If you receive life insurance through your workplace, it is group insurance. Group insurance is usually available up to age 65, and if you belong to a large group, it does not require medical or other proof of insurability. Group life insurance is issued to employees under a master contract, and individuals receive a certificate as evidence of coverage. The premium charge is not personalized according to your age, sex or health, but is based on the averages of the whole group.
Your employer’s group insurance probably has some limitations of which you should be aware:
Coverage is usually a basic amount and maybe a multiple of your annual salary, e.g., two times your annual salary, three times your annual salary, etc. If you wish to have greater coverage, you may have the option to purchase more through your employer’s plan, or you may want to purchase your own individual life insurance.
Easy answer provided by FSCO (Financial Services Commission of Ontario)