Life insurance doesn't have to be expensive. Here are five practical ways Canadians can reduce what they pay without sacrificing the coverage they need.
1. Apply when you're young and healthy
Premiums are lowest when you're young with no pre-existing conditions. Every year you wait costs more. If you've been thinking about it, the best time to apply is now.
2. Choose term over whole life
Term life insurance is dramatically cheaper than whole life for the same coverage amount. For most Canadians, a 20-year term policy provides excellent protection at a fraction of the cost.
3. Compare multiple providers
Premiums for the same coverage can vary significantly between insurers. Using a comparison platform like Covaria lets you see options side by side without having to call multiple brokers.
4. Quit smoking
Smokers pay significantly higher premiums than non-smokers — sometimes double. If you've quit for 12 months, most insurers will reclassify you as a non-smoker, which can dramatically lower your rate.
5. Pay annually instead of monthly
Most insurers charge a small fee for monthly payment processing. Paying your premium annually can save you 3–5% per year — a small but consistent saving over time.