Best Life Insurance Plan in Canada in 2023

By Nick Robert

Choosing the best life insurance plan in Canada is vital to ensuring you and your family are protected in emergencies. That’s why I have ranked and reviewed the best life insurance companies in Canada & their life insurance policies to help you make an informed decision.

Below is a summary of my top three picks for the best life insurance in Canada:

#1 Pick – PolicyMe

PolicyMe Life Insurance plan

PolicyMe has an easy, online application process and affordable term life insurance

#2 Pick – Manulife

Manulife life Insurance plan

Manulife is one of the largest insurance providers in Canada with great coverage

#3 Pick – Humania Assurance

Humania Life insurance plan

Humania offers excellent term life insurance at affordable rates

How to evaluate life insurance plans and life insurance companies

You must evaluate the life insurance policy and the company to choose the right life insurance plan. Both are equally important to ensure you make the right choice for your life insurance needs

The financial strength of the life insurance company in Canada

You need to evaluate the financial strength of the life insurance company to ensure they have adequate cash flows to pay out your life insurance policy. This can be difficult to determine, and sometimes you have to evaluate the parent companies of the life insurance companies.

If they are a public company, all of this information should be readily available to the public.

Picking the right type of life insurance policy

If you only require a term life insurance policy (insurance that covers you for a set amount of time while the policy is in place), then the large insurance providers will have clear policy’s in place for you to evaluate. Your primary consideration should be your life insurance coverage.

If you require whole life insurance (life insurance that is in place until you die), you will need to evaluate your specific needs against the policy, like your death benefit and cash value, to make the right decision.

I think working with an insurance broker with these specifics would be a good idea before moving forward with a whole life insurance policy. Insurance brokers are like mortgage brokers, they get paid by the insurance company, and it does not cost you anything to use their services.

Cost of the insurance policy

The cost between life insurance policies & types can vary very significantly between life insurance companies & life insurance policies. It’s essential to run the numbers for your specific situation, as you don’t want to pay for premiums you don’t need and want to ensure you have the right coverage.

If all else is equal between two policies (benefits and riders for example), it is best to go with the lower-cost option.


It would be best to read reviews of the life insurance providers and the life insurance policy you are considering. This can identify red flags that others have encountered with a life insurance company.

This will give you a better understanding of what it will be like dealing with this company during a stressful time in your or your family’s life. Insurance is meant to make everyone’s life easier – not harder!

The Best life insurance plans in Canada

For each of the life insurance companies in this list, I summarized the insurance policy types, the monthly policy costs, the application and sign-up process, and google customer reviews. Here is the short list of my top picks from the 20+ options I evaluated:

  1. PolicyMe – Best term life insurance policy

  2. Manulife Insurance – Best whole-term insurance

  3. Humania – Best for a quick policy

  4. IA Financial life Insurance – most affordable insurance for smokers

  5. BMO Insurance – Low-cost term & whole life insurance

#1 – PolicyMe – Most affordable premiums

PolicyMe Life Insurance plan


  • Insurance policy types: Term life insurance & whole life insurance

  • Term life insurance cost: $31.42/month for a 35-year-old male, non-smoker

  • Process difficulty: Low (10-minute online approval)

  • Customer reviews: Good to Great

PolicyMe offers some of the lowest rates on term life insurance policies in Canada. You will receive a 10% discount on insurance premiums if you are married. PolicyMe makes it easy to apply. There are no in-person visits, just a short 5-minute online application.

This company started as an online platform to compare insurance policies, but it has grown to offer its own insurance policies underwritten by Canadian Premier Life Insurance, which has been operating since 1955.

By not having physical locations, PolicyMe can offer lower-cost premiums on typical term life insurance policies.


  • Lowest cost on term life insurance

  • Easy online application process

  • 10% discount for couples

  • Fast approvals

  • Great user reviews

  • Best life insurance company in Canada


  • Only offers term life insurance

  • Only available in some provinces

#2 – Manulife – best term life and whole life insurance offers

Manulife life Insurance plan


  • Insurance policy types: Term life insurance, whole life insurance, disability insurance and critical illness insurance

  • Term life insurance cost: $32.80/month for a 35-year-old male, non-smoker

  • Process difficulty: Low-Medium – some online options with no medical required

  • Customer reviews: Complaints of slow payouts.

Manulife is one of the largest & most trusted insurance providers in Canada. This allows them to offer many types of insurance policies and affordable rates, making them one of the best insurance companies in Canada.

They offer many great options for whole life insurance that can be customized to suit your specific needs. The application process varies depending on the policy you are looking to purchase. They do offer some insurance policies that do not require any medical exams.

From customer reviews, there have been some complaints of poor customer service and slow payouts from policies.


  • Competitive rates on term life insurance

  • Couples combined discounts and benefits

  • Excellent security as one of the largest insurance companies in Canada

  • 10% discount for couples

  • Fairly easy application process

  • Great permanent life insurance options

  • Offer several types of life insurance


  • Slow payouts from policies

  • Limited-term life insurance options

#3 – Humania – Best for quick approvals

Humania Life insurance plan


  • Insurance policy types: Term life insurance

  • Term life insurance cost: Competitive pricing

  • Process difficulty: Low – entirely online and in effect in less than 1 hour

  • Customer reviews: good to great

Humania offers affordable rates on term life insurance with an easy approval process. It’s so easy that you can have a policy in place in effect in under 1 hour. This makes it an excellent option for those other providers have turned down.

Due to this, there is generally less advantage for healthy individuals to use Humania. They also offer many variations on their life insurance coverage, making it difficult to know which policy is best for you.


  • Easy approval process

  • Policy in place in under 1 hour

  • Affordable life insurance coverage for unhealthy individuals


  • Better discounts available for healthy individuals

  • Too many life insurance products

#4 – IA Financial Group – most affordable life insurance in Canada for smokers

IA financial group life insurance plan


  • Insurance policy types: Term life insurance, health insurance & critical illness

  • Term life insurance cost: Offers lowest premiums for smokers

  • Process difficulty: High – a paper process only

  • Customer reviews: Medium – complaints of poor customer service

Most insurance companies in Canada charge up to three times higher premiums to smokers. IA Financial has lower premiums for smokers (about 12% of Canadians), making it an excellent choice for smokers.


  • Best rates for smokers vs other companies

  • Choose term lengths that meet your needs

  • Split coverage with your partner


  • More affordable options for non-smokers

  • Approval process is all in person

  • No online option to review your policy

#5 – BMO Insurance – Low-cost term & whole life insurance

BMO Life insurance Plan


  • Insurance policy types: Term life insurance & whole life insurance, critical illness insurance

  • Term life insurance cost: $33.30/month for a 35-year-old male, non-smoker

  • Whole life insurance cost: 10-15x higher than term life

  • Process difficulty: High (in-person application & medical exam)

  • Score from InsurEye: 2.4 out of 5

BMO life insurance, both term and permanent life insurance are some of the most affordable options. BMO is one of Canada’s top banks, providing extra security that they have the liquidity to pay out policies.

This bank insurance is best suited for policyholders looking for in-person support with the application process.


  • Low premiums on term life and permanent life insurance

  • Financial security provided through BMO’s banking institution

  • Policyholders can choose to upgrade for longer durations


  • Required to apply in-person

  • Medical exam required

  • Limits on the whole life insurance policy without the usual riders


Term life insurance vs Whole life insurance

Term life insurance gives you coverage over a set period of time, generally at a lower cost. After the term, you renew at a slightly increased premium for a new period.

Whole life insurance is permanent life insurance as long as you continue to pay the premium. The cost is higher, but you have a death benefit that you pass on tax-free.

Each has different purposes, so evaluate your insurance needs to determine which is best for you.

Using whole life insurance to be your bank

Whole life insurance has a death benefit that builds over time. Many policies can be set up to let you borrow against your death benefit as collateral. By getting the right policies in place, you can use this to make investments in real estate or start your own business.

What is permanent life insurance?

Permanent life insurance policies continue to provide coverage for the rest of your life. A death benefit will be paid out based on your choice. This is one of the common types of life insurance.

When do you need life insurance?

If you have debts that need to be repaid when you die, it’s good to consider putting a plan in place to cover those debts and assist the important people in your life. When you are younger, policies are cheaper and get more expensive as you age.


In this article, I have covered the best life insurance companies and the best life insurance plans in Canada. Please review the type of life insurance you need and get the proper coverage.

Nick Robert

About the Author

Nick Robert is the founder and creator of I created this website to educate Canadians about everything related to personal finance. As a Chartered Professional Accountant & Chartered Accountant, I have worked with many Canadians to achieve their personal finance goals.

To contact me, you can visit my contact page to email me directly, or you can visit and participate in my subreddit. Let me know about any topics you would like me to cover. If you are interested in guest posting on this website, message me through the contact page.

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