Follow invidion on Twitter
 
 

Life Insurance Cover Calculator - how much life cover do you need ?

 

Click here to launch the calculator

The life insurance cover calculator is a tool to help you calculate a very important question - how much life insurance do you realistically need ?

 
It is a fact that many people either have too little or too much life insurance. However, what is the optimal amount of life insurance for an individual ?
 
Obviously this depends on individual circumstances. In the case of an individual with dependents, the amount of annual expenditure should be covered until the dependents are of an age to take care of themselves.
 
For individuals or couples without dependents, the need for cover regular expenditure upon death may be less, or unecessary.
 
Then consider outstanding debts, such as mortgages, credit cards, or other debts, such as car loans, etc. These would need to be repaid upon your death, or the repayments covered.
 
If you already have life insurance, then this should be factored into the calculation.
 
Also, you should take into account the effects of inflation and interest rates, as this will reduce the buying power of the today's income in the future, but also reduce the value of today's loans in the future.
 
Click on the following link for more details on the differences between the various types of life assurance.
 
The figures projected by the calculator are only for guidance purposes, and are by no means guaranteed.
 
 
 
 
 

Recent Financial Topics

 
  • Posted on Tuesday July 16, 2019
    This surge in the bitcoin price seems no more likely to endure than the last one, says Matthew Partridge. The post Another bubble in bitcoin for traders to short was first published on MoneyWeek. Continue Reading »
  • Posted on Tuesday July 16, 2019
    SPONSORED CONTENT Recent events in the asset management industry have reminded everyone that there are more issues than headline performance numbers to consider when managing or investing in funds. The post What is liquidity and why does it matter? was first published on MoneyWeek. Continue Reading »
  • Posted on Tuesday July 16, 2019
    We don’t need new fund structures to tackle liquidity concerns with open ended funds– the ideal vehicle already exists – investment trusts. The post Don’t reinvent the wheel when it comes to fund liquidity was first published on MoneyWeek. Continue Reading »