Royal Bank of Canada, more commonly known as RBC, is not only Canada’s largest bank but also a major player in the insurance industry through its subsidiary, RBC Insurance.
RBC Life Insurance Company is one of Canada’s leading providers of personalized life insurance solutions. As part of RBC Insurance, RBC Life Insurance Company specifically offers term, whole, universal, and guaranteed life insurance products to help Canadian families protect their financial futures.
In this review, we’ll closely examine RBC Life Insurance and its wide range of products, examining the pros and cons, features, customer feedback and more. Whether you’re looking for coverage for life or health, understanding what RBC offers can help you make an informed decision.
RBC Life Insurance: At a Glance
RBC Insurance has its roots in the 1960s, emerging as the Royal Bank of Canada insurance division. Over the next few decades, RBC Insurance grew rapidly through a series of strategic acquisitions.
As the largest bank-owned insurance provider in Canada, RBC Insurance serves more than 5 million customers worldwide and brings in annual premiums of approximately $4.6 billion. (source: https://www.rbcinsurance.com/pdf/rbci-at-a-glance-e.pdf).
RBC Insurance enjoys strong financial standing, as evidenced by its ‘A’ rating from AM Best. This indicates an excellent ability to meet ongoing insurance obligations.
RBC Insurance provides a diverse selection of insurance solutions for life, health, home, auto, travel, wealth to meet the needs of Canadian individuals and families. One of RBC Insurance’s core offerings is life insurance, available in both term and permanent varieties.
RBC Life Insurance: Products Offered
With over 100 years of experience, RBC Life Insurance Company has built a reputation for flexible life insurance policies, competitive pricing, outstanding customer service and financial strength.
RBC Term Life Insurance
RBC YourTerm
RBC’s customizable YourTerm policy allows you to select any term length between 10 to 40 years. This provides flexibility to match the policy length to your specific needs.
- Available for Canadian citizens and permanent residents aged 18-70
- Offers guaranteed level premiums
- Coverage amounts from $1 million to $25 million
- Option to renew term without reassessment
- Can convert to RBC’s permanent insurance up to age 71
RBC Simplified Term
RBC’s simplified issue term life insurance offers more affordable protection of up to $1 million without requiring a medical exam.
- Available to ages 18-70
- Can select terms from 10 to 40 years
- Convertible to permanent coverage
- Guaranteed premiums won’t increase
- No medical exam life insurance for qualified applicants
Term Riders
RBC term policies allow you to add supplementary term riders for temporary coverage.
Full review: Term Life Insurance
RBC Permanent Life Insurance
For lifelong protection, RBC provides several types of permanent and whole life insurance options:
RBC Participating Whole Life
RBC’s participating whole life insurance offers lifetime coverage while allowing policyholders to share in dividends from the participating account. Two types are available:
- RBC Growth Insurance – Focuses on maximizing long-term growth
- RBC Growth Insurance Plus – Accelerates cash value growth quickly
Full review: Whole Life Insurance
RBC Universal Life
RBC’s flexible universal life insurance lets policyholders choose their premium payments, investment options, and death benefit amounts.
- Offers level or increasing death benefit
- Variety of investment choices to build cash value
- Can supplement with term insurance riders
- Additional living benefits included
Full review: Universal Life Insurance
RBC Term 100
RBC Term 100 Life Insurance policy (term-to-100) provides permanent life coverage with guaranteed premiums payable to age 100. It has no cash value accumulation.
RBC Guaranteed Acceptance
RBC Guaranteed Acceptance life insurance ensures approval for permanent coverage without medical underwriting for ages 40-75.
- Up to $40,000 in coverage
- No health questions
- 30-day review period
Full review: Guaranteed Issue Life Insurance
RBC Personal Accident Insurance
In addition to traditional life insurance policies, RBC also provides Personal Accident Insurance coverage.
This type of insurance provides financial protection if you become disabled or pass away due to an accident. It can supplement other life, health, and disability policies.
RBC’s Personal Accident Insurance pays out lump sum cash benefits that can be used for:
- Replacing lost income
- Covering medical expenses
- Supplementing household costs
- Paying off debts or mortgages
- Other financial needs
Benefits are paid directly to the policyholder. Coverage amounts and premiums are customizable based on your financial situation and needs.
This additional protection can give you peace of mind, knowing your family will have extra financial help in the event of an accidental injury or death. Speak to an RBC advisor to learn more and get a quote.
Additional RBC Life Insurance Benefits
Other advantages to RBC’s life insurance offerings include:
- Range of supplementary riders for added protections
- Guaranteed renewability provisions
- Ability to convert term policies to permanent coverage
- Benefits like a compassionate advance for terminally ill policyholders
Additional benefits include guaranteed renewability, the ability to convert term policies to permanent coverage without reassessment, and various supplementary riders.
RBC Health Insurance
RBC Life Insurance provides a suite of health insurance solutions, including:
RBC Critical Illness Insurance
- Critical Illness Recovery Plan – Covers 30+ conditions with renewable 10-year terms
- Critical Illness Insurance Plan – Covers three major illnesses (cancer, heart attack, stroke)
Full review: Critical Illness Insurance
RBC Disability Insurance
- RBC Simplified Disability Insurance – For self-employed and hard-to-insure
- Professional Series – For high-earning professionals and business owners
- Foundation Series – For small business owners and skilled tradespeople
- Bridge Series – Flexible, cost-saving disability options
- Quantum – For professionals seeking to protect specialized income
- Fundamental Series – Injury-only coverage for contract/seasonal workers
Full review: Disability Income Insurance
Hospital Insurance
- Royal RecoverAssist – $100-$200 daily hospitalization benefit from accident
- Retirement Protector – $200 daily hospitalization benefit from accident/sickness
RBC health plans aim to provide financial stability in case of unexpected injury or illness. Claims support is provided by RBC’s in-house team.
Brief Overview of Other Products From RBC Insurance
RBC Home & Auto Insurance
For protection of personal assets and property, RBC Insurance provides:
- Home Insurance – For homeowners, renters, condo owners and seasonal properties. Bundling home and auto policies can unlock discounts.
- Auto Insurance – Coverage for personal vehicles. Options for recreational vehicles as well. Multi-vehicle discounts are available.
RBC Travel Insurance
From trip cancellations to emergency medical care abroad, RBC Insurance’s travel insurance plans can provide coverage while vacationing domestically or overseas. The main options include the following:
- Trip Packages – Comprehensive plans for unexpected travel mishaps. Can bundle for multi-policy discounts.
- Travel Medical – Includes emergency medical and trip interruption protections for vacationing outside the home province.
- Cancellation/Interruption – Coverage for non-refundable trip expenses if a trip is cut short or cancelled entirely.
- Visitors to Canada – Emergency medical coverage for non-citizens travelling to or within Canada.
RBC travel insurance aims to give peace of mind through 24/7 emergency travel assistance services.
RBC Business Insurance
RBC Insurance offers a suite of insurance options for business owners:
- Overhead Expense – Covers ongoing business expenses during periods of disability.
- Key Person – Protects business against financial loss if a top employee dies or becomes disabled.
- Buy-Sell – Funds buy-sell agreements to ensure business continuity if an owner dies, becomes disabled or retires.
- Business Owners – Life insurance products to cover business loans or replace lost income from disability/death.
Group Insurance plans to provide employee benefits like health/dental coverage are also available. RBC Insurance business insurance aims to safeguard businesses against unexpected disruptions.
RBC Creditor Insurance
RBC Insurance offers creditor insurance solutions exclusively for RBC Royal Bank clients, including
- Mortgage Insurance – Provides coverage for mortgage balance if a borrower faces death/critical illness.
- Loan/Line of Credit Protection – Covers outstanding RBC loan balances in case of death, disability, job loss or critical illness diagnosis.
- Credit Card Balance Protection —Insurance to cover an unpaid credit card balance from RBC if the cardholder experiences covered risk events.
Creditor insurance payouts are sent directly to RBC Royal Bank rather than policyholder beneficiaries. This pays down debts owed to the bank by deceased/disabled clients.
The Pros of RBC Life Insurance
RBC Life Insurance has several advantages that make it an appealing option for many customers:
Competitive Pricing
RBC’s monthly premium rates are very competitive, especially for younger, healthier applicants. Their term life rates are frequently among the cheapest options.
Customizable Term Lengths
The ability to select any term from 10 to 40 years provides exceptional flexibility that is not found with all providers. This is ideal for matching specific obligations.
High Maximum Coverage
RBC policies provide up to $25 million in coverage – more than many competitor’s maximums. This extensive coverage can meet higher protection needs.
Guaranteed Acceptance
RBC’s guaranteed acceptance life insurance ensures approval without medical underwriting for older applicants or those with health conditions.
Rider Options
Numerous supplementary riders allow added protections like accidental death coverage, disability waivers, and more.
Online Purchasing
Quotes and purchasing for term and guaranteed acceptance life insurance policies are available directly online.
The Cons of RBC Life Insurance
However, there are some potential disadvantages to RBC’s life insurance products that customers should be aware of:
Higher premiums for some groups
Smokers may find RBC’s premium rates uncompetitive compared to rivals. Older applicants also pay more than the industry average.
Complex universal life product
RBC’s universal life insurance is more complicated than options from top insurers like Sun Life or Manulife.
Limited Permanent Policy Selection
Beyond universal and whole life options, RBC lacks some additional permanent policy types like indexed or variable life products.
Mixed customer service reviews
Some clients report long response times and poor experiences with RBC’s customer service team.
Who Is Eligible for RBC Life Insurance?
RBC Life Insurance eligibility requirements vary by product but generally include:
- Ages 18+ for most policies (age 40-75 for guaranteed acceptance life insurance specifically).
- Canadian citizens or permanent residents. Certain products are limited to specific provinces.
- In good health without major pre-existing conditions. Medical exams or health questionnaires are required for some policies.
- RBC Life Insurance customers qualify for certain policies like accident insurance and creditor solutions.
Talk to an IDC advisor for guidance about eligibility based on your specific circumstances.
RBC Life Insurance Costs and Pricing
RBC Life Insurance Sample Monthly Premiums
The following table shows estimated monthly costs for $500,000 of coverage from RBC for non-smoking and smoking males at different ages:
$500,000 Coverage, Male
| Age | 10-Year Term, Non-Smoker | 20-Year Term, Non-Smoker | Whole Life, Non-Smoker | 10-Year Term, Smoker | 20-Year Term, Smoker | Whole Life, Smoker |
|---|---|---|---|---|---|---|
| 20 | $18 | $22 | $42 | $25 | $32 | $58 |
| 30 | $19 | $24 | $51 | $27 | $36 | $69 |
| 40 | $26 | $35 | $73 | $43 | $59 | $117 |
| 50 | $46 | $69 | $138 | $92 | $146 | $253 |
Here are estimated monthly premiums for $500,000 of RBC term and whole life insurance for non-smoking and smoking females at different ages:
$500,000 Coverage, Female
| Age | 10-Year Term, Non-Smoker | 20-Year Term, Non-Smoker | Whole Life, Non-Smoker | 10-Year Term, Smoker | 20-Year Term, Smoker | Whole Life, Smoker |
|---|---|---|---|---|---|---|
| 20 | $12 | $17 | $32 | $19 | $25 | $46 |
| 30 | $13 | $19 | $40 | $22 | $31 | $58 |
| 40 | $21 | $30 | $62 | $37 | $54 | $103 |
| 50 | $39 | $57 | $114 | $73 | $114 | $193 |
RBC Critical Illness Insurance Sample Monthly Premiums
CI Recovery Plan
| Age | $25,000 Benefit, Non-Smoker | $50,000 Benefit, Non-Smoker | $25,000 Benefit, Smoker | $50,000 Benefit, Smoker |
|---|---|---|---|---|
| 25 | $12 | $18 | $15 | $22 |
| 35 | $15 | $23 | $19 | $29 |
| 45 | $31 | $47 | $39 | $59 |
| 55 | $87 | $131 | $108 | $162 |
RBC Disability Insurance Sample Monthly Premiums
Simplified Disability Plan
| Age | $2,000 Monthly Benefit, Non-Smoker | $4,000 Monthly Benefit, Non-Smoker | $2,000 Monthly Benefit, Smoker | $4,000 Monthly Benefit, Smoker |
|---|---|---|---|---|
| 25 | $24 | $43 | $31 | $56 |
| 35 | $31 | $55 | $40 | $71 |
| 45 | $51 | $90 | $66 | $117 |
| 55 | $102 | $180 | $132 | $234 |
How RBC Life Insurance Compares to Top Competitors
While RBC Life Insurance may not always offer the absolute lowest premiums, their pricing remains highly competitive with leading providers.
For example, Canada Life offers slightly cheaper term and whole life rates in some cases based on the below premium comparison:
$500,000 Coverage, Non-Smoker Age 40
| Company | 20-Year Term | Whole Life |
|---|---|---|
| Canada Life | $33 | $71 |
| RBC | $35 | $73 |
| Sun Life | $37 | $78 |
| Manulife | $39 | $82 |
However, RBC makes up for the small premium difference by providing excellent customer service, flexible policy options, and added benefits that many clients find worthwhile.
RBC’s team of dedicated advisors takes a highly personalized approach to understanding each client’s needs and explaining all policy choices. Their expertise and attentiveness are unmatched, according to many reviews.
While not the cheapest, RBC offers a competitive balance of affordable pricing and outstanding service that continues attracting customers across Canada. Quoting with RBC and comparing options remains the best approach.
Factors Affecting Your Premium Rates
The cost of RBC Life Insurance policies will depend on several factors, including:
Type of Policy: Permanent and whole life insurance premiums are generally higher than term policies since they offer lifelong coverage. Term policies provide temporary coverage for a set period.
Coverage Amount: More coverage naturally equates to a higher premium. RBC offers life insurance coverage ranging from $5,000 up to $25 million.
Age: Younger people will pay lower premiums than older applicants, as age is a key pricing factor for life insurance.
Gender: Premiums are generally lower for females than males of the same age, as women tend to have higher life expectancies.
Health Status: Applicants in excellent health typically receive lower premiums than those with pre-existing medical conditions. Lifestyle factors like smoking also impact rates.
Extra Riders: Adding supplementary riders for benefits like accidental death coverage will increase the overall premium.
How to Apply for RBC Life Insurance
Applying for coverage through RBC Life Insurance is straightforward. The steps include:
- Get a Quote—Either online or by calling an RBC advisor, you can obtain a personalized premium quote for the desired insurance product and coverage amount.
- Complete the Application—Applications can be completed digitally, over the phone, or by meeting with an advisor. You’ll provide personal details, health information, and policy selections.
- Undergo Underwriting – RBC will review your application and make a decision. Additional medical exams or records may be required in some cases.
- Make the First Payment—To activate coverage, make your initial premium payment through a pre-authorized bank withdrawal or credit card.
- Review Policy Documents – Review your policy certificate and documents detailing coverages, exclusions, terms, and conditions.
The application process is simple and can often be completed in just a few days. Having an RBC advisor assist you can streamline the process and address any questions.
Is RBC Life Insurance Worth It?
For most customers, RBC Life Insurance is considered a worthwhile investment:
- Affordable Premiums – RBC offers competitive pricing on term, whole, and universal life insurance policies.
- Strong Financial Ratings – RBC maintains high financial strength ratings to ensure they can pay out claims.
- Variety of Options – RBC provides different types of permanent and temporary life insurance at customizable amounts.
- Rider Benefits – Additional riders like waiver of premium, accidental death, and critical illness can be added.
- Guaranteed Policies – RBC offers guaranteed life coverage options that do not require a medical exam.
- Supplemental Health – Products like disability, critical illness, and personal accident insurance supplement core coverage.
- Expert Advice – RBC advisors provide guidance on policy selection, coverage needs, and managing your policy.
- Policy Flexibility- Many options exist to convert, renew, or change your life insurance as needs change.
While not the cheapest in every case, RBC offers very good value. Checking quotes and comparing is advised when shopping for the right policy.
The Bottom Line: Is RBC Life Insurance a Good Choice?
RBC Life Insurance offers a wide range policies at competitive rates, making it appealing to many Canadian customers. Bundled insurance packages may be most cost-effective for those who already bank with RBC.
However, prospective policyholders should carefully weigh RBC’s pros and cons, talk to an advisor about eligibility, and compare quotes with other providers before deciding. Less than stellar customer service reviews are worth factoring into any decision.
While not perfect, RBC Life Insurance remains one of Canada’s top life insurance providers, and its comprehensive solutions warrant consideration alongside alternatives. Reviewing coverage options in light of individual needs can determine if RBC is the right fit or if a different provider is preferable.
Looking for a more robust comparison beyond just RBC Life Insurance? IDC offers meticulously researched reviews of the Biggest Life Insurance Companies in Canada. We cover all the major national players including Canada Life, Sun Life, Manulife, BMO Insurance, Industrial Alliance Insurance, Equitable Life, Assumption Life, Empire Life and more top providers. Each review dives into products available, pricing range, financial standing, customer service reputation, unique pros/cons, and FAQs. Whether you are interested specifically in RBC Life Insurance or want to compare it side-by-side with some of the other most reputable and established life insurance companies in Canada, our set of impartial, detailed reviews aims to provide all the insight needed to select the ideal policy with full confidence.
Find the Right Coverage Quickly
Getting life insurance doesn’t have to be complicated or time-consuming. With just a 60-second online quote, you can get matched with the ideal policy for your needs and budget. Our experts at IDC Insurance Direct Canada make the process simple, guiding you through comparing top providers to find the perfect fit. Don’t wait to protect your family and assets – get covered with personalized advice and support now.
RBC Life Insurance FAQs
Q: What types of life insurance does RBC offer?
A: RBC offers term life, whole life, universal life and guaranteed acceptance life insurance policies.
Q: How long does it take to get approved for RBC life insurance?
A: Most applicants can complete underwriting and get approved in just 1-2 weeks. It may take longer for complex medical cases.
Q: What is the maximum life insurance coverage from RBC?
A: RBC policies provide up to $25 million in maximum coverage, higher than many competitor's limits.
Q: Can smokers get life insurance from RBC?
A: RBC will insure smokers, but premiums are higher than non-smoker rates.
Q: Can I convert RBC term life to permanent insurance?
A: Yes, term policies can be converted to a permanent plan up to age 75, without new medical underwriting.
Q: Does RBC offer riders and add-ons for life insurance?
A: Yes, RBC has riders for accidental death, children's insurance, disability waivers and more.
Q: How do I make a life insurance claim with RBC?
A: Call RBC immediately to begin the claims process. Your beneficiaries will need to submit a death certificate and other documentation.
Q: Are RBC Life Insurance premiums expensive?
A: RBC is known for competitive pricing across all insurance offerings. They offer affordable rates, though not always the absolute lowest cost.
Q: Does RBC perform medical exams for life insurance?
A: Medical exams are only required in select cases based on age, amount and type of coverage sought. Many are approved without exams.
