Last updated: August 22, 2022
What is term life insurance?
Term life insurance is a type of life insurance that gives your beneficiaries A beneficiary is the person or entity you name in a life insurance policy to receive a payment after you die. a payout if you die anytime during the term or length of your policy. You can choose how long you want your term policy to last. Sun Life offers term life insurance for 10, 15, 20 or 30 years for Canadians and those legally living in Canada.
As an example, let’s say you buy a 10-year term life insurance plan. If you die at any time during those 10 years, then the people you name as your beneficiaries will get a tax-free payment (also called a death benefit).
What’s the benefit of getting term life insurance?
The biggest perk of having life insurance is the ability to financially protect your loved ones after you die. Your beneficiaries can then use the payment from the death benefit for any reason. For example, they can use it to pay:
- debts,
- mortgage or rent,
- child-care costs,
- living expenses
- and more.
How much term life insurance coverage can you get?
We have four term life insurance products. The amount of coverage you can get depends on which plan you choose.
- Sun Life Go Simplified Term Life Insurance: $50,000 and up to $100,000
- Sun Life Go Term Life Insurance: $100,000 and up to $1,000,000
- SunSpectrum Term Life Insurance: $50,000 and up to $25,000,000
- SunTerm Life Insurance: $250,000 and up to $25,000,000
Calculate how much life
insurance you’ll need
Find out how much coverage you might need to help protect the people you love if you die.
Calculate how much term life
insurance will cost you
Use our quick quote feature to find out how much your premiums A premium is the monthly fee you pay for having insurance. might be if you buy term life insurance.
How to buy term life insurance
There are two ways to buy term life insurance with Sun Life. You can either get a quote and apply online or talk to an advisor to help you select and purchase an insurance product.
Get advice
Not sure what type of insurance you need? A Sun Life advisor can help you figure it out and get you a customized quote.
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Our term life insurance products
Are you eligible for term life insurance?
In order to apply for any of these products, you must currently be legally living in Canada.
When you apply, you’ll have to go through the underwriting process. Underwriting assesses your risk when you apply for insurance. This helps us determine the coverage you’re eligible for and ensures your premiums (monthly or annual insurance fees) reflect your level of risk. Your risk level decides your premium.
If you get term insurance, you can renew your policy after your term ends, but your coverage will expire at age 85.
Frequently Asked Questions
- How does term life insurance work?
- How long does term life insurance coverage last?
- What happens if you were to die while your term life insurance policy is still active?
- Which types of death are not covered in a term life insurance plan?
- Do you have to be Canadian or live in Canada to apply for term life insurance?
- What happens to a term life insurance plan when the term ends?
- Can I convert my plan from term life insurance to permanent life insurance?
- What age range do I have to be in to get term life insurance?
- What’s the difference between term life insurance and whole life insurance?
- Can I get term life insurance even if I already have insurance through my group benefits?
- I’m leaving my job and losing my group benefits. How can I replace my group life insurance?
- I’m retiring and losing my group benefits. How can I replace my group life insurance?
- Where can I learn more about my insurance options?
How does term life insurance work?
Term coverage provides protection for a fixed payment amount, for a given number of years. This could be 10, 15, 20 or 30 years. You can choose the amount of time you need.
How long does term life insurance coverage last?
It depends on the term product you go with:
- Sun Life Go Simplified Term Life Insurance covers you for 10 years.
- Sun Life Go Term Life Insurance: It’s your choice of 10 or 20 years.
- SunSpectrum Term Life Insurance: It’s your choice of 10, 15, 20 or 30 years.
- SunTerm Life Insurance: It’s your choice of 10, 15, 20 or 30 years.
What happens if you were to die while your term life insurance policy is still active?
Then your beneficiaries – the people or person you want to leave money behind to – will get a tax-free death benefit. This is provided you give us accurate information when you apply and pay your premiums on time.
The death benefit refers to the amount of money your beneficiary gets when you die. The exact amount they get depends on how much life insurance coverage you buy. Your beneficiaries can then use the money from that benefit for any reason.
Which types of death are not covered in a term life insurance plan?
Term life insurance plans do not cover death due to suicide If someone commits suicide within the first two years since the policy took effect, Sun Life will return the premiums that were paid minus any administration fees. Please note that this applies to the following products: Sun Life Go Simplified Term Life Insurance and Sun Life Go Term Life Insurance. or self-inflicted wounds. If any information you provided is fraudulent, then Sun Life will not pay the death benefit to your beneficiaries.
Do you have to be Canadian or live in Canada to apply for term life insurance?
You don’t have to be Canadian to apply for life insurance in Canada. However, you do need to be legally living in Canada to be eligible for any of our life insurance products.
What happens to a term life insurance plan when the term ends?
You have the option to renew your policy. However, your premiums may increase when you renew.
SunSpectrum Term and SunTerm will let you convert your policy to permanent life insurance – which offers lifelong insurance coverage that doesn’t expire.
Can I convert my plan from term life insurance to permanent life insurance?
It depends on the term insurance plan you select. Our SunSpectrum Term and SunTerm products give you the chance to convert your policy to permanent life insurance at any time, up to age 75. Permanent insurance provides lifelong insurance that doesn’t expire and premiums that are guaranteed to stay the same throughout your life.
What age range do I have to be in to get term life insurance?
You must fall into a certain issue age to get one of our term life insurance products. Issue age is the age range you fall within to buy a policy. You choose how long you think you’ll need insurance. With term life insurance, even if you need your coverage longer, it’s renewable and doesn’t end until age 85.
Product |
Issue age for Term 10 |
Issue age for Term 15 |
Issue age for Term 20 |
Issue age for Term 30 |
|---|---|---|---|---|
Sun Life Go Term Life Insurance |
18 - 69 | N/A |
18 – 69 | N/A |
Sun Life Go Simplified Term Life Insurance |
18 - 69 |
N/A |
N/A |
N/A |
SunSpectrum Term Life Insurance |
0 - 75 | 0 - 70 | 0 - 65 | 0 - 55 |
| SunTerm Life Insurance | 18 - 75 | 18 - 70 | 18 - 65 | 18 - 55 |
What’s the difference between term life insurance and whole life insurance?
The main difference between term life insurance and whole life insurance is that term offers coverage only for a specific amount of time whereas whole life insurance (a type of permanent insurance) covers you throughout your life.
Can I get term life insurance even if I already have insurance through my group benefits?
You can buy additional life insurance to top up the life insurance you get through your employee benefits. This provides you with insurance coverage even if you leave your job or retire.
I’m leaving my job and losing my group benefits. How can I replace my group life insurance?
If you’re leaving an employer’s group benefits plan with any provider, you may qualify for a Sun Life insurance plan called My Life Choice.
My Life Choice is a plan that allows you to replace your employer’s group life insurance by simply answering a few health questions to determine your eligibility.
I’m retiring and losing my group benefits. How can I replace my group life insurance?
If you’re retiring and leaving an employer’s group benefits plan with any provider, you may qualify for a Sun Life insurance plan called My Life Choice.
My Life Choice is a plan that allows you to replace your employer’s group life insurance by simply answering a few health questions to determine your eligibility.
Where can I learn more about my insurance options?
TIf you’re not sure if term life insurance is right for you, then consider getting some advice. An advisor can explain your options, answer your questions, and help you build life insurance into your overall plan.
Connect with an advisor in the way that works best for you, over the phone, in person or via Zoom. Find an advisor today.
