies will be interested in any information that might increase the likelihood that they will have to pay your death benefit.

After your insurer has received all of the information they require, they will use that information to decide if they can approve your application and give you a final quote. The final quote is the monthly premiums that you will pay for your term policy. It can be lower, higher, or the same as the initial quote.

What is the cost of term life insurance in Canada?

Here’s the big question: How much do you have to pay for Canadian term life insurance?

The exact amount you pay for term insurance depends on your characteristics, coverage amount, policy duration, and insurer.

Term life insurance is, in all cases, the most affordable type of insurance available. This is because you only need to have term insurance for a set period. It’s also the most affordable way for your family to protect their finances when they’re young. You may have student debt, mortgage debt, or other financial obligations that can drain your bank account every month.

How affordable is Canadian term life insurance? 

Life insurance can be as affordable as $20 per month for a non-smoker who is in their 20s or 30s and has no pre-existing conditions. Not bad right?

Remember that obtaining a quote or completing a medical exam does not make you legally obligated to purchase a policy. You are not required to sign a contract until your application has been approved and the policy has been accepted. You don’t have to commit unless you get quotes for term life insurance policies.

With so many changes happening with life insurance what can you expect to see from term life insurance quotes in 2021? Here’s what you need to know.

First, you’ll see more companies come out with online applications. Before COVID-19 there were only a handful of companies that offer ended an online application process. Now, the majority of companies have some online application process. This has become essential for insurance companies.

Next, you’ll see higher coverage amounts for nonface-to-face applications. Most companies will allow you to apply for coverage up to $300,000 coverage with nonface to face applications. With companies like Manulife now having up to $1,000,000 of coverage on their nonface-to-face applications you’ll see more companies follow suit, as it gives Manu a large advantage.

Rates also will stay flat if not come down. Insurance companies are still in business to insure new clients. Increasing rates would make it harder for companies to earn business with all the new changes, so you can expect rates to stay the same if not come down in 2021.

Power shifts. It’s not enough to say the big companies will remain at the top. Simply put, not all online processes are created equal. Some companies’ online processes are very complicated and extremely difficult to use. The ease-of-use will play into which companies have the most success in 2021. Advisors will likely gravitate to the companies that are easy to use, and not the ones that offer more complications. This will play out over 2021.

As a whole, this is great news for anyone looking to purchase term life insurance in 2021. However, it is always worthwhile to find a proper advisor who can help you navigate the new 2021 landscape.

Canada Life is one of the largest Life Insurance companies in Canada, because of this, many people want to know if Canada Life is a good company. Let’s take a look at where they are good and what to look out for when considering Canada Life.

Canada Life has a large suite of products and offers. Some of those products include:

• Group Benefits
• Life Insurance 
• Disability insurance 
• Critical Illness insurance 
• Segregated funds 
• Annuities 

Pros: (that make Canada Life worthwhile):

• Because they have so many assets, they are safe but regardless of what happens in the market 
• 4 different term lengths 
• Multiple rider options 
• Can convert Term Life Insurance into a permanent product at any time 

Cons:

• No final expense insurance 
• Minimum coverage is $100,000 for term life insurance 
• Canada Life term options tend to be more expensive than other options 

So, why is Canada Life recommend so often? Well listen up, we are about to share with you some industry knowledge that many clients don’t know.

Canada Life, Great-West Life, and London Life all in all the same company, held under different names.

This is one reason all 3 companies seem so larges, in essence, they are all the company. Now when you look at companies life investors group, they may look like a place where you can purchase multiple companies, however many of the higher up have said the majority of their business goes to Canada Life.

The average insurance advisors in Canada is 57. Many of these advisors started with Canada Life and continued to recommend Canada Life. This isn’t always a bad thing, however, it might not always end up being the best recommendation.

All in all, is Canada Life a good insurance company?

The short answer is, yes. They are a strong company with good products that have a variety of options. What you need to look out for are the advisors that will recommend Canada Life to every one of their clients, regardless of your situation. In some cases, Canada Life might be the best recommendation for you. In other cases, there may be a better alternative. As always, contact a broker that is unbiased toward anyone one company.

What is Term Life Insurance?

1. Let It Renew – Meaning, your coverage still stay in effect but you will pay a higher rate based on your new age.
2. Let Your Coverage Expire
3. Convert To Permanent Coverage – Something such as whole life or universal.

Which is the right coverage for you?

• Your Family Situation – If you have young children how much would it cost to raise them.
• Your Debts – How much would you need to pay for your (or your spouses) debts.
• Your Income – If you aren’t here, neither is your income. How much income would you need to replace.

Today we are going to review RBC Term Life Insurance products to see how it stacks up against other Life Insurance companies. As always, products do change and it is best to review with your advisor before purchasing as by the time you read this RBC may have changed their product. Nonetheless, let’s get into it.
Starting with what is unique about RBC. RBC is one of the only companies where you can choose the term length you need. Where most companies offer Term 10 and term 20 products, RBC gives you the choice to choose am exact term such as Term 13 or Term 27.

Whatever length of time you need given the reasons you are looking for life insurance. Why is this a benefit, well if you know you are on track to pay off your mortgage and other debts in 12 years, with RBC you can choose a 12-year Term product. But is this a benefit? The answer, not always.

You see, just because you can choose the length of the term, doesn’t make RBC instantly the most affordable option. In fact, sometimes you can get coverage for a longer period of time at a lower cost. When purchasing coverage there are always a few variables you want to consider.

1. Your date of birth  
2. The amount of coverage  
3. Your health 
4. If you are a smoker or non-smoker 
5. The length of time you need the coverage for

    

RBC is very competitively priced, just not in all categories. Depending on the considerations listed above there may be more affordable options out there. This is why it is always a good idea to get a few quotes from different companies to find what is going to be the best plan for you.

If you want a FREE quote without having to speak to a sales rep, enter an email or give up any personal information CLICK HERE. We’ll take you to a page where you can enter your information and shop the entire market with no restrictions.

Pros about RBC Term insurance 

• RBC is a name brand that many people trust
• As mentioned, they are competitively priced in many areas
• Very flexible in term length and coverage amounts (ranging from $5,000 -$23,000,000 in coverage)
• They have a permanent form of life insurance that you can convert your term policy into

Cons about RBC Term insurance 

• No digital policy option. Meaning your policy will be sent in the mail
• No Whole life coverage conversion option
• If you are a smoker, there might be a more affordable company out there for you

In short, RBC has its place in the market place. They are so compatibly priced that for many young adults in Canada who are looking or affordable coverage options RBC could be a good fit.

As always it is best to speak to a broker, someone who can help you shop for the best plan for your given situation. That way you can rest knowing you have the best coverage for your loved ones.