Best life insurance for children in Canada in 2025

Coverage type
Term Life Insurance
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Ontario
Age at issue
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Coverage type
Term Life Insurance
I live in
Ontario
Age at issue
Insurance company
Amount coverage
Features
Policy Highlights
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Recommended Offer
Amount coverage
Up to$ 10,000,000
Age at issue
From 18 to 75 years
Premium options
10, 15, 20, 25, 30, or 40 years
Additional coverages
7
Age at issue
From 18 to 75 years
Premium options
10, 15, 20, 25, 30, or 40 years
Additional coverages
7
Flexible insurance for your family
  • Fixed premiums for the term duration
  • Option to renew the contract from the 5th year
  • Fixed or decreasing insured capital
  • Fixed premiums for the term duration
  • Option to renew the contract from the 5th year
  • Fixed or decreasing insured capital
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Our detailed review

Beneva's Term Life Insurance offers a flexible and affordable way to secure financial protection for dependents, making it particularly attractive for first-time buyers or those managing a tight budget. Coverage is available up to $10 million, with term lengths of 10, 15, 20, 25, 30, or even 40 years, and eligibility spans from ages 18 to 75. One of its key strengths lies in its adaptability: policyholders can switch to a longer term or even to permanent insurance without undergoing a new medical exam within the first five years. Customers can also choose between fixed or decreasing benefit structures, depending on their evolving needs. Premiums stay constant during the initial term, simplifying financial planning, although they may rise upon renewal. Additional features include optional riders like critical illness coverage and disability waivers. However, while the product is solid and backed by Beneva’s 75 years of industry experience, its online resources are relatively sparse, potentially requiring more direct interaction with an advisor to fully understand all options.

Ideal profile: This policy is best suited for young professionals, new parents, and individuals taking on major financial obligations like mortgages or business loans who need affordable, predictable protection over a defined period. It also appeals to those who value future flexibility without the risk of repeated health underwriting.

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  • Very broad choice of terms, from 10 to 40 years, adapting to many life stages
  • Premiums remain fixed during the term, helping with predictable budgeting
  • Option to switch to a longer term or permanent insurance without a new medical exam
  • Choice between fixed and decreasing capital based on personal financial strategies
  • Add-ons like critical illness or disability coverage can further customize protection
  • Beneva's extensive experience (over 75 years) adds a layer of credibility and stability
  • Premiums may increase substantially upon renewal after the initial term
  • Decreasing benefit may not meet long-term protection needs for everyone
  • Limited information available online, requiring direct consultation for complex cases
Recommended Offer
Age at issue
From 20 to 60 years old
Premium options
10, 15, 20 or 30 years
Additional coverages
7
Age at issue
From 20 to 60 years old
Premium options
10, 15, 20 or 30 years
Additional coverages
7
  • Guaranteed premiums
  • Option to convert the policy to permanent insurance at any time before age 75
  • Ideal for business owners
  • Guaranteed premiums
  • Option to convert the policy to permanent insurance at any time before age 75
  • Ideal for business owners
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SunSpectrum Term Life Insurance from Sun Life offers a flexible and robust term life solution with term lengths of 10, 15, 20, or 30 years, accommodating a variety of short- to medium-term protection needs such as income replacement, debt coverage, or business continuity planning. Policies are available to applicants aged 30 to 60, with coverage amounts reaching up to an impressive $15 million, ensuring substantial financial protection. A standout feature is the guaranteed premium structure, providing cost predictability throughout the initial term, and the built-in option to convert the policy to permanent insurance without medical requalification before the insured's 75th birthday—an attractive benefit for those wanting lifetime coverage eventually. Additionally, the plan includes living benefits for terminal illnesses and disability waivers, catering to both personal needs and business applications, such as key employee coverage. However, it is important to note that premiums can rise sharply after the initial term, and conversion opportunities diminish with age, necessitating careful timing and planning.

Ideal Profile: This product is especially well-suited for business owners needing succession planning, middle- to high-income professionals seeking high coverage amounts for family security, and individuals aiming for flexibility now with the possibility of permanent coverage later. It is also a strategic fit for those who prioritize guaranteed insurability without future medical exams.

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  • Guaranteed premiums and ease of conversion to permanent insurance
  • High coverage limits up to $15 million accommodating major financial responsibilities
  • Flexible term options (10, 15, 20, or 30 years) to suit different planning horizons
  • Living benefits included for terminal illness and total disability
  • Tailored add-ons for personal and business needs, such as child and partner protection benefits
  • Significant premium increases after the initial term
  • Fewer conversion and longer-term options available as the insured ages
  • Complex range of options requiring careful matching to specific needs
Age at issue
From 18 to 75 years old
Premium options
10, 15, 20, 25 or 30 years
Additional coverages
Contact the insurer
Age at issue
From 18 to 75 years old
Premium options
10, 15, 20, 25 or 30 years
Additional coverages
Contact the insurer
10% couple’s discount in the first year
  • Cancel anytime without fees or penalties
  • 30-day grace period for missed payments
  • Beneficiaries get 100% of the payout, tax-free
  • Cancel anytime without fees or penalties
  • 30-day grace period for missed payments
  • Beneficiaries get 100% of the payout, tax-free
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PolicyMe Term Life Insurance stands out as a streamlined and highly cost-effective solution for Canadians seeking straightforward life insurance coverage. Offering coverage amounts from $100,000 up to $5 million and term durations of 10, 15, 20, 25, or 30 years, PolicyMe targets individuals and families wanting affordable, predictable protection without unnecessary complexity. Rates are locked in for the full duration of the policy, helping clients plan with confidence. The 100% online process enables immediate approval, making it accessible to a wide audience, especially tech-savvy users. Added perks such as no cancellation fees, a 30-day grace period for missed payments, and a complimentary child coverage feature enhance its appeal. A notable 10% discount for couples in the first year encourages joint applications. However, the lack of deep customization options and the exclusively digital service model might not suit those who value personalized advice or face-to-face interactions, which remain common preferences in the Canadian insurance market.

Ideal profile: PolicyMe is an excellent fit for young to middle-aged adults, digital natives, and cost-conscious families who want reliable term life insurance without the hassle of dealing with brokers. It’s particularly suitable for those who prioritize speed, simplicity, and managing their insurance policies independently online.

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  • Affordable rates offering up to 20% savings compared to traditional insurers
  • Wide range of term options (10 to 30 years) for different life stages
  • Immediate online approval process with no medical exam in many cases
  • Free child coverage and a first-year 10% couple’s discount
  • No fees or penalties for cancelling the policy at any time
  • Entirely online interaction may not appeal to those who prefer personal consultation
  • Limited customization of coverage options compared to full-service insurers
Age at issue
From 0 to 70 years old
Premium options
From 10 to 40 years
Additional guarantees
12
Age at issue
From 0 to 70 years old
Premium options
From 10 to 40 years
Additional guarantees
12
Ideal as mortgage protection
  • Fixed or decreasing insurance amount
  • Fixed premiums and guarantees
  • Option to convert to permanent life insurance without medical evidence
  • Fixed or decreasing insurance amount
  • Fixed premiums and guarantees
  • Option to convert to permanent life insurance without medical evidence
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Pick-A-Term from iA Financial Group is a highly flexible term life insurance solution designed to meet the evolving needs of individuals and families across different life stages. Offering term options from 10 to 40 years, it aligns perfectly with financial obligations such as mortgages, education funding, or business needs. The product guarantees fixed premiums for the chosen term, simplifying budgeting and financial planning. Additionally, policyholders have the option to renew coverage annually or convert to permanent insurance without requiring new medical evidence, providing valuable adaptability as circumstances change. It also includes access to additional benefits like critical illness and disability coverage for more comprehensive protection. However, at renewal, premiums can increase sharply, and the decreasing benefit option may not be suitable for those needing stable, predictable coverage. The wide array of optional features, while a strength, could overwhelm clients unfamiliar with life insurance choices.

Ideal profile: Pick-A-Term is ideal for young families, professionals, and pre-retirees seeking flexible, cost-effective coverage tied to specific financial milestones, such as paying off a mortgage or raising children. It’s perfect for those who prioritize simplicity upfront but may want the option to secure lifetime coverage later without new health checks.

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  • Wide selection of term durations (10 to 40 years) for customized financial protection
  • Guaranteed premiums within the term for budgeting predictability
  • Easy conversion to permanent life insurance without a new medical exam
  • Renewable annually after term expiration, maintaining access to protection
  • Access to optional critical illness and disability coverage for added security
  • Renewal premiums can be significantly higher than initial premiums
  • Decreasing benefits option may not suit clients who need stable coverage
  • Broad range of optional features could complicate decision-making for some applicants
Amount coverage
Up to$ 25,000,000
Age at issue
From 18 to 70 years old
Premium options
From 10 to 40 years
Additional coverages
3
Age at issue
From 18 to 70 years old
Premium options
From 10 to 40 years
Additional coverages
3
  • Flexible offer
  • Policy convertible to permanent insurance
  • Several optional guarantees available
  • Flexible offer
  • Policy convertible to permanent insurance
  • Several optional guarantees available
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Our detailed review

YourTerm Life Insurance from RBC offers a flexible and accessible term insurance solution designed for Canadians aged 18 to 70 seeking affordable, predictable protection for key financial stages. With terms ranging from 10 to 40 years and coverage amounts between $50,000 and $25 million, the policy is versatile enough to cover everything from personal debts to substantial family or business needs. Premiums are guaranteed to remain constant for the duration of the chosen term, supporting easier budget planning. An important feature is the ability to convert to a permanent policy without further medical underwriting, ensuring long-term insurability even if health conditions change. Optional benefits like accidental death coverage and a 10-day free look period enhance flexibility. However, coverage limits may tighten after age 55, and premiums can rise steeply if the policy is not converted after the original term ends. Additionally, the variety of term options may require thoughtful selection to align perfectly with personal financial goals.

Ideal profile: YourTerm is ideal for young professionals, growing families, and business owners who seek affordable, customizable temporary protection with the future option of upgrading to permanent life insurance. It’s particularly appealing for those who value premium stability and long-term flexibility.

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  • Fixed premiums throughout the term enable easier financial planning
  • Wide coverage range ($50,000 to $25 million) to meet both personal and business needs
  • Term options from 10 to 40 years provide customization based on life stages
  • Conversion option to permanent life insurance without medical exams
  • Additional benefits such as accidental death protection and refund within a 10-day review period
  • Coverage limits are reduced for applicants over the age of 55
  • If not converted, premiums can spike significantly at term renewal
  • Multiple choices may complicate decision-making for less experienced applicants
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With over 20% of Canadians grappling with preexisting medical conditions, securing traditional life insurance becomes a challenge, often leading to higher premiums and stringent terms. Avoiding this predicament is crucial, emphasizing the importance of early life insurance for children.

By obtaining life insurance for your child before any serious medical concerns arise, you ensure their insurability. This guarantees continued coverage, allowing policy rollovers and additional riders without the hassle of medical exams, providing a secure and foresighted financial plan.

To help you, we've put together everything you need to know about life insurance for children, including the best plans. You can use our free comparator to compare plans and get life insurance quotes based on your child's unique needs.

Children Life Insurance in Canada

  1. Costs start as low as $8–$30 per month, offering lifelong protection at an affordable rate.
  2. Provides lifelong coverage, even if your child develops health issues later.
  3. Builds tax-free savings that can be used for education or future needs.
  4. Premiums are locked in for life, so you save more by starting young.
  5. Ensures your child can maintain or increase coverage as an adult, no matter their health.

What is life insurance for children?

Life insurance for kids is a type of whole life insurance policy, purchased by a parent or guardian for an individual under the age of 18 years. Premiums are paid monthly and the 'death benefit' will be paid out in the unfortunate event of the child's death.

When the child becomes legally of age they will take possession of the policy and they will decide to continue paying premiums or not. They will also be able to convert it into term life insurance.

Good to know

For an easy breakdown of the different types of life insurance and their comparative advantages and disadvantages see our life insurance guide.

Whole life insurance continues to accrue value over time and this value can be paid out in the form of dividends. In this way, whole life insurance can be used as an investment vehicle similar to a registered retirement savings plan (RRSP).

However, if you are planning to use child life insurance as a way of saving money for your child there may be cheaper ways to do it. You may want to consider exchange-traded funds (EFTs) or guaranteed investment certificates (GICs) which can be set to unlock and payout when they reach a certain age.

Why should you buy life insurance for children?

There are various reasons you might want to purchase life insurance. Let's take a look at some examples.

Case 1: Insurability

Keep in mind

Barbara, 54, from Ontario, has purchased child life insurance for her 15-year-old daughter, Cathy. Barbara did not have adequate insurance in place when she became seriously ill 10 years ago. Ever since she has had to pay higher premiums and has suffered financially. She wants to avoid her daughter ever being in the same position so she has purchased a policy for her.

Case 2: Financial stability

Keep in mind

Martin, 29, from BC, has a 5-year-old daughter. He is buying a kid's life insurance policy for his daughter so that when she comes of age she can choose either to keep paying or withdraw the money. He wants to give her the freedom to use the money as she chooses.

How much does life insurance for children cost?

Coverage AmountWhole Life Insurance for kids (Monthly Premium)Child Rider on Parent’s Policy (Monthly Premium)
$10,000
$8 - $10$5 - $8
$25,000
$15 - $20$8 - $10
$50,000
$25 - $30N/A
$100,000
$45 - $55N/A
Children Life Insurance Cost

Costs may vary depending on the insurance provider, the child’s age, and optional features like riders. Premiums for life insurance for children are typically much cheaper than premiums for adults because the risk being taken on by the provider is much lower. You can find policies with premiums as low as $8 a month.

The downside is that payouts are also typically capped much lower: between $10,000 and $35,000 per child. However, when the child comes of age they can convert it into a standard adult policy with the usual, much higher cap, of say $250,000 or more.

But we strongly recommend getting individual quotes based on your unique circumstances. Use our comparator and easily get quick quotes right here.

Is life insurance for a child in Canada worth it?

If your primary concern is to make sure your child is insurable then buying a cheap life insurance policy for them that they will be able to convert easily is a good idea. You may therefore want to choose a policy based on the adult policies offered by that provider.

You can quickly use our free comparator below to explore the various life insurance options for you and your children. Just enter basic information on your needs, and voila, compare multiple plan options and get free personalized quotes right here.

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If you are interested in children's life insurance as an investment then there are other options which may give greater value for money depending on your tolerance for risk. Aside from standard funds and investment vehicles, you could choose to purchase a registered education savings plan (RESP) which is geared specifically to paying for your children's tuition.

If you are concerned that a life event might prevent them from being able to work as an adult then you could look into buying a registered disability savings plan (RDSP).

Whole life insurance vs term life insurance for a child?

It is not possible to buy term life insurance for a child as this type of policy has a 'term limit'. You are only able to buy whole life insurance for a child.

However, if you have a term life insurance policy for yourself, you may be able to add a rider to the coverage which will protect your child as well. Once the child reaches an age specified in the rider you be able to convert this into permanent life insurance for them.

Another alternative is making sure your child is specifically listed in your own life insurance as a life insurance beneficiary.

If you are interested in finding life insurance that can extend to your children at a great price then hit the button below and get free quotes from multiple providers in no time.

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What is the best life insurance for children in Canada?

The "best" life insurance for children can vary based on individual needs and preferences. However, some popular options in Canada include:

  1. Policy Advisor: Customizable coverage options
    • Customizable options.
    • Accidental death and child term insurance.
    • Choose from various providers.
  2. Canada Life Life Insurance: Including options like disability exemption
    • Accidental death child term insurance
    • Disability exemption
    • Guaranteed acceptance
  3. Sun Life Insurance: Coverage from 30 days old
    • Between 30 days and 17 years
    • Fracture, Hospitalization, and more
  4. Manulife Life Insurance: Comprehensive critical illness coverage
    • Guaranteed acceptance
    • Child critical illness
  5. RBC Life Insurance: Good children's term Insurance plans
    • Accidental death
    • Children's term Insurance plans
    • Age issued depends on individual situation

When choosing the best life insurance for children, it's essential to consider factors such as coverage amount, flexibility, and any additional features or riders that may be beneficial for the family's needs. Consulting with a financial advisor can also provide personalized guidance based on specific circumstances.

What are the tax benefits for children's life insurance?

  1. Tax-Free Cash Value Growth: The cash value in a whole life policy grows tax-free over time, providing a savings tool for your child’s future without tax implications on the accumulated amount.
  2. Tax-Free Death Benefit: If the policy pays out, the death benefit is tax-free, ensuring the full amount goes to beneficiaries without deductions.
  3. No Taxes on Withdrawals (Up to ACB): If the child later withdraws funds up to the adjusted cost basis (ACB) of the policy, it’s generally tax-free. Only amounts above the ACB are taxable.
  4. Gifted Policy Transfer: When transferring ownership of the policy to the child as an adult, there are typically no tax consequences, allowing them to take over a valuable asset seamlessly.

Life insurance for children not only secures their future but also offers significant tax advantages compared to other savings options.

What are the ways to find cheap life insurance for children?

  1. Shop Around: Compare quotes from different insurance providers to find the most affordable option. Online comparison tools can help streamline this process. Use our HelloSafe tool for the quickest and easiest quotes.
  2. Consider Term Life Insurance: Term life insurance is generally more cost-effective than whole life insurance. It provides coverage for a specified term and maybe a more budget-friendly choice.
  3. Look for Riders: Some policies offer additional riders that can enhance coverage at a lower cost. Explore options like child term riders to add coverage for your child within your life insurance policy.
  4. Health and Lifestyle: Maintain a healthy lifestyle for your child. Insurance premiums are often influenced by health factors, so encouraging healthy habits can contribute to lower insurance costs.

FAQs on Life Insurance for Children

Can you have life insurance for children?

Yes, you can buy life insurance for children in Canada. Policies like whole life or term-to-100 provide lifelong protection and build cash value over time. These policies are typically purchased by parents or grandparents to lock in affordable rates while the child is young.

What does life insurance for kids cost in Canada?

The cost depends on the type of policy and coverage amount. For example, a whole life policy for a child with $50,000 coverage might cost around $30/month. Adding a child rider to your own policy typically costs $5–$10/month per child.

What age is it best to get life insurance for kids?

The best time to start is as early as possible, typically between 0 and 10 years old. Starting young locks in low premiums for life, ensures lifelong coverage, and allows the cash value to grow tax-free over time. It’s a cost-effective way to secure their financial future.

Can you add a child to your life insurance?

Many life insurance policies allow you to add a child as a rider. A child rider provides a small amount of coverage, typically up to $25,000, at a low additional cost. This coverage lasts until the child reaches a certain age, such as 18 or 25, and can often be converted to a permanent policy without medical exams.

What happens to life insurance for children when they become adults?

If it’s a permanent policy, it stays in force as long as premiums are paid, and the child can take ownership of the policy. They can continue the coverage, withdraw or borrow from the cash value, or even increase coverage. For riders, coverage usually expires when the child reaches a certain age but can often be converted to a standalone policy.

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Daniel
Daniel Clarke
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Daniel is a Canadian personal finance expert passionate about making financial literacy more accessible to everyone. He holds a degree in Economics from the University of British Columbia and a Master’s in Financial Planning from York University. Before joining HelloSafe, he worked as a financial coach and content editor for a number of fintech platforms across Canada. At HelloSafe, Daniel writes clear and practical guides on insurance, credit, savings, and budgeting—always with the goal of helping readers make confident and informed money decisions.

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