The short answer
Term life insurance pays a set sum to the people you name if you die within a chosen number of years. It is designed to cover a defined need, such as a mortgage or the years your children depend on you, rather than to last a lifetime. A licensed adviser helps you work out how much and how long, and compares insurers for you.
- New parents thinking about who would support their child if something happened
- Couples buying a home who share a mortgage
- Self-employed people with no group benefits through an employer
- Anyone whose current cover through work would end if they changed jobs
- Families checking whether an older policy still fits their lives
No broker in the network handles this yet. You can still prepare and save the request now. It is kept, and requests like it show us which brokers to find next.
Outside Alberta, Canada you can prepare and save a request today; sending opens place by place. Brokers answer with their own quotes. Broker.insure does not quote, advise or take commission.
01 / What it covers
The parts worth understanding
The term
The number of years the cover lasts. Common choices are tied to the length of a need, like the years left on a mortgage, but the available lengths differ between insurers.
The death benefit
The amount paid to the beneficiaries you name. Choosing it starts with what the people who rely on you would need to keep their footing, not with what feels affordable today.
Level or changing cost
Some policies keep the same cost for the whole term, and others change at set points. Ask how the cost behaves at renewal and when the term ends.
Renewable and convertible options
Renewable means you can extend without new questions, usually at a higher cost. Convertible means you can switch to a permanent policy later. Not every policy has both.
Riders
Optional additions that can be attached to a policy, such as a waiver of premium if you become disabled, or an option to add cover for a child. Each rider has its own conditions.
Joint and individual cover
Two people can share a single joint policy or hold separate individual ones. They are paid out and priced differently, and a broker can explain which suits a couple's circumstances.
02 / Get ready
Bring this, and expect these questions
Gather
- The names, ages and relationships of the people who depend on your income
- Your mortgage balance, and any other debts that would fall on the household
- Your annual income and roughly how long your household would need it replaced
- Any life insurance you already hold personally or through an employer, and what happens to it if you leave
- The people you would name as beneficiaries, and whether any of them are minors
- Whether you want protection for a fixed need or something that lasts for life
- Whether you have a will, and who is named as guardian or executor
- Whether you own a business or have business partners who would be affected
A broker will ask
- Who depends on your income, and for how many years?
- What debts, such as a mortgage, would need to be paid off?
- What do you already have through work or an older policy?
- Who are the beneficiaries, and are any of them under the age of majority?
- Do you want cover for a fixed number of years or for life?
- Do you want to be able to convert or renew the policy later?
- Is anyone else, like a partner or business associate, relying on you financially?
Not sure of an answer? Leave it. "Not known yet" is a fine answer, and a broker will help you fill it in.
03 / Build your request
Answer a few questions. Get your own list.
Pick what fits. Your answers shape the list beside them, and they are saved to your request as plain facts a broker can read. "Not sure yet" is always a fine answer.
04 / Three situations
See which one sounds like yours
New parents with a baby on the way
A couple in their early thirties will soon have one income at times during parental leave and a mortgage that is just beginning. Neither has ever held individual life insurance and both have small group plans through work.
First steps. Look up what the group plans pay and whether it ends if either person leaves the job. Write down how many years a child would depend on them and what the household owes. Take that list to an adviser and ask how term length and amount follow from it.
A self-employed contractor with a mortgage
A renovation contractor works for himself, has no group plan and is the main earner for a family of four. His business runs through his own name and his spouse works part-time.
First steps. List the mortgage, business debts and the income his family would need for the next several years. Ask the adviser how self-employment is treated, whether business loans change anything, and how to name beneficiaries so the money reaches his family without delay.
Someone in their fifties with an old policy
A divorced father has a term policy purchased twenty years ago that is about to reach the end of its term. His children are now adults, but he has a new partner and a home with a mortgage.
First steps. Find the original policy and read what it says about renewal and conversion before the date. Ask the adviser what has changed in his needs, who should be the beneficiary now, and how the options compare if he lets the term lapse or extends it.
05 / Words you will hear
The jargon, in plain words
- Beneficiary
- The person or people you name to receive the payout. If one is a minor, the money may need a trustee or guardian arrangement, so ask how that works.
- Term length
- The number of years a policy stays active. It is often matched to the length of the need, such as the years until children are independent.
- Death benefit
- The sum the insurer pays to your beneficiaries if you die during the term. It generally arrives as a single payment rather than as a regular income.
- Conversion option
- A feature letting you switch to permanent cover later, within a set window and without fresh application questions. Ask where that window opens and closes.
- Underwriting
- The insurer's review of an application to decide whether to offer cover and on what terms. It is handled privately by the adviser and insurer, not on this page.
06 / Common mistakes
What trips people up
- Relying only on group cover through work, which usually ends when the job does.
- Picking a number out of the air instead of working back from what dependants would need.
- Naming a minor child as beneficiary without understanding how the money would be managed.
- Letting a term policy expire without comparing the options for renewal or conversion.
- Not updating the beneficiaries after a marriage, separation, birth or death.
- Giving incomplete or inaccurate answers when an adviser asks later, which can cause problems at claim time.
Ready when you are
Turn this into one clear request.
Save it, add what you know, and choose when to send it. A licensed broker who handles term life insurance takes it from there.
07 / Questions people ask
Straight answers
How does term life insurance work?
You choose an amount and a length of time. If you die within that term, the insurer pays the amount to your beneficiaries. If the term ends and you are still living, the cover usually stops unless you renew or convert it. It is intended to cover a defined need rather than serve as a lifelong asset.
How much life insurance do I need?
It depends on who relies on you and for how long. A common approach is to add up debts, the income your household would need to replace, future costs such as education, and final expenses, then subtract savings and cover you already have. A licensed adviser can walk through that with you.
What is the difference between term and permanent life insurance?
Term lasts for a set number of years and is built for a defined need. Permanent policies, such as whole life or universal life, are designed to last for life and may build a cash value. They have different structures and costs, and an adviser can explain how each fits what you want to achieve.
Do I need life insurance if I have coverage through work?
Possibly. Group life is usually tied to your job and ends when you leave, and the amount may be small compared to your household's needs. Many people look at group cover as a base layer and consider an individual policy that stays with them. An adviser can show where the gaps are.
What happens at the end of a term life policy?
Most policies simply stop, and no benefit is paid if you are still alive. Some allow you to renew for another term, usually at a different cost, and some can be converted to permanent cover. Check the renewal and conversion rules and their deadlines well before the term ends.
Will I be asked medical questions?
Yes, but not on this page and not by us. Health and lifestyle questions come later, privately, from a licensed adviser and the insurer, and your answers form part of the application. You do not need to share any of that to begin a conversation about amounts, terms and options.
General information, not insurance advice. Broker.insure is a directory and request service: it is not an insurer and does not quote, bind or advise. Policy terms, availability and what is required where you live depend on your situation and on licensed professionals. Updated 2026-10-31.