When is the best time to buy life insurance?
- Term life insurance gets more expensive every year you wait, because price is driven mostly by age and health.
- A new mortgage, a new baby, or becoming the main income earner are the events that usually trigger the need.
- Buying while healthy locks in your rate class before a diagnosis can make coverage pricier or harder to get.
The short answer
The best time to buy life insurance is as soon as you have a financial obligation that depends on your income (a mortgage, a partner, kids) and you're healthy enough to qualify at a good rate. Waiting doesn't save money. Term life pricing is driven mainly by your age and health at the time you apply, and both tend to move in the wrong direction the longer you wait.
The events that usually trigger it
Rather than a date on the calendar, it's usually one of these:
- You buy a home and take on a mortgage.
- You have a child, or are about to.
- You become the primary or sole income earner in your household.
- A partner or family member starts depending on your income.
- You take on significant debt that would fall to someone else if you died.
- Your current coverage (often a small amount through work) wouldn't be enough on its own.
If none of these apply to you yet, you may genuinely not need life insurance right now. That's fine. The point isn't to buy coverage for its own sake, it's to buy it once you'd actually leave a financial gap.
Why age works against you
Life insurance pricing is built around age-based mortality tables, so premiums for the same coverage amount rise steadily as you get older. Here's what $500,000 of 20-year term typically costs a non-smoker, by age (illustrative estimates, median standard rates from four Canadian insurers, Alberta, Sept 2026):
| Age | Men (monthly) | Women (monthly) |
|---|---|---|
| 30 | ~$29 | ~$20 |
| 35 | ~$36 | ~$26 |
| 40 | ~$44 | ~$33 |
| 45 | ~$73 | ~$52 |
| 50 | ~$121 | ~$82 |
| 55 | ~$220 | ~$151 |
Waiting from 35 to 45 to buy the same coverage can roughly double the premium. That's before accounting for any health changes in between.
Why health works against you too
Insurers ask health questions on every application (and often require a paramedical exam for larger fully underwritten policies). A new diagnosis, whether it's high blood pressure, a mental health condition, or something more serious, can mean a higher rate class, an exclusion, or in some cases a decline. None of that is guaranteed, every case is different, but the risk only grows the longer you put off applying. Buying while you're healthy locks in your rate class for the length of the term.
What "waiting for a better time" usually costs
We regularly see people who meant to apply in their 20s or early 30s and got around to it years later. The coverage they end up buying is the same or similar amount, at a materially higher price, for the rest of what would have been a cheaper term. There's rarely a financial upside to waiting once you have a real need, and the downside (price and insurability) compounds every year.
What about term length instead of timing
Once you've decided to buy, the other timing question is how long a term to choose, and that depends on how long the need will last, not on trying to time the market. A 20-year term is common for a new mortgage or young kids, since it roughly matches the years your family depends most on your income. A shorter 10-year term costs less per month but renews sooner at a much higher rate. As an example, a 35-year-old non-smoking man might pay around $24/month for $500,000 of 10-year term versus around $36/month for 20-year term, illustrative estimates, Alberta, Sept 2026. The 10-year option looks cheaper today, but if the need (the mortgage, the young kids) is still there in year 11, you're back to buying at a higher age and possibly worse health. A 30-year term costs more monthly (around $61/month at 35 for the same coverage) but locks in a rate for a much longer stretch, which can suit someone who wants to stop thinking about it.
People who don't need to buy yet
Not everyone needs term life insurance right now, and that's a legitimate answer too. If you're single with no dependents, no debt that would fall to someone else, and no one relying on your income, you may not have a real gap to insure yet. The better move in that case is simply to know the triggers above, and to revisit the question the moment one of them applies to you, rather than buying coverage you don't need just to feel prepared.
What to do next
If you've had one of the life events above and don't have adequate coverage yet, that's your sign. Get a quote based on your age and health today, or book a call if you want help figuring out how much coverage actually fits your situation.
FAQ
Is there a wrong time to buy life insurance?
Not really, but buying with no dependents and no debt tied to your income means you may be paying for coverage you don't need yet. It's rarely wrong to buy once you have a real financial obligation.
Does buying life insurance early lock in the price forever?
For term insurance, your rate is set at your age and health when you apply, and it stays level for that term (10, 20 or 30 years), then increases sharply at renewal. It's not locked forever, but it's locked for the term.
What if I wait until I'm sick to apply?
A serious diagnosis before you apply can mean a higher price, an exclusion, or being declined altogether. Health is the biggest reason people miss the window.
Philip Setter has been a licensed life insurance advisor since 2014 and founded Affinity Life in 2020. He's a climber, ice climber and ski tourer based in Calgary.