Ben Nguyen 
RBC Insurance, a Royal Bank of Canada subsidiary, is one of the largest and most trusted Canadian insurance providers. With a wide selection of term and permanent life policies, RBC offers affordable coverage options combined with financial strength and stability.
This comprehensive review leaves no stone unturned when it comes to RBC life insurance. We delve into RBC’s products, pricing, financial strength, customer reviews, eligibility requirements, and more. By the end, you’ll have expert insights to help you decide if RBC life insurance is the right choice for your coverage needs and the protection of your loved ones.
An Overview of RBC Insurance
Who is RBC Insurance?
RBC Insurance, the insurance arm of the Royal Bank of Canada (RBC), is a versatile provider. Headquartered in Mississauga, Ontario, RBC Insurance offers a diverse range of insurance products and services. These include life, health, home, auto, travel, group benefits, and more, catering to a wide range of insurance needs.
Some key facts about RBC Insurance:
- Founded in 1968 through the merger of two Canadian insurers
- Largest bank-owned insurance provider in Canada
- Over 4 million customers worldwide
- Approximately 2,500 employees
- Over $15 billion in assets
- Annual insurance premiums exceeding $4 billion
RBC Insurance prides itself on financial strength and stability. For over twenty years, it has maintained an “A” (Excellent) rating from AM Best, indicating a solid ability to meet policyholder obligations.
As Canada’s largest bank, RBC has an extensive client base and distribution network for insurance products through its banking branches and advisors. The RBC brand reputation helps attract clients nationwide looking for solid coverage backed by a top financial institution.
What Are RBC Life Insurance Products for Canadians?
RBC Insurance provides an extensive suite of individual and group life insurance solutions designed to meet the diverse needs of Canadians across all life stages:
RBC Term Life Insurance
YourTerm
RBC’s flagship YourTerm policy is entirely customizable, allowing you to choose any term length between 10 and 40 years. This flexibility makes it easy to match the policy length to specific financial goals like paying off a mortgage or getting kids through post-secondary education.
YourTerm has high coverage amounts up to $25 million and can include helpful riders for accidental death, disability waivers, and supplemental term life. You can convert to permanent insurance without additional medical underwriting.
Simplified Term
For simplified issue coverage under $1 million, RBC offers streamlined 10-40-year term life insurance with no medical exam required. This affordable option is well-suited for young Canadians just starting or who need essential protection.
The 30-day review period allows you to cancel with a full refund if you are unsatisfied. An accidental death benefit rider is included for additional payout in cases of accidental death.
RBC Permanent Life Insurance
Participating Whole Life
RBC’s participating whole life insurance policy provides lifelong coverage and dividend options that allow policyholders to share in the insurer’s financial success. Dividends can be taken as cash to purchase additional insurance or help offset premium costs.
This policy accumulates cash value that grows tax-advantaged. You can access this value via loans or withdrawals. The death benefit passes tax-free to beneficiaries.
Universal Life
For permanent protection plus investment growth potential, RBC Universal Life offers a range of self-directed investment options to allocate your policy’s cash value. You have flexibility in arranging premium payments and in structuring the death benefit.
RBC’s universal life policy is a great way to supplement retirement savings tax-efficiently. The cash accumulation can be accessed tax-free for anything from emergencies to vacations to education costs.
Guaranteed Life
RBC’s guaranteed life insurance provides simple acceptance permanent life insurance for older Canadians or those with health conditions. With no medical exam, approval is guaranteed for simplified amounts between $5,000 and $40,000.
It’s an easy way for seniors to cover final expenses without having to qualify medically. The 30-day review period allows cancellation with a full refund.
RBC Group Life Insurance
RBC also provides extensive group life and benefits programs for Canadian employers to cover their workforce. Group plans offer cost-efficient pricing, simplified underwriting, and the convenience of employer-paid premiums.
Employees can secure up to $1 million in term life insurance as well as critical illness, disability income, and accidental death & dismemberment insurance.
RBC Life Insurance Riders & Features
Canadians can further customize RBC insurance policies with various supplemental riders:
- Accidental Death – Extra payout if death is accidental
- Disability Waiver – Premiums waived if disabled
- Child Term Rider – Coverage for children
- Term Riders – Add spouse or family member coverage
RBC also offers unique features like the Living Benefits rider to accelerate the death benefit if terminally ill.
With this extensive range of options, RBC gives Canadians diverse solutions for life insurance and risk protection at every stage of life. Bundling various products provides comprehensive coverage.
Key Takeaway: RBC offers an extensive suite of term, permanent, and group life insurance options that Canadians can customize with helpful riders for added protection.
What Does RBC Life Insurance Cost for Canadians?
The cost of RBC life insurance depends on several factors that the insurer uses to assess and price risk. This includes the standard criteria of age, gender, health/lifestyle, coverage amount, and length of the policy term.
Here are some sample monthly rates for healthy, non-smoking Canadians:
RBC Term Life Insurance
$500,000 Coverage, 20-year Term
| Age | Male | Female |
|---|---|---|
| 25 | $32.18 | $22.86 |
| 35 | $32.63 | $24.26 |
| 45 | $75.42 | $53.37 |
| 55 | $237.69 | $166.14 |
RBC term life premiums are quite affordable, especially for younger individuals in their 20s and 30s who are securing initial protection. Their pricing is competitively benchmarked against other major Canadian life insurance companies :
- Manulife
- Sun Life
- Beneva Life
- Wawanesa life insurance
- CPP life insurance
- IA financial group insurance
- Desjardins Life Insurance
RBC Permanent Life Insurance
$500,000 Participating Whole Life
| Age | Male | Female |
|---|---|---|
| 25 | $549.86 | $497.43 |
| 35 | $644.45 | $579.06 |
| 45 | $860.77 | $777.14 |
| 55 | $1,201.71 | $1,081.43 |
Pricing for permanent cash value policies understandably trends higher given the lifelong coverage and account value growth components. RBC prices these competitively as well in the Canadian insurance market.
There are often opportunities to save on RBC life insurance premiums through:
- Preferred health discounts
- Couples and multi-policy discounts
- Group employee plans with employer-paid premiums
- Optimizing term length and coverage amount
Canadians should always compare RBC life insurance quotes to those of other insurers to confirm they are getting the best rates for their situation. Independent advisors can provide an unbiased assessment.
Key Takeaway: RBC life insurance pricing is competitive for both term and permanent policies. Compare quotes to maximize savings.
What Are Pros and Cons of RBC Life Insurance for Canadians?
RBC life insurance has several advantages that make it an attractive option for coverage:
Pros of RBC Insurance
- A comprehensive suite of policies and riders
- Ability to bundle multiple insurance products
- Strong financial backing of a top Canadian bank
- Streamlined underwriting and customer experience
- Competitive pricing across most demographics
- Excellent customer service reported by many clients
- Canadian-based insurer focused on the domestic market
However, there are some potential drawbacks to consider:
Cons of RBC Insurance
- Mixed customer service reviews on third-party sites
- Limited plan variety compared to some other insurers
- Term life policies lack a return of premium feature
- Permanent policies have complex fee structures
- Older ages may find better rates with smaller insurers
Overall, RBC offers solid life insurance products for Canadians seeking coverage from a reputable financial institution. The advantages outweigh the negatives for most policyholders.
Key Takeaway: RBC Insurance has competitive pricing and benefits backed by a top Canadian bank, but read customer feedback and compare costs.
What Do Independent RBC Life Insurance Reviews Say?
Independent customer review platforms like Google and Insureye can provide helpful insight into policyholders’ experiences with RBC Insurance. However, it is essential to note that online reviews disproportionately represent unhappy customers who take time to vent their frustrations compared to satisfied clients.
With that said, here are some themes we noted from RBC insurance reviews:
Positive Feedback
- Smooth onboarding and underwriting process
- Competitive pricing and premiums
- RBC advisors are knowledgeable and helpful
- Financial solid backing provides peace of mind
- Good value from bundled policies and discounts
Negative Feedback
- Long wait times to speak with customer service
- Difficulties cancelling policies or making changes
- Automated unreasonable premium increase at renewal
- Claim payments slower than expected
While there certainly seem to be areas RBC could improve around renewal notices and claim processing timeliness, the majority of reviews indicate positive overall experiences. No insurer is perfect, so consider this feedback as part of your research.
Key Takeaway: Independent RBC life insurance reviews cite competitive pricing and helpful advisors as advantages but long service delays as potential drawbacks.
Who Is Eligible for RBC Life Insurance?
RBC life insurance policies are available to:
- Canadian citizens or permanent residents
- Wide age ranges depending on product – as young as 18 up to 85
- Maximum coverage up to $25 million for high-net-worth individuals
RBC will require a medical exam and health questionnaire to evaluate eligibility for permanent cash-value life insurance and higher coverage amounts. However, simplified issue term life insurance up to $1 million does not require an exam.
Certain medical conditions, high-risk occupations, or hazardous hobbies may be excluded, or premiums may be increased. RBC may decline applicants deemed to be at too high risk.
Key Takeaway: RBC life insurance is available to most Canadians of a wide range of ages, especially those in good health. Certain factors can lead to higher rates or ineligibility.
How Canadians Can Save on RBC Life Insurance
There are several strategies Canadians can use to lower costs for RBC life insurance:
- Compare quotes from a variety of top insurers before applying
- Optimize the policy term length and coverage amount
- Consider bundled policies or multi-life coverage for discounts
- Maintain a healthy lifestyle and aim for preferred health status
- Lock in rates at a younger age when premiums are lower
- Pay annually or via payroll deduction to save on fees
- Inquire about special pricing promotions, if available
RBC also offers a Living Benefit Rider with an accelerated death benefit payout for a terminal illness. This can help offset expensive end-of-life health costs.
Working with an independent advisor can help you find the most cost-effective RBC life insurance product and strategy. They shop the competitive marketplace on your behalf.
Key Takeaway: Compare RBC quotes to other insurers, optimize policy parameters, and inquire about bundling discounts to maximize coverage savings.
How Do Canadians File an RBC Life Insurance Claim?
Making a claim is often the test of an insurer’s customer service. Here is an overview of the RBC life insurance claims process:
- Call RBC Insurance as soon as possible after the death
- Provide copies of the death certificate and policy documents
- Submit a Statement of Claim form with beneficiary information
- Send additional medical records if required
- RBC will validate claims documentation and policy details
- Once approved, the death benefit is paid out to named beneficiaries
Many reviewers report professional handling and reasonably quick turnaround – between 1 week to a month for most straightforward claims. High face amounts above $1 million or complex cases may require closer review.
For customer support, RBC provides telephone access during business hours. They also have an online customer portal for essential policy management. Live chat options are limited, so the phone is the best channel for direct inquiries.
Key Takeaway: RBC life insurance claims are paid within 1-4 weeks upon submitting documentation. Phone support meets basic needs, but live chat access is limited.
Is RBC Life Insurance a Good Choice for Canadians?
So, should Canadians consider RBC Insurance for their life coverage needs?
The Verdict: In most cases, yes.
Here are some instances where choosing RBC life insurance could be a good move:
- You want the backing of a reputable central Canadian bank
- Seeking competitive rates across multiple policy types
- I appreciate the ability to bundle several insurance products
- Need a customized term length beyond the typical 10/20/30 years
- Looking for dividends and cash accumulation from a participating whole-life policy
There are also some scenarios where other insurers may better serve specific niches:
- Canadians with complex medical histories or hard-to-insure risks
- Older ages with more price sensitivity
- Those requiring very customized no-exam policies
Overall, RBC Life Insurance provides a solid combination of pricing, features, and financial stability from a top Canadian brand. It’s undoubtedly a strong contender for coverage. Comparing quotes can determine if they are the most affordable option.
Key Takeaway: RBC life insurance is an excellent choice for many Canadians needing coverage thanks to competitive pricing, strong brand reputation, and various policy options.
Next Steps: How to Get Expert Help Comparing RBC Life Insurance
We hope this extensive 3,000+ word guide has provided Canadians with helpful insights on RBC life insurance products, pricing, reviews, eligibility, claims, and overall value.
The next step is to speak with an advisor to get quotes and personalized policy recommendations for your specific coverage needs.
As Canada’s leading life insurance advisor, LifeBuzz.ca partners with top insurers, including RBC Insurance. Our licensed experts work on your behalf to compare quotes across providers and find you the most suitable and affordable policy for your family life insurance.
Contact us today to get started with expert guidance and support. We’re here to provide Canadians with the knowledge needed to make confident insurance decisions and protect financial futures.
Frequently Asked Questions
What is the maximum payout for RBC life insurance?
RBC policies can have death benefits up to $25 million for high net worth individuals needing substantial coverage. Their term, whole life, and universal life policies are flexible in coverage amount.
Where can I buy RBC life insurance?
You can purchase RBC life insurance directly through an RBC advisor, broker, or online. Independent brokers like LifeBuzz can help you compare RBC to other top insurers.
When should I buy RBC life insurance?
It's best to buy life insurance when you are young and healthy, as premiums rise with age. Term life is well-suited for parents with newborns, homeowners with a mortgage, or those with other financial dependents.
Do RBC life insurance rates go up?
RBC term life premiums are guaranteed level for the initial 10-40 year term length. Rates will increase if you renew the policy after the term expires. Permanent policy rates are fixed.
Can RBC life insurance be cancelled?
RBC life insurance policies can be cancelled within the free look period, typically 10-30 days. After that, the policy can still be cancelled but there may be surrender charges.
Is RBC life insurance only for RBC clients?
No, RBC life insurance is available to all Canadian residents who meet eligibility criteria, regardless of whether you bank with RBC. You do not need to be an existing RBC client.
Can I manage my RBC life policy online?
Yes, through the RBC insurance customer portal you can access your policy documents, update personal details, change beneficiaries, make payments, and manage your RBC life insurance online.
What is the RBC life insurance cancellation policy?
RBC life insurance can only be cancelled with no fees during the initial 10-30 day free look period after purchasing coverage. After this period, surrender charges may apply to cancellations.
Does RBC sell mortgage life insurance?
Yes, RBC offers mortgage life insurance designed to pay off all or part of your remaining mortgage balance in the event of your death. This coverage can give mortgage holders added peace of mind.
How long does it take to get an RBC life insurance policy?
It typically takes 2 to 6 weeks to get an RBC life insurance policy after applying. Quicker approval periods of 1 week are possible for simplified policies without medical requirements.
What are the payment options for RBC life insurance?
RBC life insurance can be paid annually, semi-annually, quarterly, or monthly via pre-authorized debit. Payroll deduction may also be available through an employer group plan.
Does RBC life insurance have a grace period?
Yes, RBC life insurance policies have a standard 30-day grace period after a missed premium payment before the policy lapses. Paying within this grace period keeps the policy active.
Can I get a copy of my RBC life insurance policy online?
Yes, RBC life insurance policy documents can be accessed through the RBC insurance customer portal after logging into your account.
What is the RBC life insurance beneficiary change form?
The RBC life insurance beneficiary change form allows you to request a change to the beneficiary designated to receive your policy's death benefit payout.
Do I need a health exam for RBC life insurance?
Health exams, blood work, and doctor exams may be required depending on your age, health, coverage amount, and type of RBC life insurance policy chosen. Simplified policies under $1M do not require exams.
Can I get RBC life insurance if I smoke?
Yes, RBC life insurance is available for smokers but premiums will be higher than those for non-smokers due to increased health risks. All smoking history and lifestyle details must be disclosed.
Does RBC life insurance cover COVID?
Yes, RBC life insurance policies cover death from COVID-19 or any other cause, with no exclusions. Certain policy riders also cover hospitalization, disability, or critical illness related to COVID-19.
What’s the phone number for RBC life insurance?
The RBC life insurance contact number is 1-888-893-5848. You can call this number weekdays from 8am to 8pm ET to speak with an RBC life insurance advisor about products, quotes, or any questions.
How can I lower my RBC life insurance premium?
Bundling multiple RBC policies, maintaining good health, comparing insurers' rates, opting for longer terms, and buying at younger ages are some ways to potentially lower RBC life insurance costs.
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