Skip to main content

Benefits of Term Life Insurance

We’ll help you take the first step towards protecting your family’s financial future

Flexible

Choose any term from 10 and 40 years. If you pass away within this time period3, your beneficiaries receive your policy benefit tax-free4.

Simple

Premiums and coverage are guaranteed for your entire term. Plus, you can renew your policy at the end of your term.

Affordable

Premiums are typically lower than for other types of life insurance, making term life insurance a good option if you have a growing family.

Convertible

Convert your policy into permanent or universal life insurance until you are age 71, without health questions or a medical exam.2

Types of Term Insurance

Offers flexible, convenient and affordable coverage—best of all, you can apply online!

If you need less than $500,000 in coverage, RBC Simplified Term Life Insurance is an easy way to help give your family the protection they need.

Highlights (or Plan Details)

  • Convenient: Get an online quote instantly and apply in as little as 15 minutes
  • No Medical Exam: You may be eligible to receive coverage without having a medical examination
  • Coverage Available: Under $500,000 (starts at $50,000)
  • Affordable: Policies start as low as $12.67 per month6
  • Flexible: Choose coverage for 10, 15, 20 or 40 years (and anything in between)

  • Easy to Understand: Premiums and coverage are guaranteed for the entire term
  • Tax-Free Benefit: Your beneficiary or estate receives the death benefit tax-free3
  • Convertible: Convert your policy to a permanent policy such as universal life insurance without providing additional medical evidence4
  • 30-Day Review Period: If you change your mind within the first 30 days, we will give you a full refund and cancel your policy
Compare the Plans

The Right Choice If You

  • Are a Canadian citizen
  • Are a permanent resident/landed immigrant who have been in Canada over 12 months
  • Need a Term 10 to 15: from age 18 to age 70
  • Need a Term 16 to 40: meet the maximum issue age of age 85 minus the term. Example: Age 85 - Term 25 = Age 60 Maximum Issue Age

What's Covered?

Death Benefit

If you die during the time period when coverage is in effect, your policy provides a tax-free3 death benefit in the amount of your coverage to your beneficiaries or your estate.

Summary of Exclusions5

During the application process, if we are given incorrect or incomplete information regarding health, lifestyle or smoking habits, we reserve the right to deny your benefit.

The information above is intended as a summary only. Please see the additional disclosure information or a sample policy for complete terms and conditions, including benefits and exclusions.

About Your Premiums

  • Your premiums are guaranteed to stay the same for your entire term
  • You can renew your policy after your term ends—premiums will change at renewal but are guaranteed for your entire renewal term
  • At age 100, you no longer have to pay any premiums
  • Pay by monthly pre-authorized debit, annually or with a credit card if you buy online

Offers substantial coverage amounts with the flexibility to choose the term you want.

If you need $500,000 or more in coverage, YourTerm Life Insurance can give you the protection you need for any term from 10 to 40 years.

Highlights

  • Coverage Available: $500,000 to $25,000,000
  • Flexible: Choose coverage for 10, 15, 20 or 40 years (and anything in between)
  • Easy to Understand: Premiums and coverage are guaranteed for the entire term
  • Tax-Free Benefit: Your beneficiary or estate receives the death benefit tax-free4

  • Exchangeable: Exchange a YourTerm 10 policy for a YourTerm 15, 20 or 30 policy without providing medical evidence7
  • Convertible: Convert your policy to a permanent policy such as universal life insurance without providing additional medical evidence2
  • Choose coverage for 10, 15, 20 or 40 years (and anything in between)
Compare the Plans

The Right Choice If You

  • Are a Canadian citizen
  • Are a permanent resident/landed immigrant who have been in Canada over 12 months
  • Need a Term 10 to 15: from age 18 to age 70
  • Need a Term 16 to 40: meet the maximum issue age of age 85 minus the term. Example: Age 85 - Term 25 = Age 60 Maximum Issue Age

What's Covered?

Death Benefit

If you die during the time period when coverage is in effect, your policy provides a tax-free3 death benefit in the amount of your coverage to your beneficiaries or your estate.

Optional Coverage8
  • Joint First-to-Die Option: Covers up to two family members—the benefit is payable on the first death, at which point coverage ends. The survivor also has the option to convert the policy to a permanent plan.

  • YourTerm Rider: Provides additional coverage for you or for someone else, such as your spouse.

  • Children's Term Rider: Provides coverage for your natural or legally adopted children.

  • Accidental Death Benefit Rider: Pays an additional death benefit if you die as a direct result of an accident.

  • Total Disability Waiver of Premium Benefit Rider: After being totally disabled for six consecutive months, we will waive premium payments and policy fees while you are totally disabled.

  • Payor Death and Disability Waiver of Premium Benefit Rider: If someone else pays your premiums and he or she dies we will waive monthly premiums while policy is in force or if he or she becomes and remains totally disabled for six consecutive months, we will waive the payment of cost of insurance deductions, including the policy fee and rider premiums while this person is totally disabled.

The information above is intended as a summary only. Please see a sample riders policy for complete details on rider and optional coverage terms and conditions, including benefits and exclusions.

Summary of Exclusions9

Your coverage is subject to the following exclusions:

During the application process, if we are given incorrect or incomplete information regarding health, lifestyle or smoking habits, we reserve the right to deny your benefit. Other exclusions may apply depending on optional benefits chosen.

The information above is intended as a summary only. Please see a sample policy for complete details on terms and conditions, including benefits and exclusions.

About Your Premiums

  • Your premiums are guaranteed to stay the same for your entire term
  • You can renew your policy after your term ends—premiums will change at renewal but are guaranteed for your entire renewal term
  • At age 100, you no longer have to pay any premiums
  • Pay by monthly pre-authorized debit or annually

Term Life Insurance FAQs

Find answers to your questions about our term life insurance products.

The answer to this question depends on several factors, including your salary, whether you have other life insurance, your financial obligations and more. Generally, 5-7 times your current net income is recommended. However, your specific needs could be less than or greater than this recommendation.

If you smoke, you may still apply for coverage. You will qualify for non-smoker rates only if you have not used any form of tobacco products within the last 12 months. If you occasionally smoke or if you have quit smoking in the last 12 months, you are considered a smoker.

Once the policy is issued, you can apply for a change to non-smoker rates if you have gone a full 12-month period without using any form of tobacco products. Contact us and apply for a switch to non-smoker rates. You will have to complete a medical questionnaire and we will send out a nurse to collect some medical evidence, most likely a urinalysis. Once our underwriters have approved your application and your eligibility is confirmed, you will be switched to non-smoker rates. 

You may apply for RBC Simplified® Term Life Insurance or YourTerm Life Insurance if you are:

  • From age 18 to age 70 for Terms 10 to 15. For Terms 16 to 40, the maximum issue age would be age 85 less the selected Term. For example, if a Term 25 policy is desired, the max issue age is 60 (85-25).
  • A Canadian citizen or permanent resident/landed immigrant who has been in Canada for more than 12 months

To qualify for preferred rates, the amount of coverage you are applying for must be $500,000 or above. Preferred rates also depend on your family history, your health and lifestyle factors, whether you participate in dangerous sports, and more. Please contact us for more information.

Once you are approved, your policy will contain a premium schedule that will show all premiums payable, including the renewal premiums that would apply at the end of your term. These premiums are guaranteed and cannot be changed by RBC Insurance. As long as you continue to pay your premiums, your coverage will continue at these rates. Rates are subject to approval by RBC Insurance.

You will pay premiums for the length of your term (from 10 to 40 years), depending on the term policy you have selected. Coverage can be renewed annually after the initial Term until age 100, at which time coverage continues but premiums are no longer required.

You may pay for your policy on a monthly or annual basis.

  • If you are paying by monthly pre-authorized debit, we will automatically debit your account when you are approved for coverage.
  • If you select to pay on an annual basis, we will send out an invoice for the annual premium.
  • If you buy RBC Simplified® Term Life Insurance online, you can use a credit card in the name of the policyholder.

For coverage under $500,000, apply for RBC Simplified® Term Life Insurance:

*Online option may not be available to all customers. Please get a quote to see if you are eligible to buy online.

For coverage $500,000 and over, apply for YourTerm Life Insurance:

Yes, but you must request the cancellation in writing. When your policy is mailed to you, you have a certain number of days to review it—30 days for RBC Simplified® Term Life Insurance and 10 days for YourTerm Life Insurance ($500,000 and over). If you want to cancel, we’ll refund all premiums paid. After the 10 or 30 days, you can cancel your insurance and you’ll only have to pay for the time you were covered.

Term life insurance is a legal contract between you and RBC Life Insurance Company. In the event of your death, we will make a tax-free payment to your beneficiary or estate, usually referred to as a death benefit1. (Note that probate fees are applicable if the death benefit is paid to your estate.)

Term life insurance covers you for 10 to 40 year periods. Coverage can be automatically renewed after the initial Term until age 100, at which time coverage continues but premiums are no longer required.

The premium you pay goes towards life insurance coverage only. The policy does not build any cash value. However, our policies do allow you to convert your insurance to a permanent life insurance or universal life insurance plan at any time prior to the age of 71, with no health questions or medical exam.2

See Compare Life Insurance Plans to view the features and benefits of our term life insurance plans side by side.

One of the differences between term life insurance and permanent life insurance is that term life insurance covers you for 10 to 40 years, whereas permanent life insurance provides coverage for your lifetime. Term life insurance is also generally lower in cost when compared to permanent coverage.

All of our term life insurance plans offer these benefits:

  • Affordable, guaranteed rates
  • Coverage for 10 to 40 year periods
  • Coverage can be automatically renewed after the initial Term until age 100, at which time coverage continues but premiums are no longer required
  • Ability to convert to a permanent or universal life insurance plan prior to age 71, with no health questions or medical exam required2

There is no cash value with a term life insurance policy. The premium you pay is for coverage only.

The conversion option allows you to convert to a permanent or universal life insurance plan prior to age 71, with no health questions or medical exam required.2

The exchange option allows you to exchange a YourTerm 10 policy for a YourTerm 15, YourTerm 20 or YourTerm 30 policy without providing evidence of insurability. The exchange must occur prior to the earlier of your 5th policy anniversary and the policy anniversary nearest your 70th birthday.

You are covered under the policy once you are approved and we receive the first premium. There should also be no change in your health during the review of your application.

If you are paying by monthly pre-authorized debit, we will automatically debit your account when you are approved for coverage. If you select to pay on an annual basis, we will send out an invoice for the annual premium. Once payment is received, coverage starts. If there is any change in your health during our review of your application, please notify our office immediately.

Your coverage ends on the earlier of:

  • The date of your death
  • The date you request to cancel your life insurance in writing
  • The date you stop paying your insurance premiums

Please contact us for complete details.

Yes. You can apply to reduce or increase your coverage at any time. Your premiums will also be updated based on the new amount of insurance. Coverage increases will require medical evidence and are subject to approval. Please contact your advisor or call us at 1-800-461-1413.

Yes. During the first two years of coverage, if death is due to suicide, then no benefit is payable. Also, if during the application process we are given incorrect or incomplete information, RBC Insurance has the right to deny the claim. This includes information regarding health, lifestyle or smoking habits.

The information above is intended as a summary only. For RBC Simplified® Term Life Insurance, please see the additional disclosure information or a sample policy for complete terms and conditions, including benefits and exclusions. For YourTerm Life Insurance, please see a sample policy for complete details on terms and conditions, including benefits and exclusions.

1)
You may apply for term life insurance if you are from age 18 to age 70 for Terms from 10 to 15. For Terms over 15 years, the maximum issue age would be 85 less the selected Term. For example, if a Term 25 is desired the max issue age is 60 (85-25).
2)
Must be done before age 71. Subject to certain terms and conditions. Please contact us for complete details.
3)
Subject to policy exclusions.
4)
Note that probate fees are applicable if you have not designated a beneficiary and the proceeds of your policy become part of your estate.
5)
The information above is intended as a summary only. Please see the additional disclosure information or a sample policy for complete terms and conditions, including benefits and exclusions.
6)
Rate based on a $100,000, Term 10 policy for a male, age 37, non-smoker.
7)
Exchange must occur prior to the earlier of your 5th policy anniversary and the policy anniversary nearest your 70th birthday or if the plan is a joint-first-to-die plan, the exchange must occur prior to the 70th birthday of the oldest life insured.
8)
The information above is intended as a summary only. Please see a sample riders policy for complete details on rider and optional coverage terms and conditions, including benefits and exclusions.
9)
The information above is intended as a summary only. Please see a sample policy for complete details on terms and conditions, including benefits and exclusions.