Finder makes money from featured partners, but editorial opinions are our own. Advertiser Disclosure

Life insurance coverage calculator

Determine how much coverage you need to protect your family's financial future.

Like any other financial product, life insurance is a deeply personal decision, and the exact amount you’ll need will depend on your individual circumstances. If you have savings, investments or an inheritance to fall back on, you may want to curtail your coverage to take these things into consideration. Think of this calculator as a guide to help you find the right coverage for your unique situation.

Life insurance cost calculator

How much coverage do I need?

Generally, life insurance experts suggest a number between 5 and 10 times your annual salary to make sure you can cover all of your obligations should you pass away.

Other factors to consider

Generally, your life insurance policy should cover the gap between fulfilling your long-term financial obligations — including things like a mortgage, student loans, credit card debt and your family’s ongoing living expenses. Because this calculator doesn’t account for your savings, investments and other assets, you may want to subtract your assets from the recommended coverage amount to get a more accurate estimate of your life insurance needs.

  • Age. This applies to both you and your children. If your kids are younger, factor in the costs of college tuition should you die before they’ve completed their education. If you and your partner are nearing retirement and have children who are financially independent, your living expenses may not be as high as they once were.
  • Medical bills. You’ll also want to keep in mind any medical payments your family will be left with as a direct result of your death. Unfortunately, dying doesn’t come cheap, so you may want to add in $15,000 to $20,000 extra to cover your funeral, burial and related costs.
  • Inflation and potential taxes. With the rate of inflation averaging around 2% each year, the coverage you buy now won’t be worth as much in 20 or 30 years. And if you live in one of the six states that impose inheritance taxes — Iowa, Kentucky, Maryland, Nebraska, New Jersey and Pennsylvania — you’ll want to account any taxes your family could be stuck with.

How much life insurance do you actually need?

Protect your loved ones
Compare 12+ top insurers side-by-side to get the best possible deal, and shop return of premium policies online.

Need help? Talk to a customer specialist


How would life insurance fit into my monthly budget?

Monthly expensesmonthly Cost
Term life insurance$15 – $30
Dining out$200
Health insurance$300
Cell phone bill$100
Car insurance$120
Car payment$250
Student loans$300
Credit card bill$100

Typical coverage amounts

Average life insurance coverage amounts range from $50,000 for a bare-bones policy all the way up to $5 million and beyond. For the majority of policies, providers offer coverage in multiples of $50,000 up to $1 million. When you’re young and healthy, the difference between adding an extra $50,000 or $100,000 in coverage to your policy can be low.

Use our calculator to learn a recommended coverage amount, and then factor in your assets and any other expenses unique to you and your family’s circumstances. After you’ve found a number you’re comfortable with, round up to the nearest $50,000 to get a typical coverage amount.

Bottom line

Now that you know how much coverage you’re looking for, compare life insurance providers to find a policy that ensures your family’s taken care of — no matter what happens in the future.

Compare life insurance providers

Name Product Issue age Minimum Coverage Maximum Coverage Term Lengths Medical Exam Required
Policygenius - Life Insurance
18 - 85 years old
10, 15, 20, 25, 30 years
Depends on provider and policy
Compare 12+ top insurers side-by-side to get the best possible deal, and shop return of premium policies online.
20 - 60 years old
10, 15, 20, 25 or 30 years
No, for coverage up to $3M
Apply for term life insurance online without the medical exam. Get an instant decision and adjust your coverage at no charge.
18 - 60 years old
5, 10, 15, 20, 25 and 30 years
Compare 40+ insurers and apply online to get the lowest possible price — no medical exam required.
Everyday Life
18 - 70
10, 15, 20, 25, 30, 35 and 40 years.
Ladder multiple life insurance policies to save on the coverage you need for all your debts.
18 - 60 years old
10, 15, 20, 25, 30 years
Get a quote and apply.

Compare up to 4 providers

More guides on Finder

Ask an Expert

You are about to post a question on

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked provides guides and information on a range of products and services. Because our content is not financial advice, we suggest talking with a professional before you make any decision.

By submitting your comment or question, you agree to our Privacy and Cookies Policy and Terms of Use.

Questions and responses on are not provided, paid for or otherwise endorsed by any bank or brand. These banks and brands are not responsible for ensuring that comments are answered or accurate.
Go to site