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- Canadians with Alzheimer's disease or dementia can still obtain life insurance, although their options are more limited after diagnosis
- A confirmed Alzheimer's diagnosis can result in a rejection for traditional life insurance with many Canadian insurers
- Guaranteed issue life insurance is generally the most accessible option for applicants who cannot qualify for traditional or simplified coverage
According to the Alzheimer Society of Canada, an estimated 771,939 people in Canada were living with dementia as of January 1, 2025, and this number could reach nearly one million by 2030. A diagnosis of Alzheimer’s disease or another form of dementia can raise many financial concerns, including whether you are eligible for life insurance in Canada.
While approval becomes more challenging after a diagnosis, Canadians who meet the basic eligibility requirements may still qualify for life insurance. However, traditional life insurance can be difficult to obtain after a confirmed diagnosis of dementia or Alzheimer’s, limiting options to simplified issue or guaranteed issue policies.
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Can you get life insurance if you have Alzheimer’s or dementia in Canada?
Yes, you can get life insurance in Canada after being diagnosed with Alzheimer’s disease or another form of dementia. However, the type of coverage available is usually much more limited. A confirmed Alzheimer’s or dementia diagnosis can make it difficult to qualify for traditional fully underwritten life insurance.
An Alzheimer’s or dementia diagnosis can make traditional coverage unavailable with some insurers, leaving simplified or guaranteed issue insurance as the only alternatives. For applicants with severe health conditions or advanced-stage dementia, guaranteed issue life insurance could be the only option.
Life insurance for Alzheimer’s and dementia patients in Canada: At a glance
| Feature | Details |
| Can you still get coverage after diagnosis? | Often yes, but choices are usually limited. Guaranteed issue is the most common option, while simplified issue depends on the insurer’s questions. |
| Available policy options |
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| What insurers consider |
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| Existing life insurance | A diagnosis after coverage begins generally does not cancel an otherwise valid policy |
Types of life insurance for Alzheimer’s and dementia patients in Canada
A confirmed diagnosis of Alzheimer’s disease or dementia can make it difficult to qualify for traditional fully underwritten coverage in Canada. As a result, simplified issue and guaranteed issue life insurance are generally the main options available after diagnosis.
Here’s an overview of the different policy types for dementia or Alzheimer’s patients in Canada:
Fully underwritten life insurance
Fully underwritten life insurance policies are the standard policies that Canadians get. However, applicants with dementia or Alzheimer’s will generally find it difficult to obtain. Since these policies have strict underwriting requirements and often require extensive medical exams, most insurers will not offer them to applicants. In general, this option is not viable for dementia and Alzheimer’s patients seeking comprehensive coverage.
Simplified issue life insurance
Simplified issue is a type of life insurance underwriting for term or permanent policies that requires applicants to answer a limited number of health questions without completing a medical exam. While approval is faster than it is for traditionally underwritten policies, premiums are generally higher.
Since simplified issue policies have health questionnaires, Canadian policyholders with dementia or Alzheimer’s may not qualify. Some insurers specifically ask about dementia, Alzheimer’s disease, or cognitive impairment, making it difficult to qualify. Even though simplified life insurance is more flexible, approval is not guaranteed. An insurer may still decline the application. Alternatively, if the application is approved, the insurer might offer a lower coverage amount or a shorter policy term.
Guaranteed issue life insurance
Guaranteed issue life insurance offers coverage without any medical questions or examinations. Acceptance is generally guaranteed as long as the applicant meets the insurer’s age, residency, and policy eligibility rules. For most Canadians with dementia or Alzheimer’s, a guaranteed issue policy is usually the most accessible and realistic policy option.
However, guaranteed issue life insurance has some limitations:
Cost
Guaranteed issue policies generally have the highest premiums compared to fully underwritten or simplified policies, since the insurer undertakes greater risk by accepting applicants without assessing their health through medical underwriting.
Waiting period
Many guaranteed issue policies in Canada include a two-year waiting or deferred-benefit period for non-accidental deaths. During this time, if the insured passes away from an illness or natural causes, the insurer may refund the premiums paid or provide a reduced or graded death benefit.
Limited coverage
Guaranteed issue policies generally offer significantly lower coverage limits than traditionally underwritten or simplified issue policies. As a result, applicants may have to purchase multiple policies to obtain their desired coverage amount, making it even more expensive.
Limited customization
It is also worth noting that guaranteed issue coverage generally offers fewer customization options than traditionally underwritten policies. However, some plans may include built-in benefits or optional riders.
How do insurers evaluate Alzheimer’s and dementia patients?
When you apply for life insurance after an Alzheimer’s diagnosis or another form of dementia, insurers evaluate your overall health profile, cognitive abilities, and the likelihood that the condition will affect your life expectancy.
Here are the primary factors insurers evaluate when assessing life insurance applications from people with Alzheimer’s disease or dementia:
- Current age: Age affects both the underlying cost of life insurance and the insurer’s overall assessment
- Age at diagnosis: Early-onset dementia can be viewed differently from dementia diagnosed at an older age
- Exact diagnosis: Alzheimer’s disease, vascular dementia, and other neurological conditions are all assessed differently
- Time since diagnosis: Insurers may review when symptoms began and how much time has passed since then
- Severity and progression: The severity and progression of dementia or Alzheimer’s can directly affect outcomes
- Treatment and medications: Insurers may review current medications and other medical treatment being pursued by the policyholder
- Family history: Some life insurance applications also consider family history of Alzheimer’s or dementia
Is Alzheimer’s or dementia covered by an existing life insurance policy?
If you develop dementia after your life insurance policy has already been issued, the policy will stay in force and provide the existing coverage as long as premiums are paid and there was no misrepresentation at application. A new diagnosis generally does not require you to requalify for the coverage you already have.
Once your coverage has begun, the prices and coverage amount are locked in for the selected term while you keep paying your premiums. For example, a renewable term policy may allow renewal without new medical evidence. However, premiums can increase according to the policy’s guaranteed renewal schedule. Additionally, many insurers offer guaranteed renewability, which can allow individuals with dementia or Alzheimer’s to renew their coverage without any medical underwriting.
How to purchase life insurance for Alzheimer’s and dementia patients in Canada
PolicyAdvisor’s licensed life insurance advisors can help people with dementia compare life insurance quotes from leading Canadian insurers based on medical history, age, budget, and coverage needs.
Whether you have Alzheimer’s disease or another form of dementia, the advisors can help you find the right coverage for your situation. Our advisors at PolicyAdvisor compare underwriting guidelines across multiple insurers, explain your options, and help identify the policy that offers the best balance of coverage and affordability.
What to do if your life insurance application is declined
If your life insurance application gets denied because of a history of Alzheimer’s or dementia, it usually just means you need a different approach. Insurers vary widely in how they assess dementia and cognitive impairment risk, so a denial from one insurer is often not a denial everywhere. Here is what you can do next:
- Ask why your application was declined: Understanding whether the decision was based on your diagnosis, cognitive assessment, medications, or incomplete medical records can help determine your next steps
- Apply with another insurer: Canadian insurers have different underwriting requirements and risk tolerances. Another insurer may assess your dementia or Alzheimer’s history more favourably and offer a different no-medical option
- Consider a simplified issue or guaranteed policy: If you do not qualify for fully underwritten life insurance, a simplified or guaranteed issue policy may be an option
- Check group life insurance through work: Employer-sponsored policies often do not require individual health underwriting, especially for the base coverage amount. It is often guaranteed issue up to a non-evidence maximum, with underwriting for optional amounts.
Frequently Asked Questions
Can I get life insurance if I already have dementia?
You may qualify for life insurance in Canada with dementia or Alzheimer’s, depending on your health and medical conditions. Simplified issue coverage may be available depending on the insurer’s health questions, while guaranteed issue life insurance is usually the most accessible option for individuals who cannot qualify through traditional underwriting.
What happens if I develop dementia after buying life insurance?
If you develop Alzheimer’s or dementia after your policy has been issued, the diagnosis generally does not change the existing death benefit or cause the policy to be cancelled. However, the policy must remain in force, and the original application should have been completed accurately. Material misrepresentation or concealment of medical information may result in the insurer voiding the policy and denying the death benefit or providing a reduced benefit.
Can I increase my life insurance coverage after an Alzheimer’s diagnosis?
This depends on your policy and whether you have an existing rider that allows additional coverage without new medical underwriting. A policy with a guaranteed insurability rider may allow existing policyholders to purchase additional coverage at specified times or qualifying life events without providing new medical information.
Is Alzheimer’s or dementia considered a mental illness?
No, dementia and Alzheimer’s disease are not considered mental illnesses. Even though they affect the brain and how we think, they are different from mental illnesses like depression or anxiety. Dementia and Alzheimer’s disease are essentially classified as neurocognitive or neurological disorders rather than mental illnesses.
Can someone with dementia buy more life insurance later?
They can, but the options may be limited. Most applicants will be limited to simplified or guaranteed issue policies, depending on their health and other factors.
Is there a waiting period for guaranteed issue life insurance?
Many guaranteed issue policies include a two-year waiting or deferred-benefit period for non-accidental deaths. If the policyholder passes away during this time, the insurer may refund the premiums paid or provide a graded/reduced death benefit.
Canadians living with Alzheimer’s disease or another form of dementia may still get life insurance, but a confirmed diagnosis can significantly limit the types of new coverage available. Guaranteed issue life insurance is usually the most accessible option because it does not require a medical exam.
