How much does $500,000 of life insurance cost in Canada?

$500,000 sits in the middle of the amounts most people compare: enough to clear a typical mortgage with money left over. For a non-smoker aged 20 to 35, a 20 year term costs about $19 to $35 a month. The price climbs steeply after 40, more than doubling from 40 to 50 and roughly tripling from 50 to 60. The tables below show prices published by Canadian insurers and brokers over the past year, followed by what the insurer will ask for at this amount and how to tell whether $500,000 is the right number for you.

What $500,000 costs on a 20 year term

Monthly premiums for non-smokers:

The ranges reflect real differences between insurers and products. The low end tends to be the cheapest insurer for that profile; the high end often reflects a product with a simpler application or one insurer’s standard pricing. At 55, much of the spread is the difference between health classes. Some ranges overlap or dip between neighbouring ages because different publishers cover different ages; the trend is flat through your thirties and a steep rise after 40.

Shorter and longer terms

A 10 year term costs less each month because it covers fewer years. A 30 year term costs more but locks the price in for longer. Non-smoker monthly premiums:

For a 30 year term, published prices for non-smoking men were about $42 to $54 a month at 30, $85 to $104 at 40 and $123 to $144 at 45. Fewer sources publish women’s 30 year prices, but they run lower, in line with the 20 year table. Many insurers stop offering 30 year terms somewhere around age 50 to 55.

Which term fits depends on how long your family would need the money, not on the monthly price alone. Renewing a short term later, at an older age, usually costs far more than locking in a longer term now. Our guide to what happens when term life insurance expires shows how renewal pricing works.

Smokers pay about one and a half to three and a half times as much

Smoking, including vaping and other nicotine use, is one of the most expensive answers on the application. For $500,000 on a 20 year term, published prices for smokers were about $35 to $50 a month for a 30 year old woman and $52 to $73 for a 30 year old man, and about $90 to $112 for a 40 year old woman and $139 to $156 for a 40 year old man. That is typically a little under twice the non-smoker price at 30 and about two and a half times by 40. Many insurers treat you as a non-smoker once you have gone 12 months without any nicotine, and some may ask for a test to confirm it.

What the insurer will ask for

At $500,000, most applicants 55 or younger go through a fairly light process. In the insurer requirement guides we reviewed, dated 2023 to 2026:

• Up to about 55: the application, sometimes with a phone interview, and no tests at several insurers. Some insurers approve applicants up to about age 50 or 60 without automatic tests through an accelerated process.
• From the late 50s: blood and urine tests are commonly added, at some insurers from 56 and at most by the early 60s.
• At any age: the insurer can ask for more, such as a test or a report from your doctor, based on your answers. Coverage you applied for or bought from the same insurer in the past 6 to 12 months is usually added to the new amount.

Insurers also check that the amount makes sense for your income. One insurer’s 2025 guidelines allow coverage of up to 35 times income at ages 16 to 30, falling to 25 times at 31 to 40, 20 times at 41 to 50 and 15 times at 51 to 60. At those multiples, $500,000 is within reach of most earners. Spouses without an income can usually get coverage too, often up to $500,000 or tied to the working spouse’s coverage.

No-medical coverage at $500,000

Simplified issue policies skip the exam and lab tests and rely on health questions instead. Several go up to $500,000 or more, so this amount is available without an exam, but at a higher price. In one published comparison dated September 2026, no-medical prices for $500,000 on a 20 year term ran about 1.6 to 2.7 times the price of medically underwritten coverage, with the gap largest for younger applicants. Our guide to no-medical life insurance explains when that trade-off is worth it.

With a health condition: rated offer or no-medical?

The tables are samples for healthy non-smokers and include no rating. With a health condition, you may have two routes to $500,000, and it pays to compare them.

A fully underwritten policy with a rating. A table rating typically adds about 25 percent of the standard premium per table, so Table 2 costs about one and a half times the standard price and Table 4 about twice. For a 40 year old man on a 20 year term, $43 to $53 a month becomes roughly $65 to $80 at Table 2 and $86 to $106 at Table 4. Actual results vary: the rating is not applied to the policy fee, and it is applied to the insurer’s standard rate, which can be above the lowest prices shown. A flat extra of $2.50 per $1,000 adds $1,250 a year on $500,000, about $104 a month. Ask whether a flat extra is temporary: many apply for three to five years and then drop off.

A no-medical policy. In the September 2026 comparison above, no-medical prices for $500,000 ran about 1.6 to 2.7 times the fully underwritten price. On these figures, a mild rating, Table 1 or 2, will often still cost less, though the no-medical comparison was for healthy applicants. At Table 4 and above, or with a large flat extra, the two can cross over, if you qualify for the simplified issue policy at all. Get both prices before you decide.

If you already have a rated offer, accepting it and keeping it in force while you compare is usually safer than turning it down. Before applying, an anonymous pre-check gets tentative opinions from several insurers on how they would view your condition, because the same file can draw Table 2 at one insurer and Table 4 at another.

How $500,000 compares with other amounts

Larger policies cost less per $1,000 of coverage, because insurers price in bands and spread a fixed policy fee over more coverage. In sources that publish several amounts:

• $250,000 usually cost about 55 to 65 percent of the $500,000 premium (50 to 75 percent across sources), rarely as little as half. See what $250,000 costs.
• $1 million cost about 1.3 to 1.9 times the $500,000 premium, not double. See what $1 million costs.

If you are close to a band, such as $450,000, ask for a quote at $500,000 as well. The larger amount can cost only a little more.

Is $500,000 enough?

There is no single right amount. Common rules of thumb, such as 10 times your income, have no current authoritative source behind them. A better answer comes from adding up what your family would actually need:

• Debts. The median amount still owing on Canadian mortgages was about $245,000 in September 2024, according to the Bank of Canada. The national average home price was about $668,000 in August 2026, according to the Canadian Real Estate Association, so new buyers often owe much more.
• Income. How many years of your after-tax income your family would need, and whether a surviving partner would keep working.
• Future costs. Childcare, education and final expenses.
• What you already have. Group life insurance through work, savings, and government survivor benefits.

$500,000 often covers a mortgage and a few years of income. A family with young children and one main earner may need more. Our life insurance needs calculator adds it up.

Ways to pay less for the same $500,000

• Pay annually. At the insurers that publish both, monthly payments cost about 8 percent more over a year than one annual payment.
• Buy sooner. Prices rise with age, slowly through your twenties and thirties and quickly after 40. Many insurers use your age at your nearest birthday, so prices can change about six months before your birthday.
• Match the term to the need. Don’t pay for 30 years of coverage if your largest debts end in 20.
• Compare insurers. The same applicant can get noticeably different prices from different insurers, which is part of the spread in the tables above.

Our guide to how much life insurance costs covers every factor that sets your price.

Frequently asked questions

How much does $500,000 of life insurance cost per month in Canada?

For a 20 year term, non-smoker prices published by Canadian insurers and brokers between October 2025 and September 2026 ran about $19 to $28 a month for a 30 year old woman and $27 to $35 for a 30 year old man. At 40 they were about $32 to $44 for women and $43 to $53 for men, and at 50 about $75 to $99 for women and $106 to $140 for men.

Do I need a medical exam for $500,000 of life insurance?

Often not, if you are 55 or younger. In the insurer requirement guides we reviewed, $500,000 needed only the application and sometimes a phone interview up to about age 55. Blood and urine tests commonly start in the late 50s or early 60s. Any insurer can still ask for more based on your answers.

Is $500,000 of life insurance enough?

It depends on your debts, your income and how long your family would need support. $500,000 can cover a typical mortgage balance with money left over, but it may not replace a full income for many years. A needs calculation that adds up debts, income replacement and future costs gives a better answer than a rule of thumb.

How much more does $1 million cost than $500,000?

Usually well under double. Across sources that publish both amounts, $1 million cost about 1.3 to 1.9 times the $500,000 premium, because insurers charge a lower rate per $1,000 on larger policies. The gap is smallest for young non-smokers on 10 year terms.

Can I get $500,000 of life insurance without a medical exam?

Yes. Several simplified issue products, which ask health questions instead of an exam, go up to $500,000 or more. They usually cost more than fully underwritten coverage: in one published comparison, no-medical prices at $500,000 ran about 1.6 to 2.7 times the medically underwritten price.

Is a rated policy cheaper than no-medical life insurance at $500,000?

Often, if the rating is mild. Table 1 or 2 typically costs about 1.25 to 1.5 times the standard premium, while one September 2026 comparison put no-medical prices for $500,000 at about 1.6 to 2.7 times the fully underwritten price. At Table 4 and above, or with a large flat extra, a no-medical policy can cost less if you qualify for it. Compare both prices before deciding.

Get your own number

These tables show prices that insurers and brokers have published, not what you will pay. Your price depends on your health, your history and the insurer. A licensed advisor can compare insurers for your exact age and term.