No DR Required! No exam life insurance.

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How Much Life Insurance Should I Buy?

Your need for life insurance will vary with your age and responsibilities. The amount of insurance coverage you buy depends on the standard of living you want to assure your dependents. Consider the amount of assets or other sources of income available to your dependents when you pass away.

The Insurance Gap

Life insurance helps cover the gap between the financial needs of your dependents and the amount available from other sources.

Financial Needs vs. Assets

Financial Needs

Home mortgage
Funeral costs
Education for children
Vehicle payments
Household expenses
Credit card payments
Future cash reserve

<< LIFE INSURANCE >>

(Covers the gap)

Assets

Social security benefits
Cash and other income
Investments and stocks
Retirement savings

Example:

Financial Needs

Home mortgage
- $250,000
Funeral costs
- $20,000
Education for children
- $80,000
Vehicle payments
- $50,000
Household expenses
- $20,000
Credit card payments
- $20,000
Future cash reserve
- $20,000

Total = $460,000

<< LIFE INSURANCE >>

(Covers the gap)

<< $200,000 >>

Assets

Social security benefits
- $100,000
Cash and other income
- $10,000
Investments and stocks
- $50,000
Retirement savings
- $100,000

Total = $260,000