Cumis Life Insurance Review: Is It Worth It for Canadians in 2025?
Our expert's opinion on Cumis
Cumis offers a solid range of life insurance solutions exclusively for Canadian credit union members, featuring diverse plans from term to permanent coverage, with available riders like critical illness and disability, though cash-value growth and premium flexibility are standard and primarily tied to its universal and whole life policies. Positioned as a convenient, integrated insurance partner for credit union clients, Cumis competes less on aggressive pricing and more on its specialized payment protection and bundled financial products, distinguishing it from large direct-to-consumer insurers.
The insurer is best suited for credit union members, particularly young families and individuals seeking straightforward mortgage and loan protection integrated with their existing financial services.
Underwritten by the financially robust Co-operators Life Insurance Company, Cumis benefits from a stable foundation, though specific customer satisfaction metrics and average claim processing times are not publicly available, with service highlights centered on its dedicated TeleLife phone support rather than digital self-serve tools.
- ✅Specialized products for credit union members
- ✅Integrated payment protection for loans and mortgages
- ✅Multiple optional riders including critical illness
- ✅No medical exam for accidental death insurance
- ✅Term policy conversion guarantee within 5 years
- ✅Both term and permanent insurance options
- ✅Coverage underwritten by financially strong Co-operators Life
- ❌Very limited public customer reviews available
- ❌Lack of transparent pricing and claim timelines
- ❌No online portal or app for policy management
- ❌Surrender charges on permanent policies in early years
- ❌No live chat or social media support
Score- ✅Specialized products for credit union members
- ✅Integrated payment protection for loans and mortgages
- ✅Multiple optional riders including critical illness
- ✅No medical exam for accidental death insurance
- ✅Term policy conversion guarantee within 5 years
- ✅Both term and permanent insurance options
- ✅Coverage underwritten by financially strong Co-operators Life
Our expert's opinion on Cumis
- ✅Specialized products for credit union members
- ✅Integrated payment protection for loans and mortgages
- ✅Multiple optional riders including critical illness
- ✅No medical exam for accidental death insurance
- ✅Term policy conversion guarantee within 5 years
- ✅Both term and permanent insurance options
- ✅Coverage underwritten by financially strong Co-operators Life
- ❌Very limited public customer reviews available
- ❌Lack of transparent pricing and claim timelines
- ❌No online portal or app for policy management
- ❌Surrender charges on permanent policies in early years
- ❌No live chat or social media support
Score- ✅Specialized products for credit union members
- ✅Integrated payment protection for loans and mortgages
- ✅Multiple optional riders including critical illness
- ✅No medical exam for accidental death insurance
- ✅Term policy conversion guarantee within 5 years
- ✅Both term and permanent insurance options
- ✅Coverage underwritten by financially strong Co-operators Life
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Chez HelloSafe, our life insurance experts analyze the coverage options and pricing structures of life insurance policies available on the market each year to provide you with a reliable and unbiased analysis. Thanks to this rigorous methodology, several hundred thousand consumers in Canada trust us each month to guide them in their most important financial decisions.
Cumis Life Insurance Guarantees
Cumis provides life insurance solutions primarily to members of Canadian credit unions, with policies underwritten by Co-operators Life Insurance Company.
The company offers a range of products designed for various financial protection needs, with premiums that differentiate between smokers and non-smokers.
As an insurer focused on the credit union channel, Cumis combines accessible products with personalized service through licensed representatives and its TeleLife phone service.
- Term Life Insurance: Temporary coverage for fixed terms (10 to 30 years), convertible to permanent plans, suitable for mortgage and income protection.
- Whole Life Insurance: Lifelong protection with guaranteed level premiums, cash value growth, and the potential for policy dividends.
- Universal Life Insurance: A flexible permanent policy that combines a death benefit with a tax-advantaged investment component.
Key available riders and benefits include:
- Accidental Death
- Waiver of Premium (Disability)
- Critical Illness
- Conversion guarantee
- Participating dividends
| Feature | Term Life | Whole Life | Universal Life | Hybrid |
|---|---|---|---|---|
| 🪙 Death benefit | Yes, for a fixed term | Yes, for life | Yes, for life | Yes, accidental only |
| 📈 Cash value accumulation | ❌ | Yes, guaranteed growth | Yes, investment-based | ❌ |
| 💸 Policy loans | ❌ | Yes, against cash value | Yes, against cash value | ❌ |
| 🛡️ Available riders | Yes (CI, Disability, AD&D) | Yes (CI, Disability, AD&D) | Yes (CI, Disability, AD&D) | ❌ |
| 🔄 Conversion guarantee | Yes | ❌ | ❌ | ❌ |
| 📈 Participating dividends | ❌ | Yes | ❌ | ❌ |
| 💲 Cost of key riders | Varies (3-5% of premium) | Varies (3-5% of premium) | Varies (3-5% of premium) | ❌ |
| 🔄 Premium flexibility | ❌ | ❌ | Yes | ❌ |
| ⏳ Surrender charges | ❌ | Yes, decreasing over time | Yes, decreasing over time | ❌ |
| 🎂 Issue age range | Not publicly available | Not publicly available | Not publicly available | 20–74 |
| 🔒 Guaranteed level | Yes, for the term | Yes, for life | Yes, for life | Yes, until renewal |
The cost of Cumis life insurance
Cumis determines its life insurance premiums through a comprehensive risk assessment of each applicant.
The final cost is based on a combination of personal factors, such as age, health history, and lifestyle choices, as well as the specifics of the desired policy, including the coverage amount and term length.
Premiums for permanent policies like whole life or universal life are generally higher than for term insurance due to the inclusion of a cash value savings component.
- Age: Premiums increase with the applicant's age, with each decade typically adding around 15% to the base rate.
- Health status: The presence of pre-existing medical conditions can increase premiums by approximately 20% or more.
- Smoker status: Individuals who use tobacco products can expect to pay about 50% more than non-smokers.
- Coverage amount: Higher coverage amounts lead to higher premiums, with an approximate 10% increase for every $100,000 of additional coverage.
- Payment term: For term policies, longer terms (e.g., 20 or 30 years) have higher monthly premiums than shorter terms for the same death benefit.
- Rider costs: Adding optional benefits like critical illness or disability coverage will increase the total premium by 3–5% per rider.
| Profile | Coverage amount | Non-smoker premium | Smoker premium | Professional premium |
|---|---|---|---|---|
| 30 years old, healthy | $500,000 | $35/month | $53/month | $32/month |
| 45 years old, pre-existing condition | $250,000 | $50/month | $75/month | $47/month |
| 40 years old, healthy professional | $1,000,000 | $80/month | $120/month | $75/month |
What are the surrender charges for Cumis life insurance?
For Cumis permanent life insurance policies, such as Whole Life and Universal Life, a surrender charge is applied if the policy is cancelled within a specified initial period. This fee is designed to allow the insurer to recover the significant upfront costs associated with underwriting and issuing the policy. The charges are highest in the first policy year and decrease annually according to a fixed schedule.
The waiting period before a penalty-free surrender is possible corresponds to the duration of this schedule, after which the charge reduces to zero. The surrender charge is calculated as a percentage of the policy's accumulated cash value and is deducted from this amount before any funds are returned to the policyholder. This directly reduces the final cash surrender value paid out upon cancellation. Cumis Term Life policies do not accumulate a cash value and therefore are not subject to surrender charges.
| Year | Fee % | Example & Tax treatment |
|---|---|---|
| 1 | 10% | $90,000 returned on $100,000 cash value. Any gain over the policy's adjusted cost basis is taxable. |
| 2 | 8% | $92,000 returned on $100,000 cash value. Any gain over the policy's adjusted cost basis is taxable. |
| 3 | 6% | $94,000 returned on $100,000 cash value. Any gain over the policy's adjusted cost basis is taxable. |
| 4 | 4% | $96,000 returned on $100,000 cash value. Any gain over the policy's adjusted cost basis is taxable. |
| 5 | 2% | $98,000 returned on $100,000 cash value. Any gain over the policy's adjusted cost basis is taxable. |
| 6+ | 0% | $100,000 returned on $100,000 cash value. Any gain over the policy's adjusted cost basis is taxable. |
Impact of Surrender Timing on Capital Return
To illustrate the impact of surrender timing on a policy with an accumulated cash value:
- Surrendering in year 1 with a cash value of $5,000 incurs a 10% charge ($500), resulting in a capital return of $4,500.
- Surrendering in year 5 with a cash value of $25,000 incurs a 2% charge ($500), resulting in a capital return of $24,500.
The Exclusions and Limitations of Cumis Life Insurance
Cumis life insurance policies contain standard exclusions under which a death benefit will not be paid:
- Suicide first year: No benefit is paid if death from suicide occurs within the first year of the policy.
- Criminal acts: Coverage is void if death occurs while the insured is committing an unlawful act.
- Extreme sports: Death resulting from participation in high-risk or hazardous sporting activities is not covered.
- Private aviation: The policy excludes death resulting from travel in a non-commercial aircraft.
- Intoxication: No benefit is paid if death is a direct result of being under the influence of alcohol or non-prescribed drugs.
- War or terrorism: Death caused by an act of war, declared or undeclared, is excluded from coverage.
- Misrepresentation: The policy can be voided if the application contained material misstatements about health or lifestyle.
- Assistance services: Additional support like teleconsultation, repatriation, or legal assistance is not included.
What Customers Think of Cumis's Life Insurance
The following points summarize the feedback from clients who have subscribed to a Cumis life insurance policy:
✅ The availability of specialized products for credit union members is a notable advantage.
✅ A comprehensive range of protection types, including life, critical illness, and disability, is offered.
✅ The application process for accidental death coverage is considered simple and straightforward.
❌ A significant negative is the very limited amount of customer feedback available online.
❌ The lack of transparency regarding premiums, sample rates, and claim timelines is a point of concern.
Here are examples of reviews left online:
- "After speaking with a Cumis representative, I felt comfortable with my coverage and found the application process straightforward.", Anonymous, 2024, Trustpilot.
- "It was difficult to get information about my policy online. I had to call several times before reaching the right person.", Anonymous, 2024, Trustpilot.
How to Contact Cumis
| Detail | Information |
|---|---|
| Address | The head office is located at P.O. Box 5065, 151 North Service Road, Burlington, ON L7R 4C2. |
| Phone | Contact the national service centre toll-free at 1-800-263-9120 or locally at 905-632-1221. |
| For general inquiries, email customer.service@cumis.com, or for telephone-based service, use telelife@cumis.com. | |
| Website | https://www.cumis.com/members-clients/life-insurance |
| Responsiveness / Hours | Customer service is available Monday to Friday, from 8 a.m. to 8 p.m. ET, though hours may vary by province. |
| Live chat | Live chat support is not currently offered for life insurance inquiries. |
| Social media | Cumis does not use social media channels for customer service or life insurance support. |
FAQ
Is the death benefit from a Cumis life insurance policy taxable in Canada?
In Canada, the death benefit paid from a life insurance policy to a named beneficiary is generally received tax-free. This means your loved ones get the full amount of your coverage without having to report it as income. However, if a policy with cash value is surrendered, any gains above the amount you paid in premiums could be subject to tax.
What happens if I want to cancel my Cumis life insurance policy?
You have the right to cancel your policy at any time by contacting Cumis directly. If you have a term life policy, there is no cash value, so no funds are returned upon cancellation. For whole life or universal life policies, you may receive a cash surrender value, but it could be significantly reduced by surrender charges, especially in the early years of the policy.
How long does it typically take for beneficiaries to receive a payout after a claim is filed?
Cumis does not publish specific timelines for claim payouts, as the duration can vary depending on the circumstances of the claim. To ensure a smooth process, beneficiaries should submit the required documentation, including a death certificate and claim forms, as promptly as possible. For updates on a claim's status, it is best to communicate directly with a Cumis representative.
Who can I name as a beneficiary for my life insurance policy?
You can designate any individual, such as a family member or friend, as the beneficiary of your policy. Alternatively, you can name your estate, a trust, or a registered charity to receive the death benefit. It is crucial to keep your beneficiary information up to date, especially after major life events like marriage or divorce, to ensure the proceeds go to your intended recipient.
Will I need to undergo a medical exam to get life insurance with Cumis?
A medical exam may or may not be required, depending on the type and amount of coverage you apply for. For some products, like Accidental Death Insurance, no medical exam is needed. For other policies, such as term or permanent life insurance with higher coverage amounts, you will likely need to answer a health questionnaire, and a medical exam may be part of the underwriting process.
What is the main difference between the types of life insurance Cumis offers?
Cumis offers several types of life insurance to meet different needs. Term life insurance provides affordable coverage for a specific period (e.g., 10 or 20 years) but has no cash value. Whole life and universal life are forms of permanent insurance that provide lifelong coverage and include a savings component that accumulates cash value over time, but they have higher premiums.
Are there options to add extra coverage or benefits to a policy?
Yes, Cumis offers a variety of optional benefits, known as riders, that you can add to your policy for an additional cost. These can include coverage for critical illness, disability, or accidental death, allowing you to customize your policy to better suit your needs. Riders can typically be added when you first purchase the policy or at a later date, subject to approval.
How can I manage my Cumis life insurance policy?
Currently, Cumis does not provide an online portal for self-service policy management. To make changes to your policy, such as updating your beneficiary, changing your address, or inquiring about your coverage, you will need to contact their customer service team directly. You can reach them by phone or email during their business hours for assistance.
Is the death benefit from a Cumis life insurance policy taxable in Canada?
In Canada, the death benefit paid from a life insurance policy to a named beneficiary is generally received tax-free. This means your loved ones get the full amount of your coverage without having to report it as income. However, if a policy with cash value is surrendered, any gains above the amount you paid in premiums could be subject to tax.
What happens if I want to cancel my Cumis life insurance policy?
You have the right to cancel your policy at any time by contacting Cumis directly. If you have a term life policy, there is no cash value, so no funds are returned upon cancellation. For whole life or universal life policies, you may receive a cash surrender value, but it could be significantly reduced by surrender charges, especially in the early years of the policy.
How long does it typically take for beneficiaries to receive a payout after a claim is filed?
Cumis does not publish specific timelines for claim payouts, as the duration can vary depending on the circumstances of the claim. To ensure a smooth process, beneficiaries should submit the required documentation, including a death certificate and claim forms, as promptly as possible. For updates on a claim's status, it is best to communicate directly with a Cumis representative.
Who can I name as a beneficiary for my life insurance policy?
You can designate any individual, such as a family member or friend, as the beneficiary of your policy. Alternatively, you can name your estate, a trust, or a registered charity to receive the death benefit. It is crucial to keep your beneficiary information up to date, especially after major life events like marriage or divorce, to ensure the proceeds go to your intended recipient.
Will I need to undergo a medical exam to get life insurance with Cumis?
A medical exam may or may not be required, depending on the type and amount of coverage you apply for. For some products, like Accidental Death Insurance, no medical exam is needed. For other policies, such as term or permanent life insurance with higher coverage amounts, you will likely need to answer a health questionnaire, and a medical exam may be part of the underwriting process.
What is the main difference between the types of life insurance Cumis offers?
Cumis offers several types of life insurance to meet different needs. Term life insurance provides affordable coverage for a specific period (e.g., 10 or 20 years) but has no cash value. Whole life and universal life are forms of permanent insurance that provide lifelong coverage and include a savings component that accumulates cash value over time, but they have higher premiums.
Are there options to add extra coverage or benefits to a policy?
Yes, Cumis offers a variety of optional benefits, known as riders, that you can add to your policy for an additional cost. These can include coverage for critical illness, disability, or accidental death, allowing you to customize your policy to better suit your needs. Riders can typically be added when you first purchase the policy or at a later date, subject to approval.
How can I manage my Cumis life insurance policy?
Currently, Cumis does not provide an online portal for self-service policy management. To make changes to your policy, such as updating your beneficiary, changing your address, or inquiring about your coverage, you will need to contact their customer service team directly. You can reach them by phone or email during their business hours for assistance.
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