Fact CheckedHow does life insurance work in Canada when you’re not in perfect health?
For many people, the idea of affordable coverage for higher-risk applicants sounds unrealistic… almost like clickbait. Many Canadians wait until later in life to apply for life insurance, often after health issues begin to surface.
When people think about life insurance for higher-risk seniors, the usual concerns come to mind: diabetes, high cholesterol, high blood pressure, or other common conditions. What most people don’t realize is that affordable life insurance for higher-risk individuals is not only possible, it’s far more common than you might expect.
The key is understanding how the Canadian life insurance process works, how insurers assess risk, and why different companies evaluate health conditions very differently.
To understand how underwriting decisions are made overall, start with our guide to life insurance in Canada.
What Makes a Client "High-Risk" in Life Insurance?
High-risk life insurance is a bit of a loose term, and that’s precisely why so many people misunderstand it.
Leaving things up to your imagination when it comes to insurance is never a good idea. Not ever.
That’s actually one of the main reasons I write these articles.
Let me explain with a quick personal story.
My wife had a breast tumor when she was sixteen, and years later, she had a brush with a complex cyst as an adult, all before applying for life insurance. As you can imagine, she was convinced she’d be declined.
I tried to reassure her that everything would be fine, but that didn’t do much to ease her anxiety. Long story short, she was approved at a standard rating. My “I told you so” was music to her ears.
So what happened? Did the insurance company make a mistake?
Nope.
What matters isn’t simply whether you’ve had a medical issue; it’s how that condition affects your overall life expectancy.
This is where most people get it wrong.
Industry statistics show that roughly 80 percent of life insurance applications are approved at standard rates or better, and fewer than 5 percent are declined outright. In other words, most people searching for “high-risk life insurance” are healthier than they think.
Take weight, for example. Many people worry they’re overweight and assume that alone will lead to higher premiums. In reality, life insurance companies use specific height-and-weight charts to determine risk. Carrying a few extra pounds often has little to no impact on your rate.
The real concern is whether that weight contributes to other health conditions that affect longevity. It’s the broader picture that matters, not a single data point.
Understanding how insurers define risk makes the process far less intimidating and helps you approach life insurance with much more confidence.
Assumptions Cost Money
Being a little heavier than average does not automatically make you a high-risk life insurance applicant.
You may be perfectly healthy, and in that case, your policy is issued without a problem. In fact, you may even qualify for preferred rates.
On the other hand, if excess weight is accompanied by serious underlying issues, like uncontrolled blood pressure, heart disease, or other compounding conditions, that’s a very different story.
This is where assumptions get people into trouble.
Life insurance companies are in the business of managing risk. While they provide an incredibly important form of protection, they are not interested in insuring people who are statistically likely to pass away before the end of their term.
The key point most people miss is this: it’s not the label that matters it’s the impact on your life expectancy.
There is a lot of evidence showing that you can be fat and fit when it comes to strength, mobility and cardiovascular health
Are Your Medical Conditions High Risk
If you’re searching for affordable high-risk life insurance, this may come as a relief.
Many people assume they’ll be penalized for their medical history, even when that’s not the case. In fact, a large number of applicants who believe they’re “high risk” still qualify for standard or even preferred ratings.
Whaaaat!? Yep.
This is an important point, so it’s worth repeating: most people are far healthier in the eyes of insurers than they think.
Unless you happen to be an insurance underwriter (the professionals who actually assess risk and assign ratings), you probably don’t know how a specific life insurance company evaluates a given condition. And even doctors, excellent as they are, don’t underwrite insurance policies.
That’s why assumptions can be costly.
Different insurers view the same medical condition very differently. What one company flags as higher risk, another may see as a non-issue.
So here’s the good news: I’m about to give you a leg up.
Affordable High Risk Life Insurance Health Conditions: You're Good to GP
Good news:
Many conditions people assume are “high risk” are not considered high risk by Canadian life insurance companies.
Yes, you may still qualify for Standard, Preferred, or even Elite rates if you’re otherwise healthy and have a favourable medical and family history.
1. Thyroid Issues
Thyroid conditions are extremely common and rarely cause underwriting problems when well managed.
If your condition is controlled and not expected to impact life expectancy, underwriters typically do not penalize you.
If you’re taking medication such as Synthroid and your levels are stable, you’re generally in a strong position from an underwriting standpoint.
Globally, an estimated 200 million people live with some form of thyroid disease. In Canada, studies suggest approximately 1 in 10 Canadians has a thyroid condition, and many cases remain undiagnosed. Insurers are very familiar with this risk profile.
2. Overweight
Being overweight by itself does not make you a high-risk applicant.
What insurers are concerned about are related conditions that can increase mortality risk, such as heart disease, diabetes, or certain cancers.
At Policy Architects, we work with Canadian insurers known for more lenient build charts. Choosing the right carrier can be the difference between a standard rate and paying significantly more.
Selecting the wrong insurer can easily result in 50–100% higher premiums over the life of a policy.
3. High Cholesterol
If your cholesterol is well controlled with medication or lifestyle changes, you are typically not considered high risk.
From an underwriting perspective, once cholesterol is effectively managed, its impact on life expectancy is significantly reduced.
That said, underwriting guidelines vary. Some insurers want to see a longer period of stability than others, which is why carrier selection matters.
4. Elevated Blood Pressure
You may notice a pattern here.
If you’re diagnosed with high blood pressure, begin treatment, reduce stress, improve your diet, and your readings return to normal, most insurers will not penalize you.
Many companies require six to twelve months of documented stability, but controlled blood pressure is rarely considered high risk.
5. Commercial Airline Pilots & Crew
Despite common fears about flying, major commercial airlines are statistically very safe.
Pilots and flight crew working for large commercial carriers may still qualify for Preferred or Elite rates, assuming all other underwriting factors are favourable.
This does not typically apply to frequent private or small-aircraft flying, which carries a higher risk profile.
6. Well-Managed Anxiety or Depression
Mental health does impact underwriting, but controlled conditions are not automatically high risk.
Severe or unstable conditions, such as untreated bipolar disorder or active PTSD, may lead to higher premiums or declines.
However, well-managed anxiety or depression, with consistent treatment and stability, is often underwritten favourably.
7. Mild Asthma & Allergies
Not all asthma is treated the same.
Applicants with mild, well-controlled asthma or seasonal allergies are generally not classified as high risk.
More severe or life-threatening asthma requires closer review, but mild cases are typically viewed favourably.
8. Fewer Than 3 Traffic Tickets in 2 Years
Driving history does affect life insurance rates.
Multiple recent violations suggest increased risk, but insurers do allow some margin for normal driving mistakes.
Fewer than three minor violations within 2 years usually do not place an applicant in a high-risk category.
9. DUI More Than 5 Years Ago
A DUI is taken seriously by insurers.
However, if the incident occurred more than five years ago, many Canadian insurers will no longer apply a surcharge, assuming there have been no subsequent incidents.
Time and clean driving history matter.
10. Basal Cell Carcinoma (Skin Cancer)
Basal cell carcinoma is the most common and least aggressive form of skin cancer.
It is slow-growing, rarely spreads, and is highly treatable. As a result, insurers typically view it far more favourably than melanoma or squamous cell carcinoma.
Once treatment is completed and there is no recurrence, applicants often qualify for Standard and sometimes Preferred rates, depending on timing and overall health.
11. Occasional Marijuana Use
Occasional marijuana use does not automatically impact your life insurance rates.
Many Canadian insurers now treat marijuana use differently from tobacco. If you do not use tobacco or nicotine in any form, you may still qualify for non-smoker rates, depending on frequency and insurer guidelines.
Generally, “occasional use” means limited, non-daily use.
Underwriting in this area is changing! Please read my latest post on Life Insurance and Marijuana here.
“Some of Canada’s biggest insurance companies have updated their policies on marijuana use, and the changes are having a major impact on regular users’ premiums.
With recreational use of the drug set to become legal on Oct. 17, marijuana is moving toward mainstream acceptance, and the slow-moving and stodgy world of life insurance is no exception.”
CBC.CA Life insurance companies no longer treating marijuana use as high risk as tobacco
12. Pregnancy
In most cases, pregnancy does not negatively affect life insurance rates.
If there are no pregnancy-related complications and overall health is strong, applicants can still qualify for Preferred or even Elite rates, depending on age and medical history.
13. The Occasional Cigar
If you smoke up to 12 cigars per year, many Canadian insurers will still offer standard non-smoker rates.
However, Preferred or Elite rates are less common in this category, and underwriting varies by carrier.
Affordable High Risk Life Insurance Health Conditions: Proceed with Caution
Not all “high-risk” situations are deal breakers, but some do require careful navigation.
The conditions below can affect your life insurance rates. You may not love the increase, but in many cases coverage is still available, often at a standard or near-standard rate. And honestly? That’s pretty darn good given the circumstances.
1. Diabetes
Can diabetics get life insurance?
In many cases, yes, but underwriting depends heavily on type, control, and consistency.
Type 2 diabetes is generally viewed more favourably, mainly when blood sugar is well controlled through medication and lifestyle changes. Many applicants qualify for standard non-smoker rates when A1C levels are stable and complications are absent.
From an underwriting standpoint, diabetes is all about control. Insurers look for evidence that you are actively managing your condition through medication compliance, healthy habits, and regular monitoring.
Type 1 diabetes is more complex and typically more expensive to insure, but coverage can still be possible when the condition is exceptionally well managed. Underwriters focus on long-term treatment adherence and the absence of serious complications such as eye, kidney, nerve, or vascular damage.
One important note: your medical records speak for you. Make sure positive lifestyle changes and improvements are documented by your physician. Insurers rely heavily on what appears in your file.
2. A DUI Within the Past Few Years
A DUI or DWI will impact your life insurance application… there’s no way around that.
If the incident occurred just over a year ago, approval may still be possible, though a standard rate is not guaranteed. Insurers assess several factors, including your age, overall health, number of DUIs, alcohol or substance-use history, liver enzyme results, driving behaviour since the incident, and criminal record.
The further you get from the event with a clean history, the more favourable your options become.
3. Multiple Moving Violations
Driving history matters because it correlates directly with risk.
If you’ve accumulated several speeding tickets or serious moving violations within a short time frame, expect higher premiums. Insurers do allow for normal mistakes, but repeated violations signal increased risk.
This one’s simple: slow down.
4. Treated Sleep Apnea
Sleep apnea is a legitimate health concern, but treated sleep apnea is viewed very differently from untreated sleep apnea.
If you’re compliant with CPAP or another prescribed therapy and your condition is documented as stable, many insurers will still consider standard rates.
5. Heart Disease or Cardiac Risk Factors
Risk factors such as high cholesterol, excess weight, type 2 diabetes, high blood pressure, or smoking don’t automatically disqualify you from coverage, but they do require careful underwriting.
Insurers want to see consistent medical management: following treatment plans, taking prescribed medications, maintaining a healthy lifestyle, and addressing modifiable risks.
Good documentation matters. Detailed medical notes showing compliance and stability can positively influence your rating.
That said, applicants with a history of heart disease should manage expectations… top-tier rates are unlikely, but coverage is often still achievable.
6. A History of Cancer
Cancer is unfortunately common, with roughly one in two Canadians developing some form during their lifetime.
The good news is that survival rates continue to improve, and underwriting guidelines have evolved accordingly. Most traditional insurers require applicants to be cancer-free for a defined period, often two to ten years, depending on the type, stage, and treatment history.
Family history also plays a role. Insurers typically differentiate between cancers diagnosed in first-degree relatives before age 60 and those diagnosed later in life, with earlier diagnoses affecting access to preferred rate classes.
7. Melanoma
Melanoma is the most aggressive form of skin cancer and is underwritten far more cautiously than other skin cancers.
If the melanoma was localized and successfully removed, some insurers may consider coverage after a waiting period of 6 to 12 months, depending on staging and follow-up care.
Advanced or metastatic melanoma typically requires a much longer cancer-free period before traditional coverage becomes available. In some cases, simplified or no-medical-exam policies may be used as interim solutions.
8. Elevated Liver Enzymes
Elevated liver enzymes raise concerns because they can indicate underlying liver disease or alcohol-related issues.
Even when serious conditions are ruled out, standard rates are often difficult to obtain. Best-case outcomes usually involve rated policies, while some applications may be postponed or declined depending on the findings.
9. Mild Stroke or TIA
Life insurance after a stroke can be challenging, but not impossible.
Insurers distinguish between full strokes and Transient Ischemic Attacks (TIAs), also known as “mini-strokes.” If a TIA occurred within the past year, most traditional insurers will postpone the application.
After several years of stability, particularly in otherwise healthy applicants, standard rates may be possible, though not guaranteed. Some individuals opt for simplified coverage while waiting to qualify for traditional insurance.
10. Atrial Fibrillation (AFib)
AFib is the most common heart rhythm disorder and is taken seriously by underwriters.
What matters most is control and stability. Insurers look at treatment history, medication compliance, time in normal rhythm, and age at diagnosis.
While AFib often results in a rated policy, many people with well-managed AFib live long, healthy lives and are able to obtain coverage. In some cases, simplified-issue term insurance may offer the most practical starting point.
High-Risk Life Insurance Coverage: Stop & Call Policy Architects Now
Okay, this is where things get dicey.
These are the situations where life insurance companies truly consider you high risk, and where finding affordable coverage becomes much more difficult.
Notice how many situations in the earlier sections did not fall into this category.
I’m guessing more than a few readers were pleasantly surprised.
And if you do fall into one of the categories below?
Don’t lose hope. We’ve got your back.
1. Uncontrolled Diabetes
When diabetes is poorly controlled, life insurance becomes very challenging.
If your A1C levels are persistently high, especially in the upper ranges, insurers generally view the condition as uncontrolled. That often leads to postponements or declines with traditional carriers.
This is your sign to get serious with your doctor. Follow treatment recommendations, improve diet, increase physical activity where possible, and take consistent steps forward… even small ones matter.
You may not be able to reverse everything overnight, but meaningful improvement can change future underwriting outcomes.
Insurers want to see effort, stability, and commitment over time.
2. Invasive or Metastatic Cancer
If you’re currently undergoing treatment for aggressive or metastatic cancer, you’re not alone; nearly everyone has been touched by cancer in some way.
In my own life, I lost my mother to cancer when I was a boy.
From an underwriting perspective, insurers typically require a significant cancer-free period before they will consider coverage. The length of that waiting period depends on the type of cancer, staging, treatment, and recurrence risk.
Every case is different.
That said, the non-medical and simplified-issue markets are more robust than ever, and limited coverage may still be possible in some situations.
3. Kidney Disease
Chronic kidney conditions, such as polycystic kidney disease or glomerulonephritis, are taken very seriously by insurers.
Depending on severity, progression, and related complications, applicants often face rated policies, postponements, or declines.
Best-case scenario? Sometimes standard, but that’s the exception, not the rule.
4. Advised to Seek Drug or Alcohol Treatment
If a medical professional has advised you to seek treatment for alcohol or drug use, traditional life insurance carriers will typically postpone consideration until a meaningful period of sobriety is established.
In many cases, insurers want to see at least two years of documented recovery following successful treatment… often longer.
Even then, outcomes vary based on history, severity, relapses, and related health issues.
Best-case scenario? Possibly standard rates after several years of stability — but ratings are common.
5. Heart Bypass Surgery, Stents, or Angioplasty
There’s no sugar-coating this — heart history matters.
While modern cardiac procedures are far more advanced and recovery times are shorter than ever, insurers remain cautious. They want time to assess long-term outcomes and ensure there are no complications.
Expect ratings or postponements initially. With enough time, stability, and strong follow-up care, coverage may become available, but patience is required.
6. Hepatitis C
Hepatitis C is underwritten based on severity, treatment success, liver function, and long-term impact.
Applicants may be rated, postponed, or declined depending on:
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Liver enzyme stability
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Evidence of liver damage
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Treatment response
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Hospitalizations or complications
If treatment is successful and there is no lasting liver impairment, standard rates may eventually be possible, but timing matters.
7. Long-Term Opioid Pain Medication Use
Life insurance companies are cautious with opioid prescriptions, and for understandable reasons.
Medications such as oxycodone, hydrocodone, Percocet, or Dilaudid raise concerns about dependency, dosage escalation, and interaction with alcohol.
Underwriting outcomes depend on:
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Dosage and duration
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Medical necessity
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Alcohol or substance-use history
Short-term use for acute pain is treated very differently from long-term use. In limited, well-documented cases, standard rates may still be possible.
8. DUI Within the Past Year
Motor vehicle accidents remain a leading cause of death, especially among younger adults, and insurers take this seriously.
If you’ve had a DUI within the past year, most insurers will postpone your application.
Multiple DUIs almost always result in a decline. With enough time, typically 5 to 10 years of clean driving, some applicants may requalify for standard rates.
9. Untreated Sleep Apnea
Untreated sleep apnea is a hard stop for insurers.
It significantly increases the risk of heart disease, high blood pressure, stroke, diabetes, and accidents caused by fatigue.
Until sleep apnea is diagnosed and actively treated, most insurers, including non-medical carriers, will postpone or decline coverage.
Once treatment is in place and compliance is documented, underwriting options improve dramatically.
Final Word About “High Risk Conditions”
High-risk life insurance isn’t about judgment; it’s about risk management and timing.
Even in the most challenging situations, options may exist. The key is knowing which path makes sense now, and which one becomes viable later.
That’s where experience matters.
If you’re unsure where you stand, call Policy Architects. We’ll tell you the truth, map out your options, and help you avoid wasting time and money by applying in the wrong place.
A healthy diet is also very important in type 1 diabetes, and insulin dosing needs to be matched with the amount of sugar (called carbohydrate) taken in. Being physically active is also key, and insulin often needs to be reduced at times of physical activity.
Life Insurance for Extreme Sports & High-Risk Occupations
Like my brother says, “no guts, no glory.”
People who work in high-risk occupations or participate in extreme sports do, statistically, face a higher risk of premature death than the general population.
And because life insurance is fundamentally about risk, it’s no surprise that insurers charge more when risk increases.
Higher risk = higher premiums.
That’s just how the math works.
High-Risk Occupations
Certain professions are flagged immediately during underwriting because of their inherent danger. Common examples include:
Commercial fisherman
Logger
Pilot (smaller or private aircraft)
Underground miner
Coverage is usually available, but ratings, flat extras, or exclusions are common depending on the role, environment, and safety record.
High-Risk Sports
The same applies to extreme or hazardous activities, such as:
Skydiving
Scuba diving
Mountaineering
Hang gliding
Fun stuff can be dangerous stuff.
And yes. You still need to disclose it. Honesty is always the best policy, especially when it comes to life insurance.
Let’s Talk Skydiving (A Real-World Example)
So let’s say skydiving is your passion.
You’re applying for life insurance and, being honest, you tell your independent agent that you’ve been skydiving for five years, belong to a club, and make 50+ jumps per year.
As a result, the insurer asks you to complete a hazardous activity questionnaire.
Based on your answers, the insurance company will usually do one of two things:
Apply a rating or flat extra, meaning you pay an additional premium on top of the standard rate, or
Add an exclusion clause, meaning if you die while skydiving, your beneficiaries receive nothing for that cause of death
Neither option feels great — so let’s look at the numbers.
What Does This Mean for the Bottom Line?
Meet our skydiver, let’s call him Coleman.
Coleman is:
40 years old
Male
Non-smoker
Healthy
Looking for $500,000 of 20-year term life insurance
At standard rates, a policy from a company like ivari might cost around $610 per year.
Because Coleman skydives regularly, the insurer may apply a flat extra… for example, $2.50 per $1,000 of coverage.
Here’s what that looks like:
$2.50 × 500 = $1,250 per year in additional premium
Total annual premium: ~$1,860 per year
That’s roughly the equivalent of a 300% rating.
Important note: These figures are illustrative only. Actual rates vary by insurer, profile, and underwriting outcome.
Does Coleman Have Better Options?
This is precisely why working with an independent high-risk insurance broker matters.
Coleman has alternatives.
One option is a no-medical or simplified-issue policy from a company like Canada Protection Plan.
Coleman answers yes to the hazardous sports question, and instead of being penalized heavily, he’s still eligible for coverage.
For the same $500,000 of a 20-year term, his premium might look closer to $995 per year.
That’s roughly equivalent to a 163% rating, far better than 300% and most importantly…
He’s covered even if he dies while skydiving.
Using Exclusions Strategically
Sometimes, insurers will only offer coverage with an exclusion.
If that happens, a blended strategy can work surprisingly well.
For example:
$250,000 of a 20-year term with an exclusion might cost ~$365 per year
$250,000 of simplified-issue coverage might cost ~$527.50 per year
Combined annual premium: ~$892.50
That’s about $100 less per year than going 100% simplified — and it creates layered protection.
Here’s how it works:
If Coleman dies while skydiving, his family still receives $250,000
If he dies from any other cause, they receive the full $500,000
Not perfect, but far better than leaving your family exposed.
The Takeaway
Extreme sports and high-risk occupations don’t mean you’re uninsurable.
They mean you need strategy, carrier selection, and sometimes creative structuring.
This is where independent advice matters, because the first offer is rarely the best one.
If you live life with a bit of adrenaline, you shouldn’t be punished more than necessary for it.
And yes, affordable high-risk life insurance is still possible.
No Medical Life Insurance for Higher-Risk Applicants
No article about high-risk life insurance is complete without talking about no-medical (simplified-issue) life insurance.
For some higher-risk applicants, traditional life insurance with full underwriting isn’t realistic, at least not right now. Whether you’ve been declined before, have a serious medical condition, or don’t want to risk another denial, no-medical life insurance may be your best option.
It’s not perfect. But it can be a lifeline.
How No-Medical Life Insurance Works
There are two main types of no-medical life insurance in Canada:
Simplified Issue Life Insurance
You answer a structured set of yes/no health questions.
The fewer “yes” answers you give, the more coverage you get and the better the rate.
Best-case scenario? You answer “no” throughout and qualify for the highest coverage at the lowest available price.
Guaranteed Issue Life Insurance
No questions. No medical review. No declines.
Sounds great, but there’s a catch:
Higher premiums
Lower coverage limits
Usually a two-year waiting period for full benefits
This option is generally a last resort.
Is No-Medical Insurance More Expensive?
Usually, yes.
No-medical insurance typically costs more than fully underwritten policies, and you already knew that if you’ve been reading along.
But here’s the twist…
When No-Medical Can Actually Be Cheaper
If you have a serious medical condition, traditional insurers may only offer coverage with a rating… or not at all.
In some cases, simplified-issue insurance can cost less than a heavily rated traditional policy, even though it sounds counterintuitive.
The trade-off?
Coverage limits are usually lower than those offered by fully underwritten policies.
That’s why strategy matters.
Why Independent Advice Is Critical
An independent broker can:
Vet traditional insurers before you apply
Compare rated traditional options vs. simplified issue
Help you avoid unnecessary consideration periods or declines
In Canada, several well-known no-medical insurers include:
Canada Protection Plan
iA Financial Group
Humania Assurance
Wawanesa Life
Each has different rules, pricing, and sweet spots.
Policy Architects Specializes in High-Risk Coverage
If you’re searching for affordable high-risk life insurance, chances are there’s a health issue keeping you up at night.
There’s no better way to find the right policy than working with a team that does this every day.
At Policy Architects, we:
Review your full situation
Compare traditional and no-medical options
Match you with the most appropriate insurers
There are 30+ life insurance carriers in Canada. Calling even half of them yourself would be a full-time job.
So don’t.
Make one call and let us do the legwork.
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