Manulife Term Life Insurance Review 2021

Manulife has been around for over 130 years. Read this Manulife term life insurance review to find out if it is the right insurer for you.

August 9, 2021
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10
min read

Manulife is a name that almost every Canadian is familiar with. After all, they are the biggest insurer in the Canadian insurance industry. But do they have the right life insurance product for your unique needs? Read our Manulife term life insurance review to find out.

Pros Cons
Strong Financially Term life premium rates are not among the cheapest
Impressive product range
Digital policy option
Wide range of life insurance products
Early payout options

Who is Manulife

Founded in 1887, Manulife is among the oldest insurers in Canada. Incidentally, they are also the largest insurance company in the country and, for that matter, the world — with more than a trillion dollars in assets. While you may be familiar with Manulife, you might not recognize the name Manufacturers Life Insurance Company — but the two are one and the same.

Manulife Facts & Financial Information

Downtown Toronto
  • Founded: 1887
  • Head Offices: Downtown Toronto, ON
  • AM Best Financial Strength Rating: A+
  • Financial Assets: $200 trillion
  • Insurance Premiums: ~$40 billion annually

Products and Features

Term life insurance is a good option for most people. It is affordable, easy to manage, and provides protection for as long as you need it. Plus, it comes without the added extras, such as cash value, which only raise your premiums. You can use a term life policy as an income replacement tool or to cover a debt, like a mortgage.

Manulife offers a range of term life insurance products to suit people of different ages and lifestyles.

CoverMe Term Life Insurance

CoverMer is a 10-year term policy, renewable up to the age of 85. Generally speaking, 10-year term life coverage might be suitable for:

  • Young couples who want affordable coverage
  • Homeowners who want to cover the last few years of their home loan
  • Business owners looking to cover start-up and overhead costs

Features:

  • Coverage amount available is from $100,000 to $1 million
  • Available for people 18-70 years of age
  • Guaranteed level premiums. That is, your premium rate will not change during the policy term
  • Renewable up to age 85
  • Convertible to permanent life insurance up to age 70 with no medical exam
  • Includes a 30-day money-back guarantee. The insurer will issue a full refund if you return the policy within 30 days of its issue
  • Receive a one-time cash payment equaling to 50% of your coverage or $100,000, whichever is less, should you develop a terminal illness and have less than 12 months to live

Family Term

No Manulife term life insurance review would be complete without mentioning its flagship term life product — Family Term. This plan offers greater flexibility and helps you:

  • Ensure your family is able to live comfortably after you are gone
  • Pay off your home loan and other debts
  • Fund your children’s education

Features

  • Coverage amount available is from $100,000 to $20 million
  • Level premiums for 10 or 20 years to age 65 or for life
  • Provides a cash advance in the event of a terminal illness diagnosis
  • Covers family’s bereavement counseling costs up to $1,000
  • Optional features to receive financial support if you develop a serious injury or die due to an accident
  • Ability to add riders, such as disability premium waiver, child’s insurance, and more

Business Term

Designed specifically for business-owners, Manulife’s business term coverage helps keep your business running smoothly when things do not go as planned. The policy provides buy-sell funding, key person protection, estate tax coverage, and business collateral.

Features

  • Coverage amount available is from $100,000 to $20 million
  • Level premiums for 10 or 20 years to age 65 or for life
  • Provides a cash advance in the event of a terminal illness diagnosis
  • Covers family’s bereavement counseling costs up to $1,000
  • Provides a discount if you insure two or more people
  • Ability to augment and modify coverage without a medical exam

Family Term with Vitality

This is a unique term life product that gives you an opportunity to save on your insurance premiums by demonstrating healthy habits. The insurer also rewards participants with gift cards depending on the level of their engagement with the program and how healthy their lifestyle is. The program requires you to wear a free monitoring device through which Manulife checks and records your progress.

Features

  • Coverage amount available is from $500,000 to $20 million
  • 10- or 20-year terms renewable to age 80 or to age 65 or 100
  • Pile on savings and earn rewards while improving your health. The better your engagement with the program, the more you save on future premiums
  • Ability to add riders such as Accidental death and others

Manulife Quick Issue Term

Do you have an underlying health condition that is making it hard for you to qualify for a fully underwritten policy? Do you want life insurance coverage quickly?

If so, a quick issue life policy may be right for you. This term life insurance product from Manulife has no medical exams or lengthy approval processes. In most cases, you can get coverage within a business day.

Features

  • Coverage amount available is from $100,000 to $500,000
  • No medical exam, no paperwork (electronic application)
  • Fast approval process
  • Available terms of 10 or 20 years, or to age 65
  • Covers family’s bereavement counseling costs up to $1,000

Manulife Term Life Insurance Rates

Together with Great-West Life and Sun Life, Manulife forms the ‘big three’ Canadian life insurers. As a matter of fact, Manulife is the largest provider by revenue in Canada. It offers a bevy of life insurance products to suit people of different ages, including term life insurance.

While Manulife’s size and product line are impressive, the real question is — how affordable are its rates? After all, for most people, cost is an important factor.

To find out the answer, we asked for quotes from the insurer. We got quotes for a $400,000 policy with a 20-year term for healthy, non-smoking men and women of different ages.

Age Male Female
20 $27.72 $22.48
25 $27.92 $22.82
30 $29.19 $23.92
35 $31.49 $26.55
40 $45.05 $35.37
45 $71.81 $55.23
50 $115.23 $85.88
55 $202.21 $142.97
60 $361.11 $253.78
65 Contact Us for Options Contact Us for Options

Term Life Insurance Review – Price Based on Customer Characteristics

Each life insurer uses a unique algorithm to set premium rates. Because of this, you will get different priced quotes from two insurers for the same policy. Apart from age, health, and gender, insurers consider things such as coverage amount, health status, and medical history when calculating your rate.

We checked how affordable Manulife Life Insurance rates are for different customer characteristics and found that its performance varies.

What we discovered from this Manulife term life insurance review was that they offer better than average rates in two categories — low coverage amount and good health. If you fit in either of these, expect a good deal from Manulife Life Insurance Company.

Furthermore, Manulife’s rates were not below par for a single category. What this means is that most people can expect to receive a competitive quote from the insurer (if not one that is better than average).

Policy Holder Characteristics Price Comparison
Low coverage amount (<$400,000) Great
Higher coverage amount (>$400,000) Average
Short Term (10 years) Average
Mid Term (20 years) Average
Long Term (30 years) Average
Male Average
Female Average
Under 40 years old Average
Over 40 years old Average
Good Health Great
Regular Smoker Average

Term Life Insurance Review – Price Comparison vs. Competitor Products

Life Insurance Contract

The easiest way to get the cheapest term life insurance is to compare rates of different providers. We compared Manulife Life Insurance Company with another big insurer, Sun Life, and found the former to be reasonably cheaper.

Example 1: 40 Year Old Male, Non Smoker, Regular Health, 20 Year Term:

Manulife Term Insurance $400K - $45.05

Sun Life $400K - $50.13

Cost Savings over 20 years: $1219

Example 2: 60 Year Old Female, Non Smoker, Regular Health, 20 Year Term:

Manulife Term Insurance $250K - $160.53

Sun Life $250K - $168.07

Cost Savings over 20 years: $1810

Why We Like Manulife

Impressive Financial Rating

Manulife Life Insurance Company received the second-highest rating (A+) from AM Best — an independent agency that assesses the financial dealings of insurance companies and grades them accordingly so that consumers like you can make an informed decision. With Manulife, you can sleep easy knowing they have the wherewithal to honor long-term contracts.

A Wide Array of Products

Manulife Life Insurance Company boasts a great selection of products. Whether you are looking for term life insurance or a no-medical policy, they have got you covered.

Accelerated Underwriting

Not everyone has the time or inclination to undergo a medical exam. If you are under 50 and in good health, Manulife will offer you $2 million in coverage without medical underwriting.

Digital Policy Option

Manulife was one of the first Canadian life insurers to offer e-delivery of their financial products.

Early Payout Options

Several life insurance plans offered by Manulife include an early payout option. Should you become terminally ill, the insurer will issue a cash benefit, subject to terms and limitations.

Manulife Vitality Helps Save on Future Premiums

You can earn credit towards your premiums by participating in a health and fitness program and demonstrating healthy lifestyle habits.

What We Did Not Like About Manulife

You May be able to Find Better Term Insurance Rates

Our Manulife term life insurance review found that its rates are competitive but not among the cheapest. That said, the price tag is not the only thing you should be looking at. Also consider the insurer’s financial standing and customer service record while making a decision.

Jack of All Trades

We will be honest here. This may or may not be a disadvantage, depending on how you like to shop for financial products. If you want a highly specified life insurer, Manulife might not fit the bill. However, Manulife offer an array of services including - banking, wealth management, and group benefits, to name a few. If you are looking for one company through which to purchase multiple products, Manulife Life Insurance Company may be a great fit.

Conclusion – Is Manulife Term Insurance Right for you?

Family in Park

Manulife is a big name in the Canadian life insurance industry. It offers a wide range of competitively priced term life insurance plans. And, if you want to skip the medical exam or get coverage quickly, Manulife has that covered too. Their Quick Issue Term Life plan does not require a medical exam and you can get approval with a quick turn-around of just one day.

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