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HomePersonal BankingWealth ManagementSmall BusinessCommercialCorporate & InstitutionalAbout BMO

Protect Your Loan

Add insurance at the time you take out a Personal Loan Plan, or an RRSP Readiline,or any time after your loan is in place.

Life Insurance for your Loan


  • Pays your loan balance in the event of your death.
  • Loans up to a maximum of $150,000 can be insured.

Personal Loan Plan Life Insurance: Monthly premium rate table - rates are pro-rated accordingly if your payments are other than monthly

Your Age on date of
Insurance Application
Life Insurance rate, per $1,000 Outstanding Loan Balance*
Single Joint
18 - 44 $0.45 $0.68
45 - 54 $0.75 $1.13
55 - 64 $1.45 $2.18

*Any provincial sales tax on insurance coverage premiums will be added.

RRSP ReadiLine Life Insurance: (Monthly premium rate table)

Your attained age
(in years, as at January 1st)
Life Insurance rate, per $1,000 average RRSP ReadiLine account balance*
Single Joint
18 - 44 $0.45 $0.68
45 - 54 $0.75 $1.13
55 - 69 $1.45 $2.18

*Any provincial sales tax on insurance coverage premiums will be added.

  • Maximum of 2 borrowers per loan.
  • Single or joint coverage for borrowers age 18 to 64 at time of insurance application.
  • Joint coverage available for 50% more than the cost of single coverage, based on the age of the oldest applicant.
  • Premium is based on your age at insurance application date, the balance of your loan at the time of payment, and the number of days elapsed since your last payment.
  • Coverage continues to age 70.
  • No medical questionnaire to complete – acceptance is automatic.
  • Pre-existing health conditions are not covered in the first 12 months.
  • Sample Certificate for Personal Loan Plan Life Insurance (PDF - 24Kb)
  • Sample Certificate for RRSP ReadiLine Life Insurance (PDF - 29Kb)

Disability Insurance for your Loan


  • Loan payments are made when you can't work due to illness or injury.
  • Available to the borrower and co-borrower loan applicant(s) who is age 18 to 64 and actively working at the time of the insurance application.

Personal Loan Plan Disability Insurance: Monthly premium rate table - rates are pro-rated accordingly if your payments are other than monthly

Your Age on date of
Insurance Application
Disability Insurance rate, per $1,000
Outstanding Loan Balance*
Single Joint
18 - 64 $1.25 $2.00

*Any provincial sales tax on insurance coverage premiums will be added.

RRSP ReadiLine Disability Insurance: (Monthly premium rate table)

Your attained age
(in years, as at January 1st)
Disability Insurance rate, per $1,000
average RRSP ReadiLine account balance
18 - 69 $1.25

*Any provincial sales tax on insurance coverage premiums will be added.

Life and Disability Insurance for Loans are underwritten by Sun Life Assurance Company of Canada. For limitations and exclusions please refer to the Terms and Conditions of your Optional Creditor Insurance – Personal Loan Plan and Terms and Conditions of your Optional Creditor Insurance ––RRSP ReadiLine.

Questions? Ready to Apply?