Life insurance serves as a cornerstone of financial planning, offering peace of mind and protection to individuals and families. In the vibrant landscape of the Canadian insurance industry, choosing the right life insurance company is paramount. This comprehensive guide delves into the top 10 life insurance companies in Canada for 2023.
From their diverse policy offerings to their financial stability and commitment to policyholders, this article will serve as your compass to navigate the world of life insurance in the Great White North.
- Life Insurance Companies In Canada – Industry
- Factors to Consider When Choosing a Life Insurance Companies In Canada
- Top 10 Life Insurance Companies in Canada
Life Insurance Companies In Canada – Industry
Indeed, the Canadian insurance industry plays a significant role in providing financial protection and support to millions of Canadians. Here are some quick facts about the Canadian insurance industry:
- Life Coverage and Total Coverage Amount: There are approximately 22 million Canadians who have life insurance coverage, which collectively amounts to a substantial $5.3 trillion in total coverage. This indicates the extensive reach and importance of life insurance in providing security and financial support to individuals and their families.
- Payout of Life Insurance Benefits: In a given period, Canadian insurers paid out a total of $14.3 billion in life insurance benefits. These benefits were distributed in various forms, including both death benefits and benefits paid to living policyholders.
- Death Benefits: Of the $14.3 billion paid out, $8.8 billion were disbursed as death benefits. These benefits are provided to the beneficiaries of policyholders who have passed away, helping to alleviate financial burdens during a difficult time.
- Living Policyholder Benefits: The remaining $5.5 billion was paid to living policyholders in the form of dividends, cash surrenders, or disability benefits. These types of benefits can provide financial assistance to policyholders in various circumstances, such as when they experience disability or choose to access the cash value of their policies.
These statistics highlight the vital role that insurance companies play in safeguarding the financial well-being of Canadians and their families.
Whether through death benefits that offer support during times of loss or living benefits that provide financial flexibility, insurance coverage serves as a crucial component of individuals’ financial planning and security.
Factors to Consider When Choosing a Life Insurance Companies In Canada
Before embarking on a journey through the list of the top 10 life insurance companies in Canada, it’s essential to grasp the factors that contribute to a reputable and trustworthy insurer:
- Customer Satisfaction: Exceptional customer service establishes a solid foundation for prompt assistance, addressing inquiries, and ensuring a seamless claims process.
- Reputation and Reviews: Gleaning insights from reviews and recommendations helps gauge the experiences of existing policyholders.
- Coverage Variety: A stellar life insurance company should offer a spectrum of coverage options, encompassing term life, whole life, and universal life insurance, tailored to diverse financial goals.
- Policy Flexibility: The availability of customizable policies that align with your unique financial situation adds a layer of personalization to your coverage.
- Financial Solvency: Opting for a financially stable insurer ensures that your beneficiaries’ claims will be honored, even years down the line.
Top 10 Life Insurance Companies in Canada
1. Manulife Financial
With assets totaling 1.3 million and premiums written at $40 billion, Manulife stands out as one of the largest life and health insurance providers in the realm of Canadian insurance companies.
Beyond life insurance, Manulife offers an array of financial products encompassing banking, wealth management services, and group benefits.
As a notable financial services entity, Manulife is renowned for its term insurance plans.
These plans include options such as CoverMe (a 10-year term policy renewable up to age 85), Family Term (with great flexibility suitable for families), Business Term (tailored for business owners, providing up to $20 million in death benefits), Family Term with Vitality (offering potential savings and rewards for maintaining healthy habits), and Quick Issue Term (requiring no medical reports).
In addition to life insurance policies, Manulife extends its offerings to health insurance, dental insurance, critical illness insurance, travel insurance, disability insurance, group insurance, pension products, annuities, mutual funds, and more.
Institutions like Manulife present a diverse array of financial products and services that assist individuals in planning for their future and safeguarding their loved ones. Moreover, Manulife offers wealth management services and group benefits to enhance the financial well-being of its clients.
2. Sun Life Financial
Sun Life Financial, Inc. stands as one of the world’s largest and oldest life insurance providers, tracing its origins back to 1865.
Its global reach extends beyond Canada to encompass the United States and seven key Asian markets, including China and India.
Operating under The Sun Life Assurance Company of Canada, the company offers an extensive range of products spanning life, health, and other individual insurance categories.
These include offerings such as travel, mortgage, and business owner insurance.
Sun Life also provides solutions for savings, retirement income plans, and investment products, contributing to its comprehensive suite of financial offerings.
3. Canada Life Assurance Company
In 2019, Great-West Life underwent a merger that combined its sister companies, London Life and Canada Life, under the unified Canada Life brand.
This consolidation resulted in The Canada Life Assurance Company, which provides an array of personal insurance solutions. These include offerings such as term life, disability, critical illness, and creditor insurance.
In addition to personal insurance, Canada Life also presents investment and savings solutions like segregated funds and annuities, as well as mortgages and business insurance.
For individuals seeking information about Great-West Life Insurance and London Life Insurance, it’s advisable to refer to The Canada Life Assurance Company, which encompasses the comprehensive offerings of these merged entities.
4. Great-West Life Assurance Company
Great-West Lifeco emerges as the leader among insurance companies on the list in terms of Gross Written Premiums (GWP), with a substantial nearly 13% increase in written premiums, rising from $57.4 billion in the previous year.
As a subsidiary of the investment giant Power Financial Corporation, Great-West Lifeco’s significant growth is noteworthy.
The company’s diverse portfolio encompasses:
- Life and health insurance products
- Reinsurance products
- Retirement and investment services
- Wealth management services
Great-West Lifeco commands a workforce of approximately 31,000 employees and boasts a network of over 234,500 advisors.
Its services extend to more than 38 million clients across Canada, Europe, and the United States. Notably, the company’s total assets have experienced an impressive 11% increase, reaching $630.5 billion.
The latest financial data showcases total assets under management exceeding $1 trillion, while assets under administration have reached nearly $2.5 trillion.
This growth trajectory solidifies Great-West Lifeco’s standing as a formidable presence in the insurance industry.
5. RBC Insurance Company
RBC Insurance ranks as one of Canada’s most reputable insurance brokers. Banks, recognized as highly trusted sources for financial guidance and products, including life insurance, make RBC Insurance a prominent player in the industry.
This Canadian company extends its offerings beyond life insurance to encompass home, health, car, and travel insurance.
Within the realm of life insurance, RBC Insurance provides both term and permanent life insurance policies.
Their flagship product, YourTerm, offers applicants the flexibility to select a term spanning from 10 to 40 years. Additionally, RBC offers a no-medical term insurance plan named SimplifiedTerm.
Notably, both of these plans offer the option of conversion. RBC Insurance’s diverse offerings also include home insurance, car insurance, travel insurance, mutual funds, and more.
RBC Insurance Canada offers four permanent insurance products, including a no-medical permanent insurance option. This comprehensive suite of offerings positions RBC Insurance as a provider of choice for various insurance and financial needs.
6. Desjardins Insurance Company
Being one of the prominent insurance companies in Canada, Desjardins operates as a financial services cooperative and holds the distinction of being the largest federation of credit unions, also known as caisses populaires, in North America.
The insurer’s reach extends far, boasting the most extensive regional presence of any financial institution in Québec and a robust footprint in Ontario.
With participation from 195 caisses in these provinces, Desjardins maintains a strong foothold. Furthermore, the company collaborates with 412 accredited trainers from 114 partner organizations nationwide.
Desjardins commands a workforce of approximately 58,700 employees and has nearly 2,460 directors within its Caisse network. Impressively, it serves a vast clientele of over 7.5 million clients and members.
The insurer’s annual report reflects a 2.5% increase in total assets, rising to $397.1 billion, while Gross Written Premiums (GWP) experienced a noteworthy 5.2% growth, reaching $11.6 billion from the previous year.
In the realm of sustainability, Desjardins has committed nearly $1.7 billion to investments in the renewable energy infrastructure sector.
Moreover, through the GoodSpark Fund, dedicated to promoting economic, social, and environmental initiatives within communities, the company has already allocated $161 million of its $250 million total funding to support 726 development projects.
These endeavors underscore Desjardins’ dedication to both financial excellence and meaningful societal impact.
Established in 1896, Wawanesa Mutual has its executive offices situated in Winnipeg. Serving as the parent company of Wawanesa Insurance, it is responsible for the distribution of life insurance policies and services across Canada.
Beyond life insurance, Wawanesa’s offerings encompass various other insurance types, including automobile, farm, and home insurance, as well as commercial business coverage.
The company also oversees Wawanesa General, a subsidiary that provides Property and Casualty (P&C) insurance services in the states of California and Oregon.
Through its comprehensive range of insurance products, Wawanesa remains a significant player in the insurance landscape, catering to diverse coverage needs across regions.
8. Empire Life Assurance Company
Empire Life, much like its parent company E-L Financial, operates as both an insurance and investment firm. Its offerings encompass life and critical illness insurance, as well as group benefits.
Additionally, the company holds a subsidiary called Empire Life Investments Inc. (ELII), which serves as an investment manager and advisor for Empire Life segregated funds. ELII also provides a range of mutual funds to clients.
While Empire Life’s total assets experienced a decrease from the previous year, its Gross Written Premiums (GWP) remained relatively stable.
E-L Financial, which is publicly traded on the Toronto Stock Exchange, manages assets totaling over $19.6 billion on behalf of its extensive client base, which consists of more than 600,000 individuals.
Through its diverse array of insurance and investment services, Empire Life continues to play a significant role in meeting the financial needs of its clients.
9. TD Insurance Company
TD Insurance, headquartered in Toronto, Ontario, offers life insurance coverage across Canada. While TD Insurance is a prominent player in the Canadian insurance market, it’s worth noting that some consumers may find their life insurance premiums to be relatively higher compared to those of other insurers in the industry.
As with any insurance provider, the cost of premiums can vary based on a variety of factors, including the type of coverage, the insured individual’s age, health status, and other personal circumstances.
It’s essential for potential policyholders to carefully review their options and compare quotes from different insurers to ensure they’re getting the coverage that best meets their needs at a competitive rate.
10. BMO Insurance
BMO Insurance, a member of the BMO Financial Group, is deeply rooted in Canada’s financial landscape and offers a range of insurance products and services.
With a history dating back to 1817, the BMO Financial Group is one of the largest and most well-established financial institutions not only in Canada but also globally.
BMO Insurance provides a variety of insurance offerings, including term life insurance and permanent life insurance options.
In addition to life insurance, BMO Insurance also offers other types of coverage, such as accident, travel, and critical illness insurance.
Beyond insurance, BMO Insurance extends its services to include income annuities and guaranteed investment funds, providing individuals with a comprehensive range of financial solutions to meet various needs and goals.
Selecting a life insurance company is a monumental decision that holds far-reaching implications for your financial security and the welfare of your loved ones.
The top 10 life insurance companies listed above have earned their stature through a blend of comprehensive coverage, financial stability, and a dedication to policyholder satisfaction.
By considering your distinct requirements, assessing policy features, and researching customer experiences, you can confidently choose the life insurance provider that aligns with your aspirations and provides the tranquility you seek.
After all, life insurance isn’t just about policies; it’s about nurturing your financial future and safeguarding the well-being of those who matter most in the vast expanse of Canada.