Life Insurance Leads in Canada: Strategies That Actually Work

Life insurance is one of the most challenging but rewarding products to sell. The sales cycle is longer, the emotional stakes are higher, and the competition is fierce. But with the right lead strategy, you can build a thriving practice.

This guide covers how Canadian life insurance agents can find, qualify, and convert more leads.

Understanding the Life Insurance Lead Market

Life insurance leads are different from other insurance leads:

• Higher consideration time: Prospects often take weeks or months to decide
• Emotional purchase: Tied to mortality, family protection, and legacy
• Trust-dependent: Prospects need to trust you before buying
• Relationship-based: Long-term client relationships are common

Types of Life Insurance Leads

Lead Sources for Life Insurance

Paid Lead Sources

Lead Aggregators

• Pros: Volume, immediate access
• Cons: Competition, variable quality
• Typical cost: $20-50 shared, $75-150 exclusive

Google Ads

• Target: "life insurance quote", "term life insurance Canada"
• Typical cost: $15-40 per click, $100-300 per lead
• Best for: Agents with good landing pages

Facebook Ads

• Target life events: new baby, marriage, home purchase
• Typical cost: $20-50 per lead
• Best for: Building awareness and nurturing

Organic Lead Sources

Content Marketing

• Write about life insurance basics
• Create calculators and tools
• Answer common questions

Referrals

• Ask every client for referrals
• Create a referral incentive program
• Partner with complementary professionals

Community Presence

• Speak at local events
• Sponsor youth sports teams
• Join business networking groups

Qualifying Life Insurance Leads

Not all leads are equal. Use these questions to qualify quickly:

Need Assessment

• Why are you considering life insurance now?
• Do you have any existing coverage?
• Who would benefit from a policy?
• What's your primary concern about coverage?

Fit Assessment

• What's your age and health status?
• Are you a smoker?
• What coverage amount are you considering?
• What's your budget for premiums?

Timeline Assessment

• When are you looking to have coverage in place?
• Is there an event driving this decision?
• Have you spoken with other agents?

The Life Insurance Sales Process

Initial Contact (Speed Matters)

Life insurance leads have a short window. Research shows:

• 5 minutes or less: Best conversion rates
• 30 minutes: 21x less likely to qualify
• 24 hours: Often too late

Building Trust

Life insurance requires trust. Build it by:

• Asking questions before pitching
• Sharing relevant stories (with permission)
• Being transparent about costs and options
• Following up when you say you will

Needs Analysis

Conduct a thorough needs analysis:

1. Income replacement calculation
2. Debt coverage (mortgage, car loans)
3. Future expenses (education, care)
4. Final expenses
5. Legacy goals

Presenting Solutions

Match solutions to needs:

• Term life: Income replacement, debt coverage
• Whole life: Permanent needs, wealth transfer
• Universal life: Flexibility, investment component
• Final expense: Specific burial/funeral costs

Following Up Effectively

Most life insurance sales happen after multiple contacts:

The 30-Day Follow-Up Sequence

Day 1: Initial call + email with value Day 2: Text message check-in Day 4: Educational content about coverage Day 7: Phone call with new information Day 14: Sharing a relevant article Day 21: "Checking in" message Day 30: Final outreach with urgency

Nurturing Non-Ready Leads

Not ready now doesn't mean not ready ever:

• Add to monthly newsletter
• Set calendar reminders for life events
• Send birthday and holiday greetings
• Share relevant content periodically

Tracking and Optimization

Key Metrics for Life Insurance Leads

• Cost per lead (CPL): What you pay for each lead
• Contact rate: How many leads you actually reach
• Quote rate: How many request formal quotes
• Application rate: How many start applications
• Issue rate: How many policies get issued
• Cost per policy (CPP): Total cost / policies issued

Benchmarks to Aim For

Common Mistakes with Life Insurance Leads

1. Talking too much, listening too little: Let them share their story
2. Jumping to solutions: Complete needs analysis first
3. Giving up too soon: Most sales happen after 5+ touches
4. Ignoring the spouse: Life insurance is often a joint decision
5. Focusing only on price: Value and trust matter more
6. Not asking for referrals: Your best leads come from happy clients

Building a Sustainable Lead System

Long-term success requires multiple lead sources:

The Ideal Mix

• 30%: Purchased leads (predictable volume)
• 30%: Referrals (highest quality)
• 20%: Digital marketing (scalable)
• 20%: Networking/community (relationship-building)

Monthly Lead Goals

Calculate your required leads:

1. Determine income goal
2. Calculate average commission per policy
3. Determine required policies
4. Apply your conversion rate
5. Calculate required leads

Example: $100,000 income / $1,500 avg commission = 67 policies 67 policies / 10% conversion = 670 leads/year = 56 leads/month

Getting Started

If you're new to life insurance lead generation:

1. Master your product knowledge: You can't sell what you don't understand
2. Start with referrals: Ask every interaction for referrals
3. Test one paid source: Start small with $500-1000
4. Create a follow-up system: Use a CRM from day one
5. Track everything: You'll need data to optimize
6. Be patient: Life insurance is a marathon, not a sprint

Additional Resources

Continue learning with our related guides:

• Insurance Leads for Sale: What to Look For
• Exclusive vs. Shared Insurance Leads
• How to Generate Insurance Leads Yourself