SmartMortgage

Bank Comparison

Scotiabank Mortgage Life Insurance:
Is It Worth It?

Scotiabank charges approximately $82.00/month — the highest among Canada's Big Five banks. Over 20 years on a $500K mortgage, that's $19,680 for declining coverage.

Scotiabank Monthly

$82.00

per month

20-Year Total

$19,680

for declining coverage

You Could Save

$11,280–$13,680

with term life

Scotiabank vs. Independent Term Life

Based on a 35-year-old non-smoking woman, $500K mortgage, 20-year term.

FeatureScotiabankTerm Life
Monthly Premium$82.00$25–$35
20-Year Total Cost$19,680$6,000–$8,400
Coverage TypeDecliningLevel (stays at $500K)
BeneficiaryThe BankYour Family
UnderwritingPost-ClaimFull (Upfront)
Portable?NoYes
Can Be Denied After Death?YesNo

What Scotiabank Won't Tell You About Their Mortgage Insurance

1

Scotiabank charges the highest mortgage life insurance rate among the Big Five at approximately $82.00/month for a $500K mortgage — nearly 3x the cost of independent term life.

2

Scotiabank is the beneficiary of the policy. Your family receives nothing directly — the payout goes to pay off the mortgage balance.

3

Post-claim underwriting means Scotiabank reviews your health history after you pass away, creating risk that your family's claim could be denied.

4

Not portable. If you move your mortgage to another lender, your Scotiabank mortgage insurance is cancelled.

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