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How Much Does Life Insurance Cost in Canada?

When buying a life insurance policy, one of the keys things you’ll want to know right away is: “how much will this cost me?”. It can be difficult to get an exact figure immediately because the cost of life insurance depends on your own individual circumstances. 

The good news is, when it comes to life insurance, we’re specialists. So, we can help you work out how much it might cost you depending on how much coverage you want.  

Different costs for different policies

The first thing to think about is what kind of policy you want. The type of you decide to go for will have an impact on how much it costs. So, what are the different protection types available?

Whole of life insurance

With whole of life coverage, you pay a fixed monthly premium for the duration of coverage. As long as you keep up with payments, you’ll be protected for life and when you pass away, your chosen legal beneficiary will receive a cash amount. This coverage helps you guarantee that your loved ones will have some financial help when you’re gone.  

Increasing life insurance

With the increasing benefit option, both your benefit amount and your premiums increase annually. This type of coverage is useful if you want to help ensure that your benefit amount keeps up to pace with inflation. When you choose this option, your benefit amount will increase by 3% each year and your monthly premium will increase by 4.5% each year. 

Whatever your protection needs, you can feel confident that you’re getting affordable coverage with Zesty Insurance. In fact, you could get coverage from as little as $13.95 per month1

What else will effect my premiums? 

As well as the coverage you decide on, there are some things that will have an impact on how much you pay.

Your age 

Generally, the younger you are when applying for life insurance, the cheaper your premiums could be. So, you may want to take out a policy sooner rather than later to get the best value for your money.  

Your gender 

In Canada, women generally live longer than men. In fact, the average life expectancy for women is 84, compared to 80 for men. Because of this, women may pay less for the life insurance coverage than men.  

Your smoker status 

You don’t need to provide a medical or blood test to get approved for coverage with Zesty Insurance, but you will need to disclose your smoker status. Smokers typically pay more for their life insurance due to the health risks associated with smoking. 

Your benefit amount 

How much coverage you want to take out will play a big part in how much you pay in monthly premiums. Generally, the larger your benefit amount, the more you can expect to pay for your premiums.  

Whether or not you choose the increasing benefit option 

With the increasing benefit option, your benefit amount will increase by 3% each year and your monthly premium will increase by 4.5% each year. If you initially add this option but later change your mind, you can opt out of it and your premiums and benefit amount will no longer increase.

How do I work out how much life insurance coverage I need?

When it comes to something as important as life insurance, you want to make sure you’re getting it right. If you’re not sure how much coverage you need, we’ve put together this handy guide to help you. You can also use our life insurance calculator for further guidance.

Can I save money on my life insurance?

It’s understandable that you want to get the best possible price for your life insurance policy. With Zesty Insurance, you can get coverage that doesn’t cost a fortune. In fact, it’s possible to get coverage from as little as $13.95 per month1.  

If you’re a smoker, you could reduce the cost of your life insurance by quitting. However, it's important to note that quitting the day before you take out a policy won’t help you as you’ll still be classed as a smoker. To be considered a non-smoker, you must not have used any cigarettes, e-cigarettes that contain nicotine, cigars, a pipe, or any nicotine replacement products such as gums, patches or sprays in the last 12 months. 

Unfortunately, you don’t have much control over how your age affects your premiums. But it is possible to save money on your premiums by taking out a policy when you’re younger. 

We’re here to help

Whether you need some help working out your options, want to learn some more about life insurance, or you’re ready to get a free quote, our Canadian-based team of specialists are on hand to help.

Protect your family with Zesty Insurance

1

Based on a 50-year-old-female non-smoker with $3,000 of coverage. Not yet available in Quebec.