Many people overestimate the cost of life insurance. In reality, it is often more affordable than expected, especially when you're young.
The other thing is, that it may not always be wise to chase the cheapest policy. While term life insurance is typically the most affordable, is it the right coverage for you? It only lasts for 10 or 20 years, and if you’re relatively young, you’ll need to renew it when it expires. At that point, premiums will likely increase due to your age and possibly changed health conditions.
To find the best fit, compare different plans, and don't hesitate to consult a professional life insurance advisor.
Even if you have a good savings cushion, life insurance can provide a larger payout and prevent your family from having to dip into savings for unexpected costs.
▪️ The life insurance benefit can replace your income as a breadwinner. That will help your loved ones with managing ongoing expenses like mortgage payments, debts, and daily living costs.
▪️ Plus, life insurance benefits are tax-free, which maximizes the financial support your loved ones receive — helping to preserve your savings for other needs.
Insurance companies are legally and morally obligated to fulfill your policy as long as the conditions outlined in the policy are met (such as the insured passing away or being diagnosed with a critical illness) and you have provided all information truthfully.
Let’s take a step back. Before purchasing life insurance, when you request a quote, the licensed advisor from the insurance company will ask you some questions about your health and lifestyle: age, smoking status, medical history, etc. Your answers help assess the risk you present to the insurer, which is what your life insurance quote is based on.
* With traditional life insurance companies, after those initial questions about your health, you will likely need to undergo a medical exam. We offer coverage without such a requirement.
A key part of this myth is that some applicants believe they can misrepresent their health conditions (current or past) when applying for a policy. But a false declaration is considered fraud. In the case of such a fraud, the insurance company may refuse to pay out the policy.
Even if you’re single and don’t have kids, life insurance can still be a smart move.
It can help cover:
☑️ any outstanding debts, like student loans or credit cards
☑️ final expenses
Such expenses otherwise might fall on family members.
Plus, locking in a policy while young and healthy often means lower premiums, so you’ll have affordable protection if your life situation changes.
Life insurance is not an investment. It’s a guarantee that, if you die, your beneficiaries will receive the financial support they need. You are paying for this guarantee, not contributing to a savings account.
It’s one of the most common misconceptions about life insurance. People generally accept that with car or home insurance, they won’t get their premiums back when they sell the property. But with life insurance things are different. Some confuse it with health insurance, where you receive reimbursements for medical care.
Think about what’s being insured. With life insurance, you're insuring your life. The payout only occurs when that life ends — similar to how a payout happens when a car is crushed.
In summary, life insurance is worth having because the peace of mind that comes from knowing your family is financially protected is truly priceless. With an active policy, if something happens to you, your loved ones will receive a financial safety net, allowing them to focus less on money and more on the memories you leave behind.
That's the myth we deal with on a daily basis, so we're happy to debunk it here.
Having health issues doesn't automatically disqualify you from getting life insurance. We offer policies specifically designed for people with pre-existing conditions:
Neither of these options requires a medical exam. We're also proud to include one of the most affordable permanent plans on the Canadian market: Term 100 life insurance — it provides lifetime coverage with no investment component.
Additionally, some well-managed health conditions might not impact your eligibility as much as you think. Consulting with a licensed life insurance advisor can help you find a policy that fits your situation and does not require a doctor's visit or lab tests.
Well, that’s the point of life insurance — but life goes on, and things change around you. What if you have children? Get married? Or divorced? Major life changes — such as marriage, kids, or new jobs — can significantly alter your financial needs. It’s a good idea to review your policy periodically to ensure it’s still the right fit.
Some policies offer options to adjust coverage as your needs change.
In most cases, government assistance for funerals is very limited. For instance, in Canada and the U.S., programs such as social assistance or pension plans may provide a small payout — but it usually only covers a fraction of funeral expenses. The whole amount can easily run into thousands of dollars.
Without life insurance, your family may have to dip into their savings or take on debt to cover the costs of your funeral. Life insurance provides a reliable safety net, allowing your loved one to focus on healing rather than the burden of expenses.
In short, counting on the government to fully cover funeral costs is risky, and life insurance offers the peace of mind that your final expenses will be handled.
In summary, life insurance myths can lead to misunderstandings about how coverage works and who can benefit from it. Whether it’s concerns about health, marital status, or financial stability, there are policies to fit various needs and circumstances.
Don't let myths hold you back from exploring your options!
