{"id":210609,"date":"2021-03-18T20:00:00","date_gmt":"2021-03-19T00:00:00","guid":{"rendered":"https:\/\/milesopedia.com\/news\/types-of-life-insurance-in-canada\/"},"modified":"2024-05-31T13:17:05","modified_gmt":"2024-05-31T17:17:05","slug":"types-of-life-insurance-in-canada","status":"publish","type":"post","link":"https:\/\/milesopedia.com\/en\/personal-finance\/insurance\/types-of-life-insurance-in-canada\/","title":{"rendered":"Types of Life Insurance in Canada"},"content":{"rendered":"

[vc_row][vc_column][vc_column_text el_class=”checkmarks”]You’re ready to settle down and start a family with your partner, but have you considered life insurance<\/a> apply for support your loved ones when you die?<\/p>\n

If you can’t decide between two life insurance policies, or if you’re wondering if you even need to, read on to learn everything you need to know about life insurance in Canada.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading el_id=”what_is_life_insurance_and_why_do_i_need_it_” text=”What is life insurance and why do I need it?” google_fonts=””][vc_column_text el_class=”checkmarks”]The first thing to understand about life insurance is that it is not for you, but for your family. <\/strong>Generally, life insurance pays a lump sum to the designated beneficiary upon the death of the policyholder.<\/p>\n

If you are in the process of deciding whether or not you need life insurance, here are some things to consider. When you die, will your immediate family be able to pay the mortgage, rent or other bills? Are you going to leave behind large debts or loans that will then burden your loved ones? Do you have children who will need help paying for college? Are you a business owner? If you answer yes to any of these questions, having life insurance is definitely a good idea for you! And even if you are single or young, that doesn’t mean your situation won’t change in the future. That’s why it’s always a good idea to apply for life insurance while you can.<\/p>\n

And contrary to popular belief, life insurance is not as complicated as it seems! Most policies are fairly affordable and accessible to those who are interested. Just make sure your coverage is sufficient to pay for any debts or loans you may have, future family expenses and end-of-life expenses such as your funeral. Thinking about these things can be demoralizing, but your family and loved ones may feel some relief in their time of grief.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading el_id=”term_life_insurance” text=”Term Life Insurance” google_fonts=””][vc_column_text el_class=”checkmarks”]Life insurance in Canada is available in many forms, but the two main types areterm life insurance<\/a> and permanent life insurance. Term life insurance only covers you for a certain number of years (usually between 10 and 30 years), and the lump sum will only be paid to your beneficiary if you die during that period.<\/p>\n

Your term life insurance premiums will be the same each year, and at the end of your policy term, you can choose to extend your coverage (which will cost you more) or let it lapse. The main advantage of term life insurance is that it is much more affordable than permanent life insurance because you are only covered for a specific period of time and not for your entire life.[\/vc_column_text][vc_custom_heading el_id=”types_of_term_life_insurance” text=”Types of term life insurance” font_container=”tag:h3|text_align:left” google_fonts=””][vc_column_text el_class=”checkmarks”]With this in mind, there are several types of term life insurance that you can consider apply for.<\/p>\n