How Much Life Insurance Coverage Do I Need

Purchasing life insurance is a big deal. If you have dependents and loved ones you need to make sure you have complete life insurance coverage and don’t end up leaving them stranded. This is especially important if you are the bread winner of the family. There is no easy way to figure out how much life insurance you need as many factors do into what you need. Hopefully, this article will help you make a decision on how much life insurance you need to take care of your family.

What should you consider when deciding how much life insurance to get?

Your current standard of living is a good place to start when attempting to figure out how much insurance coverage you need. Do you plan to continue to live the way you do now? If so, you should take a look at your costs. Car payments, your mortgage, grocery bills and any other monthly bill should all factor in to how much coverage you get from an insurance provider.

Many policy holders actually decrease their standard of living when they get older. They travel less, have less bills and move to a smaller home. If you plan to take this route, you may not need your current level of income to support your family.

Make Sure To Have Enough Coverage

One thing that you do not want to do is leave a burden to your family. If you do not get life insurance coverage or do not get enough coverage you could end up causing major issues for your family. Nothing is worse then adding financial stress on top of losing a loved one. In the long run, it is better to have too much coverage than too little coverage. So if the difference in $50K-$100K in coverage is a few dollars a month, it makes sense to go the extra mile and get the better coverage.

Life Insurance Calculators

One of the coolest things to hit the internet lately is calculators that help  you calculate how much insurance coverage you need. We happen to have  one available right here on The Insurance Scoop. Check out out Life Insurance Calculator and see how much life insurance you need. While these calculators are not exact, they do provide some great guidance and suggest a number that can help you figure out where to start. We always use our life insurance calculators to help individuals looking to buy health insurance. We use it as a starting point and than help them understand how they can customize a plan that would be right for their individual and family leads.

 

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