How Do I Calculate How Much Life Insurance I Need?

Life insurance protects you and your family from economic hardship as a result of death. It is an insurance company's obligation to pay the recipient of your choice a pre-determined amount of money when you die in exchange for timely payment of premiums while you are living.

Do you really need life insurance? Well do you want to provide for your family and loved ones in a manner to which they have become accustomed in the untimely event of your death? If you are the primary breadwinner who will pay the mortgage on the house your spouse and children live in if you pass? Who will provide financially for your family if you are gone? How will your children's education be financed in your absence? And finally how will your burial expenses be covered?

Now that you have decided you do indeed need life insurance, how much do you need and if you already have life insurance do you have enough? Some things you will need to consider when making this decision:

How much can your family afford to pay off your mortgage loan or your rent if you die?

How much debt will you leave behind to include credit card balances, car loans, student loans, personal loans etc.?

How much annual income will your death remove from your household?

How much will the funeral you desire cost?

Do you want to leave behind a charity fund in your name?

Do you have special family members you would like to leave a financial gift behind for?

How much will your spouse need to care for a family member with special needs?

How much do you want to leave behind for your children's education expenses?

Once you calculate how much money you want to leave behind consider how much you currently have in terms of individual or group life insurance along with your other assets such as savings accounts, CDs, mutual funds, stocks, bonds, 401K, retirement plans or pension plans and subtract that amount to decide how much life insurance you currently need to purchase.

Timothy Gorman is a successful Webmaster and publisher of Best-Free-Insurance-Quotes.com. He provides more insurance information and offers free money saving auto, home, health and life insurance quotes that you can research in your pajamas on his website.

---

How Do I Lower My Auto Insurance Premiums?

It seems as though the price of everything is on... Read More

5 Strategies To Reduce Your Car Insurance Premiums

Your latest car insurance bill has arrived and it is... Read More

An Intro To Life Insurance

There are many options available for life insurance, and for... Read More

Why Do You Need Homeowners Insurance?

The biggest single investment most people make in their lifetime... Read More

Talking to Your Parents About Insurance

Who can you talk to about auto insurance? Insurance agents... Read More

Factors That Affect Your Car Insurance Premium

Many factors affect the premium you will pay for auto... Read More

Life Insurance Information

Life insurance is a personal insurance plan designed to pay... Read More

7 Tips Toward Helping You Reduce Your Insurance Costs

Not a year goes by that insurance rates go up.... Read More

Young Driver Car Insurance

It has become increasingly difficult to get young driver car... Read More

Theres No Problem Getting Texas Auto Insurance in Texas

Everything is big in Texas and so it is with... Read More

A Few Things Everyone Should Know About Disability

Did you know? One year of disability can wipe out... Read More

Health Care and Health Insurance Costs Can Be Controlled Through Lifestyle Choices

As you probably know all to well, the cost of... Read More

What Price For Your Health?

How do you put a value good health? For many... Read More

Cheap Insurance - Ten Ways

Cheap insurance? Auto insurance, life insurance, health insurance, liability insurance... Read More

Finding Life Insurance Quotes For Adult Children

Shopping for life insurance quotes for adult children isn't any... Read More

Affordable Insurance Quotes To Save You Money!

Whether you're looking for insurance quotes for auto, life, travel... Read More

Reducing Soaring Insurance Claim Costs

With the soaring rise in claims to insurers from their... Read More

Insurance and The Engineer

The world is no longer right when the two words,... Read More

Types of Auto Insurance Coverage Explained

A question you might ask yourself is: why must we... Read More

Buildings Insurance and the Threat of Flood

What is the impact of increased flooding risk in the... Read More

What Answers To Questions For A Home Insurance Price Quote Will I Need To Know?

Lets face it, finding the best home insurance price quote... Read More

Life Insurance Careers

Do you like to spend all day being sitting around?... Read More

Global Warming: Why Consumers and Insurers Are Getting Hot Under the Collar Over Life Insurance.

Global warming may have been lurking on our horizon for... Read More

Finding Health Insurance for Self-Employed Individuals: A Guide For the Freelance Newbie

With a rise in those looking to venture out on... Read More

The Surety Bond Domino Effect

I have written many articles about the hard surety bond... Read More

Handling Your Motor Vehicle Accident With Your Own Insurance Company

This "How To" article is crucial, up-to-date information concerning what... Read More

Check Out The Variety of Auto Insurance Texas Style

They say everything is bigger and better in Texas, and... Read More

The Life Insurance Plan Online

Thank goodness the internet age has arrived helping us to... Read More

Guide to Home Insurance

Here is a useful guide to Home Insurance. Home insurance... Read More

Long Term Care Insurance How Much Should I Buy?

Long-term care insurance policies have a variety of features and... Read More

How To Negotiate A Settlement With An Insurance Claims Adjuster

You and I. M. Strong, the adjuster from Granite Mountain... Read More

Terrorism Insurance - What it Costs Small Business

The Terrorism Insurance Act of Nov. 26, 2002. This helps... Read More

Disability Insurance For The Long Term

Disability insurance covers you for an extended period of time.... Read More