• Term Life Insurance (10-Year Term, & 20 Year Term)
  • Permanent Life Insurance (Term to 100, Whole Life & Universal Life)

Term Life Insurance (10-Year Term, 15-Year Term & 20-Year Term)

Term Life Insurance has never been more affordable! Fierce competition between insurance companies plus the fact that people are living longer (& healthier) have caused prices for term insurance to fall by approximately 40% in the past 3 years alone! People who have existing term policies can be pleasantly surprised at how much they can save.

The table below shows how inexpensive term life insurance can be. Compare these monthly rates against other term policies, employer-sponsored group plans, association group plans, and bank mortgage insurance -

10-Year Term Rates for a Male, Preferred, Non-Smoker (Monthly)

Age
$100,000
$250,000
$500,000
$1,000,000
30
10.71
16.65
25.81
46.35
35
10.89
17.10
25.81
48.15
40
12.24
20.00
33.69
61.65
45
14.76
25.16
46.80
86.85
50
19.44
38.48
70.20
133.65
55
23.80
54.00
101.25
195.75
60
35.55
78.75
175.00
294.75
65
61.47
143.55
328.50
553.95

  • Female rates considerably less
  • Discounted rates for annual-pay policies
  • Multi-policy discounts for husband & wife policies or business partners may apply

The above rates are based on 10-Year Renewable & Convertible term insurance plans. These plans provide guaranteed level initial & renewable rates to give you exceptionally low-cost coverage. These premium are lower than life insurance available through banks (mortgage and creditor insurance), employers (group insurance), and professional associations (group insurance).

For an on-the-spot, personalized term insurance quote, click on the calculators button on the left handside of this web page.

Permanent Life Insurance (Term-to-100, Whole Life, Universal Life)

Term-to-100 is a form of permanent life insurance with monthly premiums guaranteed never-to-increase . The best rate for a Male, Non-Smoker, Age 45 who wants $200,000 of Term-to-100 coverage is $122.44 per month. As the policyholder ages, this premium is guaranteed never to go up. At age 100 no additional premiums are required, and the policy remains in force . Like 10, 15, or 20-Year Term Insurance, Term to 100 is a form of "pure insurance" - that is, there is no investment or "cash value" component. Term to 100 is a form of stripped down, low-cost permanent coverage for someone who likes the idea of lifelong protection with guaranteed never-to-increase premiums.

Term-to-100 Rates for a Male, Non-Smoker (Monthly)

Age
$100,000
$250,000
$500,000
$1,000,000
30
33.30
73.13
132.75
257.50
35
41.85
89.10
161.55
317.70
40
46.44
125.74
200.94
395.94
45
63.74
148.86
285.11
564.28
50
85.78
200.53
395.53
772.61
55
119.28
281.36
557.19
1100.94
60
161.40
383.24
760.53
1511.78
65
274.00
656.00
1306.00
2553.75

Whole Life Insurance is similar to Term-to-100 in that Whole Life premiums are guaranteed never to increase. Whole Life combines a guaranteed monthly premium with a "cash value" component. The policyholder will pay more per month than Term-to-100 rates, and part of that extra monthly cost will be allocated to build up a cash value in the policy. As above, the best rate for a Male, Non-Smoker, Age 45 who wants $200,000 of Term-to-100 coverage is 122.44 per month. A $200,000 Whole Life policy will cost $147.50 per month ($25.07 extra), and the policy has a guaranteed cash value of $11,000 after 20 years. This $11,000 is only available to the policyholder if he or she wishes to cancel the Whole Life Policy. He or she can either keep the insurance or keep the cash value, but not both. This is a serious flaw of Whole Life Insurance.

Universal Life Insurance is a close cousin to Whole Life Insurance and is quite often better for the consumer. Unlike Whole Life, a Universal Life policyholder can access the policy's cash value without losing his or her insurance. Also the "face amount", or the amount that gets paid-out, goes up as the cash value (or investment account) goes up. With the above example, a $200,000 Universal Life policy would pay-out the $200,000 face amount plus its cash value. As a reference, the minimum premium of one top-rated Universal Life product (using our above 45 Year-old as an example) would be $144.39. This is a little more than the best Term-to-100 rate but the difference can arguably be justified by the extra flexibility and investment accumulation of the Universal Life product. Strict comparisons of the monthly premiums of different Universal Life products is not always the best indicator of the best product however. Variables such as the investment options, investment bonuses, and investment expenses are important criteria in comparing different Universal Life plans.

In brief, permanent life insurance products are usually desirable for the following purposes:

  • Capital gains tax funding (especially for business owners)
  • Estate equalization to allow for an even distribution of your estate - such as where you wish to leave business assets to beneficiaries active in a family business, and non-business assets to those family members not active in the business
  • Business succession planning
  • Tax-sheltered, long-term investment strategies


Chris Funnell 3247 Folkway Drive, Burlington, Ontario L7M 3J4