Desjardins Life Insurance in Canada: A Comprehensive 2025 Review

Desjardins Group has been a pillar of the Canadian financial services industry for over 100 years. As the country’s largest credit union cooperative, they provide banking, investment, and insurance solutions to millions of customers across Canada.

In this extensive guide, we’ll explore Desjardins’ offerings as one of the top Canadian life insurance companies to help you determine if their policies are a good fit for your needs.

What is the History of Desjardins Insurance in Canada?

Founded in 1900 by Alphonse Desjardins in Lévis, Quebec, Desjardins Life Insurance began as a single credit union providing banking services to the Francophone community. It has since grown into the largest association of credit unions in North America.

Desjardins formally entered the life insurance market in 1944 with the creation of their life insurance subsidiary, Desjardins Financial Security. Today, they provide a diverse range of term, permanent, universal, and participating life insurance policies to Canadians from coast to coast.

How Does Desjardins Life Insurance Work?

Desjardins Life Insurance is sold through a network of over 6,000 financial advisors concentrated mainly in Quebec and Ontario, but they have a growing presence across the country.

Here are some key facts about Desjardins life insurance in Canada:

• Headquarters: Lévis, QC
• Years in Business: 79+
• Total Assets: $422.9 billion
• A.M. Best Rating: Not rated
• DBRS Credit ratings: AA
• Financial Advisor: Over 1,200

What Types of Life Insurance Does Desjardins Offer?

Desjardins Term Life Insurance for Canadians

Desjardins offers Canadian term life insurance with coverage lengths of 10, 15, 20, 25, 30 years and Term to 65.

Term life insurance provides affordable protection for a specific timeframe in which your dependents need income replacement and financial support. For example, you may use a 20-year term plan to cover a mortgage or protect your family until your children finish school and start their careers.

Key features of Desjardins’ term life insurance:

• Coverage up to $20 million
• Terms of 10, 15, 20, 25, 30 years and Term to 65
• Individual and joint first-to-die policies
• Renewable terms up to age 85 (except Term to 65)
• Convertible to permanent insurance until age 70 (age 60 for Term to 65)

Unique conversion options include splitting a joint term policy into two separate permanent policies or converting to a joint last-to-die permanent policy.

Desjardins’ term rates are competitive but not the most affordable. Providers like PolicyMe and Dialogue offer lower premiums for healthy applicants.

Desjardins Term Life Sample Monthly Rates

Desjardins Permanent Life Insurance for Canadians

Desjardins’ permanent life insurance provides lifelong coverage as long as you pay your premiums. It never expires, unlike term insurance. Permanent policies also build tax-advantaged cash value that you can access while living.

They offer both basic no medical exam coverage and personalized permanent policies underwritten based on your health:

Basic Permanent Coverage

• Available ages 50-75
• Face amounts of $5,000 to $20,000
• No medical exam is required
• 30-day free look period

Personalized Permanent Coverage

• Available ages 0-85
• Face amounts $25,000 to $10 million
• Underwritten to assess your risks
• Pay over 10, 15, 20 years or to age 100
• Preferred rates when bundling policies

The main benefits of Desjardins’ permanent life insurance for Canadians include lifetime coverage, probate bypass, and tax-sheltered savings. However, the premiums are significantly higher than those of term insurance.

Desjardins Permanent Life Sample Monthly Premiums

Desjardins Life Insurance Over 50

Desjardins offers life insurance over age 50 through their basic permanent coverage requiring no medical exam. This simplified issue policy is available from ages 50-75 in face amounts from $5,000 to $20,000.

Key features include:

• No health questions or medical exam
• 30-day free look period
• 5x accidental death benefit until age 85
• Option for a 50% advance payment if terminally ill

This can provide affordable final expense protection and inheritance for older Canadians. The monthly premiums do not increase with age.

Desjardins Universal Life Insurance for Canadians

Desjardins also provides universal life insurance, which offers permanent protection coupled with an investment account.

A portion of your premiums covers the cost of insurance, while the remainder gets invested tax-free in your choice of over 30 investment options.

Key benefits of Desjardins’ universal life insurance include:

• Tax-deferred growth on investments
• Access available cash value through policy loans
• Adjustable death benefit as your needs change
• No surrender charges after five years of holding the policy

This universal life insurance policy type appeals to those wanting to maximize inheritance, access cash value through retirement, or grow tax-sheltered investments.

Desjardins Participating Life Insurance for Canadians

Also referred to as “par whole life”, this permanent policy provides lifetime coverage and potential annual dividends from the life insurance company.

Each year, Desjardins determines if they can pay dividends to eligible participating policyholders based on the company’s financial performance. These non-guaranteed dividends offer policyholders flexibility:

• Pay for additional life insurance coverage
• Shorten your premium payment term
• Fund upcoming premium payments
• Build up your policy’s cash surrender value

So, participating life insurance policies give Canadians the potential to lower costs and increase protection through dividends. However, dividends are not guaranteed.

Additional Desjardins Life Insurance Benefits and Riders

To customize and enhance their base policies, Desjardins provides various supplementary riders and benefits, including:

Waiver of Premium

Waives your premiums if you become critically ill or disabled.

Accidental Death Benefit

Pays an additional amount if death is due to an accident.

Children’s Insurance Benefit

Adds term life insurance coverage for your children.

Payor Waiver Benefit

Waives premiums if the payor becomes critically ill or disabled.

Guaranteed Insurability Option

Lets you increase coverage in the future without medical underwriting.

Discuss your unique situation with an advisor to determine suitable riders.

Desjardins Other Insurance Products

In addition to life insurance, Desjardins offers other insurance products, including:

Critical Illness Insurance

Desjardins critical illness insurance provides a tax-free lump sum payment if diagnosed with a covered critical condition. It can help pay for treatments, living expenses, and debt.

• Covers 26 critical conditions including cancer, heart attack, stroke, Parkinson’s, Alzheimer’s
• Available coverage amounts: $25,000 to $2.5 million
• Terms: 10 years, 20 years, 30 years, or to age 65, 75, or 100
• Unique features:
  • Coverage for loss of independent existence
  • Partial payouts for 15 conditions
  • Return of premium options on expiry or death

Disability Insurance

Desjardins disability insurance replaces lost income if you cannot work due to illness, injury, or accident. This can help maintain your lifestyle if faced with a disability.

• Monthly benefits: $200 to $10,000 per month, depending on occupation
• Benefit periods: 2 years, 5 years, to age 65, to age 70
• Own occupation definition of disability
• Unique features:
  • Future insurability option to increase benefits
  • Residual disability benefit rider
  • Cost of living adjustment rider

Health Insurance

Desjardins provides supplemental health insurance to cover medical costs not included in provincial healthcare plans. This can protect you from high out-of-pocket costs.

• Prescription drug coverage
• Dental care like checkups, fillings, crowns
• Vision care, including eye exams, glasses, contacts
• Paramedical services – chiropractors, physiotherapists, massage therapists
• Medical equipment and supplies
• Semi-private hospital and ambulance coverage
• Travel emergency medical coverage

Auto Insurance

Desjardins offers auto insurance policies to cover cars, trucks, motorcycles, ATVs, RVs, boats, snowmobiles and more.

• Liability coverage in case you injure others or damage property
• Collision and comprehensive coverage
• Accident benefits for medical/rehab expenses
• Uninsured motorist coverage
• Ridesharing coverage for Uber/Lyft drivers
• Discounts for winter tires, multiple vehicles, loyalty, electric cars

Home Insurance

Desjardins provides home insurance to protect houses, condos, apartments, mobile homes and seasonal properties.

• Dwelling coverage for structural damage
• Personal property coverage for belongings
• Liability coverage for injuries on property
• Add-ons like identity fraud and cyber risk
• Water damage and sewer backup coverage
• Discounts for alarm systems, retirees, multi-policy

Pet Insurance

Desjardins offers pet insurance to cover veterinary care costs for cats and dogs.

• Three coverage options: Bronze, Silver, and Gold
• Covers costs related to accidents, illnesses, emergency care, surgeries, diagnostic tests, prescription medications
• Annual coverage limits of $500 to $2,500, depending on the plan
• Deductible options from $100 to $700 annually
• Reimbursement percentages from 70% to 90%, depending on the plan
• Exam fee coverage for one or two annual vet visits
• Add-on coverages available for dental care, preventative care, and rehabilitation

What Factors Determine Desjardins Life Insurance Rates?

Desjardins life insurance rates for Canadians depend on the following:

• Age – Rates increase as you age due to higher mortality risks.
• Gender – Life expectancy differences lead to lower rates for women.
• Health – Your medical history impacts your risk profile.
• Lifestyle – Tobacco use, risky hobbies, and more affect pricing.
• Family history – You may pay more if close relatives have major illnesses.
• Coverage amount – Higher coverage means higher premiums.
• Term length – Longer terms have pricier premiums.
• Provincial differences – Rates vary slightly by province.

Here are sample monthly costs in Ontario for healthy non-smokers:

$500,000, 20-year term:

• 25-year-old female: $21
• 35-year-old male: $32
• 45-year-old female: $52
• 55-year-old male: $228

$1 million permanent life insurance:

• 35-year-old female: $125/month
• 45-year-old male: $255/month

Get a personalized Desjardins quote from an advisor for accurate rates.

What Are the Pros and Cons of Desjardins Life Insurance?

Desjardins life insurance offers several advantages but also some potential drawbacks to consider:

Pros

• Trusted Company with over 75 Years in Canada – Desjardins has a long-standing reputation and financial strength from operating in Canada since the early 1900s. Their stability brings peace of mind.
• Permanent Policies Offer Lifetime Coverage – Desjardins’ permanent life insurance never expires as long as you pay premiums. It provides lifelong protection.
• Wide Range of Term Lengths and Types – Desjardins provides term lengths of 10, 15, 20, 25, 30 years and to age 65. You can also get individual or joint coverage.
• Ability to Convert Term to Permanent Coverage – Desjardins allows converting shorter term policies to permanent insurance down the road for lifelong protection.
• Competitive Rates, Affordable Options – Desjardins offers competitively priced life insurance, especially for older age groups. Bundling brings discounts.

Cons

• Limited Term Length Choices – Desjardins only offers set term lengths. Some insurers allow customizable 1-30-year terms.
• No Online Quotes or Applications – You cannot get Desjardins pricing or apply online. Competitors like PolicyMe and Dialogue offer digital insurance.
• Must Speak with an Advisor to Get Pricing – To get a Desjardins quote, you must call, visit a branch or book an appointment. Other insurers provide instant online quotes.
• Not as Budget-Friendly for Healthy Applicants – For young, healthy Canadians, Desjardins’ rates are not the most affordable. Direct insurers can offer lower pricing.

How To Choose Between Desjardins and Other Life Insurers?

Choosing the right life insurance company involves weighing several factors:

Coverage Needs

Consider which policy types suit your needs – do you need an affordable term policy to cover a mortgage? Or permanent life insurance for lifetime protection? Desjardins provides both.

Pricing

Compare quotes from Desjardins and competitors like Sun Life and RBC Insurance. Get quotes for the same coverage amounts to compare apples-to-apples.

Digital Experience

Lifebuzz allows you to get quotes, apply, and manage your policy online 24/7. Desjardins requires contacting an advisor. Decide if you prefer digital convenience or personal guidance.

Financial Strength

Desjardins has over 75 years of experience in Canada and an A rating from A.M. Best. Research competitors’ ratings and history to assess financial stability.

Special Features

Review unique tools and perks offered. Desjardins provides a longevity calculator and membership benefits. Some insurers offer contests, giveaways, and health incentives.

By evaluating your specific needs, priorities, and Desjardins’ strengths vs. competitors’ offerings, you can determine the life insurance provider that’s best for you. Getting quotes from multiple companies is crucial for finding affordable coverage that fits your lifestyle.

How to Apply for Desjardins Life Insurance Coverage

If you’re interested in getting life insurance coverage through Desjardins, here are a few options:

1. Get quotes and apply through an independent advisor like Lifebuzz. An advisor can compare Desjardins to other top insurers in Canada and help you find the most suitable and affordable policy for your needs.
2. Call Desjardins directly to speak with one of their licensed advisors, who can provide quotes and guide you through the application process.
3. Visit a local Desjardins branch in your area to meet face-to-face with an advisor. Over 2,300 locations are available, primarily in Quebec and Ontario.
4. Schedule an appointment through their website for an in-person or virtual meeting with a Desjardins advisor.

When applying for coverage, you’ll need to answer questions about your health history, lifestyle, family medical background, finances, and insurance needs. Be prepared to complete any required medical exams and tests for permanent and universal life insurance policies. Desjardins conducts a telephone interview for no medical exam coverage.

An independent broker like Lifebuzz can help simplify the research and application process so you can find the right Desjardins life insurance product at the best rate.

Is Desjardins the Right Life Insurer for You?

For Canadians seeking peace of mind from a reputable life insurance company, Desjardins delivers stability and expert guidance. Their array of term, permanent, universal, and participating life insurance solutions can meet diverse needs.

Those who value personalized service may appreciate Desjardins’ in-person advisor network across the country. However, Canadians wanting a convenient digital insurance-buying experience may prefer to purchase term life insurance directly online.

To decide if Desjardins is the best fit for you, speak with an advisor and compare quotes from other top Canadian life insurers like Sun Life, Canada Life, RBC Life Insurance, and more. Evaluating your specific situation will lead you to the right life insurance provider.

Key takeaways:

• Desjardins offers term, permanent, universal, and participating life insurance policies to Canadians.
• Term options include 10 to 30 year terms plus term to age 65. Desjardins permanent policies provide lifetime coverage.
• Unique features include converting term policies to permanent coverage and splitting joint term policies.
• Desjardins provides critical illness, disability, health, auto, home, and pet insurance as well.
• Pros are Desjardins’ stability, permanent coverage, and ability to convert term to permanent insurance.
• Cons are limited term lengths, no online quotes/applications, and potentially pricier rates for young, healthy applicants.
• A good option for personalized service, but those wanting an easy digital experience may prefer an online insurer.

Frequently Asked Questions (FAQs) about Desjardins Life Insurance

Article Sources:

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1. Desjardins Life Insurance Review – Updated 2024 – https://www.policyadvisor.com/
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3. Desjardins Life Insurance Review 2024 – https://www.dundaslife.com/
4. Is Desjardins Life Insurance the best? Review 2024 – https://hellosafe.ca/