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Canada Life Insurance Review – Updated 2024

SUMMARY

Canada Life offers a large suite of life insurance products and a comprehensive suite of options and coverages that can suit your needs. You can choose your own term from between 5-50 years, with coverage up to $20 million. They also let you convert to permanent insurance up to age 70. Business owners can benefit from a rare life insurance rider that lets them add more coverage as their business grows. Canada Life is a provider of choice for many, but their policies can cost a bit more than average.

IN THIS ARTICLE

Canada Life is the largest insurance company in Canada by annual premiums. This makes them a solid choice if you want a provider with excellent financial strength. Plus, they offer a large selection of products too.

Read our full review below to find out more about the company, which features they offer, and what we rate their life insurance products.

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Best for Financial Strength

AM Best Rating A+

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Our Canada Life insurance rating and review

We’ve rated Canada Life 4 stars and ranked them as the Best Canadian Life Insurance Company for Financial Strength. Their products are high-quality and can suit a wide variety of different needs. And, their term life insurance offers a lot of customizable options, such as:

  • Term lengths between 5-50 years, up to age 85
  • Level premium, convertible term policies
  • Fixed-term, non-renewable policies
  • Optional policy riders: disability waiver of premium, accidental death, guaranteed insurability, children’s term insurance, living benefits and more
  • Unique Business Protection Growth life insurance rider lets business owners add more coverage as their business grows

But, their minimum coverage amount is higher than other providers. They won’t insure you unless you get at least $100,000 in coverage or your premiums are at least $500/year. You pay for high quality with Canada Life.

As Canada’s first domestic life insurance company, Canada Life is now:

  • One of the biggest life insurers in the country, with $568 billion in assets and a financial strength rating of A+ from A.M. Best
  • One of the most stable insurance companies in Canada
  • A provider of choice for many Canadian customers and businesses alike

Canada Life Insurance Review: video summary

Who is Canada Life Insurance Company?

Canada Life Assurance Company is a subsidiary of Great-West Lifeco Inc. and a member of the Power Financial Corporation group of companies. It was founded in 1847 in Hamilton, Ontario. Over the years, it operated through affiliates such as:

  • Great West Life
  • London Life Insurance Company

Great West Life-Assurance Company bought Canada Life in 2023, after a bidding war with Manulife — an insurance giant in its own right and another one of Canada’s largest insurers. Now, Canada Life Assurance Company provides insurance and wealth management products and services in Canada, the United Kingdom, Isle of Man, and Germany, and in Ireland through Irish Life.

In Canada, they have more than 13 million clients and provide 30,000 employers with group benefit plans. They also give at least 1% of their pre-tax profit to charities through the Imagine Canada Caring Company, setting the standard for corporate philanthropy in Canada.

Canada Life Insurance: Quick Facts

  • Founded: 1846
  • Headquarters: Toronto, Ontario
  • AM Best Rating: A+
  • Better Business Bureau Accreditation and Rating: N/A – A+
  • Assets: $568 billion
  • Annual Premiums: $58 billion

Canada Life Insurance pros and cons

Here is what our experts rate as the advantages and disadvantages of buying term life insurance coverage with Canada Life Insurance Company:

Pros Cons
Pick your own term length from 5 to 50 years Minimum of $100,000 in coverage or $500 annual premium required
Multiple rider options for single and joint policies Limited access to online account features
Can convert into permanent coverage
Digital e-policy

Canada Life Insurance Company customer reviews

As of the time of this writing, customer reviews about Canada Life are mixed. Many customers are satisfied. But, others have issued complaints. Nearly all of the complaints are about their health insurance plans — not their life insurance.

Positive reviews mention: Negative reviews mention:
Friendly, informative advisors Health insurance benefits disputes
High quality of products Slightly higher premium costs
Satisfaction with level of life coverage

How much does life insurance coverage from Canada Life cost?

Like all life insurance, the cost of Canada Life’s policies depends on you and your policy. A young, healthy person under 30 may pay around $30 or less for term life insurance from this provider.

In general, policies from Canada Life Insurance cost more than the normal average — but the difference isn’t that large for young applicants. And, as of October 2023, they are offering lower rates for some term life policies. See the chart below to compare Canada Life quotes based on gender and age.

Canada Life Term Life Insurance Quotes

Age Male Female
20 $31.05 $22.50
25 $31.05 $23.85
30 $31.50 $24.30
35 $36.45 $29.25
40 $51.30 $39.60
45 $85.50 $59.85
50 $141.30 $94.05
55 $234.45 $169.20
60 $423.90 $305.10
65 $696.15 $474.75

*Representative values, based on non-smokers in good health with $500,000 coverage and a 20-year term.

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What types of term life insurance policies does Canada Life offer?

The main term insurance policy offered by Canada Life is its My Term product. It lets you choose any term length from 5 to 50 years based on your insurance needs.

Key features: My Term

  • Level premiums for entire term
  • Automatic policy renewal without proof of insurability
  • Annual policy renewal unless cancelled
  • Can be issued up until age 80
  • Coverage available up until age 85 — term length is dependent on years left to turn 85 (i.e. a 60-year-old can buy a 25-year term but a 77-year-old can only get an 8-year term)
  • Convertible into permanent insurance up to age 70
  • Joint-first-to-die policies available
  • Coverage ends at the policy anniversary nearest the insured’s age of 85
  • Coverage for joint policies ends when the oldest insured person’s policy anniversary is nearest age 85

Coverage and policy details

  • Available term lengths: 5 to 50 years, and all years in between
  • Available term types: Level coverage — single and joint coverage available
  • Maximum amount of coverage: $20,000,000
  • Renewability: Yes, without any proof of insurability. Automatically renewed unless cancelled
  • Convertibility: Yes, convertible to permanent life insurance without a medical exam or doctor’s records, up to age 70

Optional riders and benefits

  • Waiver of premium benefit (only single-life policies)
  • Accidental death benefit (only single-life policies)
  • Guaranteed insurability rider (only single-life policies)
  • Child’s term life insurance rider
  • Business growth protection rider

The Business Growth Protection rider can be especially useful for business owners. It’s a special add-on option that lets them buy more insurance coverage when their share of the business grows in value. And, without going through more underwriting.

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Is Canada Life insurance right for me? 

Canada Life is a great fit for many Canadians. Its wide range of products and customization options make it easy for you to tailor a policy to meet your needs. And, its business growth rider is a fantastic benefit for Canadian business owners.

As Canada’s best online life insurance advisors, we can help you decide if Canada Life products are the best fit for you.

How to get Canada Life insurance quotes?

You can get term insurance quotes for Canada Life on our website in seconds by using our free online quoting tool. Get a personalized quote, compare prices from other major providers, and start the online application process in less time than it takes to make a cup of coffee.

Or, book a consultation call with our licensed advisors. We can give you expert advice and help you find the best life insurance options for you and your family’s peace of mind.

What other insurance policies does Canada Life offer?

Aside from life insurance, Canada Life also offers:

  1. Permanent life insurance (whole and universal)
  2. Critical illness insurance
  3. Disability insurance
  4. Health & dental insurance
  5. Workplace benefits (group insurance)
  6. Creditor insurance
  7. Investment products and financial services

1 Permanent life insurance

Permanent life insurance policies cover you from the day the policy is settled until the day you die. As long as you pay premiums into the policy, the coverage never expires.

Canada Life has 2 types of permanent plans: whole life and universal life insurance.

Whole life insurance

Canada Life offers 2 different participating whole life insurance policies. They both have limited pay options of 10 or 20 years, or up until age 100.

  • Wealth Achiever Plus – These policies are focused on early cash value accumulation, and thus have a higher minimum coverage amount of $100,000
  • Estate Achiever Plus – These policies are focused on long-term policy value growth, and minimum coverage starts at $25,000

Universal Life Insurance

Universal life insurance is like whole life insurance, except you control the cash value investment portion yourself.

Canada Life provides 3 universal life options:

  • Annually Increasing Pay to 85 cost of insurance (COI) – You pay premiums until age 85, there is no guaranteed cash value, and the cost of insurance premiums increases every year
  • Level COI – You pay premiums until age 100, there is no guaranteed cash value, and the cost of insurance premiums stays level
  • Limited Pay COI – You pay premiums for a set amount of time (10, 15, or 20 years), and there is guaranteed cash value after year 5 of the policy

Compare whole vs universal life insurance in Canada.

2 Critical illness insurance

Critical illness insurance plans give you a tax-free payment if you develop a covered illness or health event. Canada Life’s LifeAdvance plan covers 24-25 conditions for up to $2.5 million. They also pay out for partial conditions and you can add on riders or arrange for limited pay.

Learn more in our full Canada Life Critical Illness Insurance review.

3 Disability insurance

Disability insurance, or income protection insurance, pays out a portion of your regular paycheque if you become disabled. It’s not a lump sum — payments continue until you return to good health and can go back to work, or until your policy ends. Canada Life offers 2 disability plans:

  • Lifestyle Protection Plan – Coverage from $3,000 to $25,000 per month and benefit periods of 2, 5, or 10 years, or up until age 65
  • Independence Plan – Max coverage of $3,000 and benefit periods of 1, 2, or 5 years, or up until age 65

4 Health & dental insurance

Private health insurance is a type of insurance plan that covers medical expenses that are not covered by provincial health plans, such as prescription drugs, vision care, dental care, and paramedical services. Canada Life’s Freedom to Choose comes in varying tiers of coverage. And, you have the option to add travel medical insurance coverage as an add-on.

5 Workplace benefits (group insurance)

Group insurance or workplace benefits provides coverage such as health insurance to a group of employees. It is usually bought by employers to cover their employees. Canada Life lets businesses customize their plan options. And, they can add life, critical illness, or accident insurance coverage onto plans.

6 Creditor insurance

Creditor insurance covers large debts like a mortgage, loans, lines of credit, or credit card balances. It will make a payout if you become seriously ill, lose your job, become disabled, or pass away. Canada Life only offers this type of coverage through major financial institutions like Scotiabank, CIBC, and Walmart at the time you take out a loan or line of credit or buy a credit card.

7 Term life insurance

On top of its insurance suite of products, Canada Life also offers many investment solutions and financial products, including:

  • Segregated funds
  • Mutual funds
  • Investment options
  • Goals-based investing with their Constellations program
  • Retirement income solutions
  • Business solutions
  • Competitive mortgage loans
    • Variable-rate mortgages (5-year terms)
    • Fixed-rate mortgages (flexible terms up to 5 years)
    • Lock and roll mortgages (interest rates and payments change every 6 months within a 5-year term)
    • Adjustable-rate mortgages (interest rates and payments change monthly within a 5-year term)

Speak with an advisor

As insurance advisors for Canada Life. We can help you find the right policy. Click the button below to schedule a call with our licensed insurance advisors. Let us help you protect your family’s financial security.

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Call us at 1-888-601-9980 or book time with our licensed experts.
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By Jiten Puri
CEO & Founder, Insurance Advisor, LLQP
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