What’s the Best Life Insurance for Seniors in Canada?

What’s the best senior life insurance policy in Canada?

There are 2 types of life insurance available to seniors: term life insurance and permanent life insurance. The biggest difference between the two is how long they last.

• Term life insurance: Only covers a set period of time, typically between 10 and 30 years
• Permanent life insurance: Offers lifelong coverage in exchange for higher premiums

Both types of policy offer a tax-free lump-sum death benefit to your loved ones in the event of your death within the policy term. For those over aged 60, the cost of term and permanent life insurance is often comparable, but each type of life insurance plan offers different benefits. 

Many seniors don’t need life insurance — and that’s okay.

To help you understand all of your coverage options, we’ve provided recommendations for the best life insurance in Canada (both term and permanent life insurance policies) uniquely suited to seniors’ needs.

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Best term life insurance for seniors

Term life insurance is often the simplest option for seniors whose family members (including children and partners) depend on their income. For most seniors, a 10-year term policy is the most cost-effective option to ease the financial burden of funeral expenses and other end-of-life costs for your loved ones. 

^{* For each product, we display the monthly premiums for a 60-year-old female non-smoker. The results show the approximate cost of a 10-year term life insurance policy with $100,000 in coverage.}

1. Term life insurance from PolicyMe

2. Family Term from Manulife

3. Term from Empire Life Insurance Company

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*  Disclaimer: We compared each product's yearly costs to the average cost of similar products for the same type of applicant. This figure shows the approximate price difference for a 60-year-old female non-smoker shopping for a 10-year term life insurance policy with $100,000 in coverage.

Best permanent life insurance for seniors

Permanent insurance is another option that can give peace of mind to seniors and their families. Our top pick is term-to-100 life insurance, a straightforward route to lifelong coverage without unnecessary investment components. 

^{* Disclaimer: For each product, we display the approximate monthly cost for a 60-year-old female non-smoker seeking a term 100 life insurance policy with $50,000 in coverage.}

1. Term 100 from PolicyMe

2. Term 100 Life from Manulife

3. Term 100 from BMO Life Assurance Company

^{* Disclaimer: We compared each product's yearly costs to the average cost of similar products for the same type of applicant. This figure shows the approximate price difference for a 60-year-old female non-smoker shopping for a term 100 life insurance policy with $50,000 in coverage.}

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When is senior life insurance worth it?

Life insurance is worth considering if you’re trying to leave behind: 

• Replacement income for a spouse or dependent 
• Funds to pay off significant outstanding debts (such as a mortgage or auto loan) or estate taxes
• An inheritance made of non-cash assets (such as real estate or locked-in investments) that may require some cash to make an even split
• A charitable donation to a cause near and dear to your heart.
• A trust to support a lifelong dependent, such as a child or family member with special needs
• Final expenses to cover medical costs, burial costs and the cost of settling your estate

Best of all, life insurance isn't usually taxable and can provide substantial support to your beneficiaries after you pass.

Worried about funeral costs? Read up on funeral or final expense insurance created especially for last rites.

What is the maximum age for life insurance coverage in Canada?

For most Canadian insurance companies, the maximum issue age (the age of the oldest applicant they’re willing to insure) is usually between 70-75 years for term life insurance and up to 90 years for whole life insurance. A life insurance advisor can help you assess your insurance needs and find a provider who’s happy to accommodate you.

Can seniors qualify for life insurance with health issues?

Yes, seniors can still qualify for life insurance with health issues. However, health issues must be disclosed and they will affect your premiums.

• Mandatory disclosure: Medical questionnaires and exams are required for 95% of applicants over 60
• What you’ll disclose: Medical information includes exams, APS (Attending Physician Statement), medical records, MVRs, and more

Fully underwritten plans make sense to start, even if you have underlying health issues. They’re cheaper long term and you will receive an accurate premium, rather than overpaying for a guaranteed policy because you don’t want to be declined. 

Medical exams may sound intimidating, but exams are typically simple and free. You’ll answer questions and submit basic info (blood and urine samples, basic measurements). The whole process can take 30 to 45 minutes. 

Life insurance for seniors: fully-underwritten, simplified, or guaranteed issue?

Term and whole life insurance policies can be fully-underwritten, simplified, or guaranteed issue. If affordability is your main concern, think of them as Plan A, B, and C.

These terms describe the underwriting process, i.e. how thoroughly your insurer assesses your health issues and level of risk. Without an accurate idea of your health and medical history, insurers tend to assume the worst, and you could end up paying higher premiums for less coverage:

• Fully underwritten life insurance for seniors usually involves a medical exam and a review of your medical history. Because fully-underwritten policies are often cheapest, it’s best to apply for one first.
• Simplified life insurance is a type of no medical life insurance that doesn’t require an actual medical exam, just the answers to a few health questions. Premiums for simplified issue life insurance may be higher than for fully underwritten insurance, but they’re typically still affordable and can be a good option if you have multiple health conditions.
• Guaranteed issue life insurance is another type of no medical life insurance requiring neither a medical exam nor medical questionnaire. These policies accept all applicants regardless of age, health, or medical history, and are often the most expensive products on the Canadian market while offering the least coverage.

Although it requires more effort to apply, a fully underwritten life insurance quote can offer substantial savings. PolicyMe’s fully underwritten life insurance for seniors uses an accurate picture of your health to ensure you pay only what you need and no more. 

"Apply for a fully underwritten term policy first. Then try simplified issue life insurance. If these options don't work, look into guaranteed issue life insurance as a Plan B." — Erik Heidebrecht, Licensed Life Insurance Advisor

How much does life insurance for seniors cost?

Life insurance for seniors costs between $25 and $200 per month, depending on the policyholder’s risk profile, the type of policy, term length, and coverage amount.

For seniors (whether first-time buyers or retirees, life insurance rates are determined by risk factors — and many of these are not in your favor, such as age and health:

• Age: The older you are, the higher your risk of illness or injury, and the higher the life insurance premiums for seniors.
• ‍Coverage amount: Selecting a higher amount of coverage means your beneficiaries will receive a larger life insurance benefit when you die, and your insurer charges accordingly.
• Gender: According to Statistics Canada, women are nearly 9% less likely to die at all ages than men, making them a safer bet to insure.
• Health: Pre-existing conditions and illnesses such as cancer, diabetes, high blood pressure, and heart disease make you riskier. Providers may charge higher premium payments or even deny your application.
• Smoking status: Smokers looking for life insurance are likely to pay high premiums due to the risk smoking poses to their health.

Here are sample rates from PolicyMe for a 10-year term policy with $100,000 of coverage:

^{* Disclaimer: Table displays the approximate average monthly cost of a 10-year term life insurance policy with $100,000 in coverage for a non-smoking applicant.}

Again, we recommend applying for fully-underwritten life insurance to see if you’re eligible for lower rates before turning to alternatives. Canadians living with severe chronic illness may need to turn to high risk life insurance for coverage.

Bottom line: Consider coverage, age, and affordability

Between term life and permanent life, full underwriting and no medical, there are lots of life insurance options for seniors in Canada. You can narrow down the choices by asking yourself 3 important questions:

1. How much life insurance do I need? Your end-of-life and post-life goals will determine how much coverage you need. You can also use PolicyMe’s online life insurance calculator for a quick and simple estimate. 
2. Term or permanent life insurance? If you’re 75-years-old or less, you’re probably eligible for term life insurance. If you’re older, you’ll probably need to apply for a permanent policy.
3. Fully-underwritten, no medical, or guaranteed? We recommend applying for the cheapest product (fully-underwritten, term life insurance) before exploring no medical, guaranteed, and/or whole life insurance. 

With a little planning, it’s possible to find affordable life insurance to satisfy your debts, cover end-of-life expenses, leave an inheritance, and provide for your loved ones. PolicyMe’s team of licensed insurance advisors can provide even more help explaining and exploring your options.

Methodology: best life insurance for seniors in Canada

About the data

PolicyMe’s rankings are based on an independent, data-driven review of Canada’s best life insurance products and providers. Our analysis combines 450,000+ quotes for 70+ policies and 20+ insurers, drawing on trusted sources such as COMPULIFE, WinQuote and official provider websites, supplemented by ratings from Google.

About star ratings

Each product received a star rating out of five based on pricing, customer satisfaction and ease of purchase, customized by age group, sex at birth, and smoking status. We awarded three stars to every provider with insolvency protection from Assuris and a financial stability rating of “A-” or higher from a respected credit rating agency such as A.M. Best.

Products with an average price at least 5% below the industry average received one extra star for affordability, while providers with a Google Reviews score of 4.0 or higher earned an extra half-star for customer satisfaction. Finally, products offering convenient online quoting options earned another half-star for accessibility. 

About the categories

The 10 “Best Of” categories use criteria reflecting the most popular types of coverage and buyer needs. Most term life insurance categories compare 10-30-year policies with $500,000 in coverage for non-smoking women between the ages of 30-44. The “best of” categories for smokers and seniors compare policies for smoking women and 60-year-old women, respectively.

Most customers purchase a smaller amount of permanent and no medical coverage because it’s expensive, and they require coverage for end-of-life expenses rather than debt or income replacement. We therefore capped the coverage for the permanent and no medical life insurance categories at $50,000.

About rankings

The rankings within each category are determined first by star rating and then by average monthly premiums by age group, sex at birth and smoking status. 

About pricing comparisons

To ensure fairness and accuracy, we made all pricing comparisons between products of the same type, with the same coverage amount, and for the same combination of age group, sex at birth and smoking status. The rates listed in this article are based on publicly available rates as of January 2026.

For example, the cost of a 10-year term policy for non-smoking women aged 18-29 with $500,000 in coverage is always compared to the industry average for all 10-year term policies for the same demographic segment and with the same amount of coverage.

Similarly, the average cost of a fully underwritten permanent life insurance policy for non-smoking women aged 30-44 with $50,000 in coverage is always compared to the industry average for all fully underwritten permanent policies for the same demographic segment and with the same amount of coverage.

Disclaimer

PolicyMe’s findings use unaltered data and are free from paid placements or sponsored influence. While we strive to keep our information up-to-date, we cannot guarantee the validity of third-party data. These results are intended as a helpful reference and not as a substitute for personalized financial advice. 

FAQ: Best life insurance for seniors