Guide
How much life insurance do you need?
Calculator for determining a coverage estimate, explaining each component: how many income years, outstanding debts, education funding, and what coverage is already in place.
A straightforward approach: total what your income was providing and subtract existing coverage and assets. Precision is not required here, and it should not be: term coverage comes in set increments, and the goal is reasonable protection through the critical years.
Coverage estimate
Estimate = income × years needed + debts + education costs − existing savings and coverage, rounded up to $5,000. This is a rough starting point, never a recommendation.
Why those inputs
Years of income needed. Insurance professionals commonly look at 10 to 20 years; your answer relies on how long dependents need financial support. A household in Huntington Park with young children often leans toward 20 or 25 years because housing costs, childcare, and school expenses are all significant.
Debts. Your mortgage is likely the single largest debt. Term insurance sufficient to pay off the mortgage gives your family the option to remain in the home without being forced to sell due to financial pressure.
Education. Set aside a reasonable amount per child based on current costs. It's simpler to include education funding now rather than take on additional insurance later.
Existing coverage. Bank accounts available for expenses, plus any group coverage through your employer. Note that employer-sponsored coverage typically ends if you leave the job, so many households count only a fraction of it.
Once you arrive at an estimate, the quote tool demonstrates what various coverage levels cost across carriers and term options (10 through 30 years). Choosing more coverage than your minimum estimate is typical because the monthly cost increase is modest for younger applicants.