How Much Term Life Insurance Do You Need?

Key Takeaways:
  • How much term life insurance you need depends on what your life is like – particularly, how much the dependents you have rely on you!
  • Everyday Life’s online Needs Assessment Tool can help you get an accurate estimate of the amount of coverage you should purchase.
  • By only giving you the right coverage at the right time, Everyday Life Insurance can save you thousands of dollars over the life of the policy!
The amount of term life insurance coverage you need really depends on your specific life situation. There is not one standard amount that everyone under 40 needs, or that everyone with a house needs (although age and mortgage debt are both factors that can help you determine how much coverage is correct). You should, to put it simply, purchase enough term life insurance coverage to replace your financial and caregiving value so that if anything happens to you, the people who truly depend on you for this support would be taken care of! The more you have to protect, the more you need.


Think of it this way – say you are married with two young children. You and your spouse both work full-time while the children are at daycare. You are currently in the process of building a custom home in a new development, and it is almost finished; you have already begun making mortgage payments, and you have arranged for your elderly in-laws to move in with you as soon as construction is complete, as they are getting to the stage where they can no longer take care of themselves. How much life insurance do you need?

On the one hand, if anything happens to you and you pass away, and you do not have life insurance coverage – or if you do not have a sufficient amount – your family is in serious trouble. Not only will they be left with the burden of your funeral costs or end-of-life medical expenses, but your spouse will not struggle to support your two young children, pay for daycare, pay the mortgage, and support aging parents alone, on one income. You need at least enough to replace your income for them. On the other hand, though, you don’t want to overpay for insurance you don’t actually need, as you could be spending that money on things you will actually enjoy, like vacations for your family!

Purchasing term life insurance instead of permanent life insurance is one way to avoid overpaying, as it can help you get coverage for a limited period of time (this way, you are only paying to replace your income for your dependents until they can support themselves). However, perhaps the best way to figure out how much term life insurance you need is to take an online needs assessment tool that can calculate the right amount for your unique circumstances. Our Needs Assessment Tool can be completed entirely online in just 2 minutes, and doesn’t require contact information; you can simply enter a few details about yourself, your dependents, your income, your health, and your savings/debts in order to get an estimate of how much coverage you should actually have. 

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Needs Assessment

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Review & Refine

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How Everyday Life Gives You Only The Term Life Insurance You Really Need

Everyday Life insurance plans are not like typical term life plans. Other companies offer one bulk amount of coverage for the policy’s term; for example, $400K in coverage for 30 years. Every month, you would pay the same premium in exchange for the same amount of coverage. But when you think about it logically, this doesn’t really make sense; a person’s life can change a lot in even 10 years! Their kids might grow up and move out of the house; they might pay off their debt; they might get a higher paying job or retire. Most companies do not account for the fact that a person’s need for term life insurance may decrease even within the term.

We solved that problem with dynamic, smart term life plans that are calibrated with predictive intelligence to automatically update based on big life events. This ensures that any given point in time, you are only paying for the exact amount of coverage you truly need!

How Much Can You Save With Everyday Life?

When you are only paying for the coverage you need when you need it, you are saving on superfluous insurance and unnecessarily high premiums. This is also sometimes known as “policy stacking” or “term laddering”; before us, it was complex and required the expensive services of a financial advisor to do, but how it’s easy, affordable, and doable entirely online! You can even start saving now, when your coverage is at its peak, with our unique term life plans! Our customers save thousands of dollars on their Everyday Life plans. Find out how much you could save now at!

The industry’s only Predictive Protection™ policies.

Gives you the exact coverage you need at exactly the right time in your life – automatically.

Predictive Protection means your life insurance can keep up with your everyday life.

Artificial Intelligence