How much life insurance do I need?
Our life insurance calculator is the easiest way to estimate how much cover you may need based on your current situation. It takes just 2 minutes.
Life Insurance Cover Calculator
Simply fill in the fields below and click 'Calculate'. This is not advice. You will have to decide the level of cover and the type of policy that you need.
Think of your annual salary multiplied by the number of years you wish to cover your dependants.
How many years would you like your dependants to be covered?
The amount required to clear your mortgage completely.
Include credit cards, personal loans, car loans. The average cost of a funeral was $7,848 in 2024.
Include the value of any policies or investments that would pay out in the event of your death.
How much life insurance do I need?
Maintain Your Family's Lifestyle
How much would your family need to maintain their current lifestyles? Think about everyday expenses, bills, and the standard of living you want to protect.
Protect Your Mortgage
If you want to specifically protect a mortgage, think about how much is outstanding. Ensuring your family can stay in their home provides crucial peace of mind.
Children's Future
If you have children, consider how much would be needed to cover childcare costs, school fees, or university education.
Common Questions
How much life insurance do I need?
A common rule of thumb is 10–15x your annual income, but you should also factor in your mortgage balance, outstanding debts, childcare costs, and future education expenses. Use our calculator above.
How much does life insurance cost in the USA?
Costs vary by state, age, health, and coverage amount. A healthy 35-year-old can expect to pay around $25–$40/month for a $500,000 20-year term policy. Smokers typically pay 2–3x more.
Is life insurance taxable?
In most cases, life insurance death benefits are not subject to federal income tax. However, if the policy is part of a large estate, it may be subject to estate taxes. Consult a tax professional.
What types of life insurance are available?
The main types are term life (fixed period, most affordable), whole life (permanent, builds cash value), and universal life (flexible premiums). Term life is the most popular choice for families.
Disclaimer: This calculator provides estimates for informational purposes only and does not constitute insurance or financial advice. Life insurance products are underwritten by licensed insurance carriers. Availability, terms, and rates vary by state. Comparison Genius is not a licensed insurance provider. Consult a licensed insurance professional in your state before purchasing.
Life insurance in the USA is regulated at the state level by each state's Department of Insurance.