Why Immigrants Should Buy Life Insurance Early in Canada

Starting a new life in a country like Canada is a major milestone — filled with opportunities but also financial risks. With high living costs and new financial responsibilities, protecting your income and your family's future is essential.

That’s why immigrants should strongly consider purchasing life insurance early, especially within the first few years of settling in Canada.

1. Buying Early Can Save You a Significant Amount on Premiums

Life insurance premiums are heavily influenced by:

• Your age

• Health condition

• Medical history

Getting insured while you’re still young and healthy means:

• You could pay 30–50% less than if you wait until later

• You lock in lower premiums for the entire term of the policy

Example: A healthy 30-year-old buying a 20-year term life policy pays much less than a 40-year-old in similar health.

2. Secure Financial Stability and Protect Your Family from the Unexpected

Immigrants are often the main or sole breadwinner, especially in the early years of settling.

If the unexpected happens, life insurance:

• Provides a large tax-free payout to your family

• Covers major expenses like mortgage, children’s education, and outstanding debts

• Prevents financial burden on your spouse or extended family

Life insurance is a key part of any strategy to protect loved ones from life’s uncertainties.

3. Supports Immigration and Long-Term Residency Planning

Some Canadian immigration or permanent residency programs require proof of financial stability.

Having life insurance can:

• Strengthen your long-term settlement application

• Show that you’re serious about financial planning

• Be considered part of your personal asset plan

4. Easier to Get Approved While You’re Still Young and Healthy

If you wait until you develop health issues:

• You may face higher premiums, or

• Get denied coverage altogether

Immigrants often face stress, lifestyle changes, and health challenges during the transition period. Don’t wait until you’re unwell — by then, it may be too late.

5. A Smart Financial Tool for Long-Term Wealth and Legacy Planning

Life insurance can also help you:

• Create an education fund for your children

• Leave a legacy to loved ones — without large inheritance taxes

• Reduce financial pressure on the next generation

Especially for immigrants who may not have much initial wealth in Canada, life insurance is a practical way to build and protect long-term assets.

✅ TikiTax's Advice:

The sooner you start, the more you save, and the better protected you’ll be.

Don’t think life insurance is just for old age — it should be a key part of your settlement plan from the beginning.

There are different types of life insurance: Term Life, Whole Life, or Investment-Linked.
TikiTax advisors can help you choose the best option for your needs and budget.

📞 Need Guidance?

TikiTax supports newcomers to Canada with:

• Financial planning

• Life insurance selection tailored to your goals

• Free and transparent advice — always focused on your long-term benefit

👉 Book your 1-on-1 consultation with TikiTax today at TikiWealth.com