Life Insurance Learning Center

Universal life insurance offers flexibility, but it’s not without drawbacks. Rising premiums, complex structures, and unpredictable returns can leave policyholders frustrated and underinsured. Understanding these pitfalls is crucial before committing, especially for Canadians seeking long-term stability in their life insurance strategy.

Some of the best dividend-paying whole life insurance companies in Canada include Manulife, Sun Life, Empire Life, Equitable Life, Canada Life, RBC, and Industrial Alliance (iA). These companies are known for their consistent dividend payouts, excellent customer support, and best company ratings.

Whole life insurance dividends in Canada are profit distributions shared by insurance companies with their participating policyholders. Currently, dividend rates of top providers range from 5.50% to 6.40%. These dividends can be used to buy paid-up additions, reduce premiums, earn interest, repay policy loans, or be withdrawn as cash, offering flexibility and value to the policy.

If your temporary coverage is nearing its end or your financial goals are shifting, converting term life insurance to whole life could be a smart next step. In this guide, we explain how term conversions work, when they make sense, and why whole life insurance may offer more than just lifelong protection.

Compare the options and find affordable life insurance for seniors and older people in Canada.