Return of Premium Life Insurance

Posted on: January 8th, 2013 by Peter Choma

Return of Premium Life Insurance

So you’ve decided that you want the protection that only life insurance can provide for you, now what? What most Canadians will do will conduct online research. Next, deciding which particular type of insurance will best cover their needs. The choices that you have boil down to three basic types: term life insurance, whole life insurance and return of premium (ROP) life insurance. If you’ve made it this far, chances are you’re more than familiar with both term and whole life insurance but a little unsure as to what exactly ROP insurance is and the advantages it offers.

Return of premium life insurance is essentially a hybrid of term and whole life. Like all policies, it guarantees a death benefit should you pass away. It is similar to term life insurance in that it provides coverage over a specific period of years, and like whole life insurance you do get money back.  But unlike whole life insurance buying return of premium life insurance is a lot more straight forward, in that you only select the amount of coverage you desire and for how long. If you outlive your policy’s term, you get all the money you paid in premiums returned to you.

The cost of Return of Premium Life Insurance 

As a rough guide, ROP insurance is approximately 50% more than a comparable term plan. It is important that a ROP plan is not mistaken for an investment tool as it offers no returns. It is for this reason many financial advisors suggest a term life insurance, while investing the difference.

We can help

At we know that life insurance shopping can leave most people’s heads spinning, is here to help guide through all the different plans available. If you’re interested in getting the best coverage available at a price you deserve then we can help. All we need is a little information, and we’ll take care of the rest. is simply the quickest and easiest way to life insurance in Canada.