Learn How To Determine How Much Life Insurance Coverage You Need

Determine How Much Life Insurance Coverage You Need

Check out how to determine how much life insurance you need!

When it comes to protecting your family, life insurance is a key component. If you pass away, you leave your family with an array of financial responsibilities. From mortgage payments to funeral costs, a loss could impact your family’s quality of life. Ensure your family is protected with the right life insurance policy. However, you want to make sure that you have enough coverage. Check out this guide to help you determine how much life coverage you need.

Determining Your Expenses:

Start your coverage estimate by totaling your current expenses. After you’re gone, you want to be able to give your family a similar standard of living, even if it’s only for a year or so, despite the loss of income. Calculate your current income and all your expenses. Be sure to include debts, taxes, household expenses, educational costs, and funeral expenses. Use the total that’s required to cover your expenses as your guide to coverage.

Estimating Your Future Needs:

When determining how much coverage your family needs, you need to calculate future finances in addition to your current finances. While your kids may not be starting college for another few years, it’s important to include their future college tuition into your calculations. Ensure that your coverage will meet the needs of the present as well as financial obligations down the line.

Use both your current and future calculations as your guide when determining how much life insurance you need. Be sure to contact the professionals at ISU Wissink Insurance. Located in Culver City, California, we serve all your personal and commercial insurance needs.