The bottom line is that everyone’s situation is different. But the most common factors used to estimate your insurance needs include things such as:
- If you were gone tomorrow, how much money would your family need to replace your income and for how long?
- How much would it cost to pay off your mortgage and other debts?
- How much would your loved ones need to afford ongoing and future financial needs like college costs?
One more thing to add, and that is life insurance typically becomes more expensive as you get older. Locking in a rate when you’re younger and healthier is generally considered a wise-move, and with your particular needs not withstanding will help keep your life insurance more affordable in the future.
Finally, what you need and what you can afford are two different things. That’s the different types of life insurance such as term life, whole life, and variable life can make a big difference.
CoverYoo tries to simplify these questions as much as possible on our real-time quotes page.