Term life insurance provides coverage for a specific period, typically ranging from 10 to 30 years, depending on the policyholder’s choice. If the insured person passes away during this term, their beneficiaries receive a tax-free death benefit — the payout from the policy.

Since term life insurance offers temporary protection, it’s ideal for individuals who need coverage for a defined period — such as covering a mortgage, funding a child’s education, or paying off debts. Once the term ends, the policyholder can either renew the policy (usually at a higher rate) or let it expire.

Thanks to its affordability and flexibility, term life insurance in Canada is a popular option for growing families and those looking for cost-effective financial protection.