Term Life Cover Calculator
The honest cover number using the Human Life Value method, not the salesman's '10x income' shortcut. Most Indians are 50-70% under-insured.
Your numbers
Your result
At your age and income, your family needs roughly ₹2.92 crore of term cover, about 24.3x your annual income. This replaces 70% of your income for 30 years (your earning years remaining to age 60) plus clears your ₹50 lakh in liabilities, minus the ₹10 lakh you already have.
- Income replacement needed
- ₹2.52 crore
- Plus: liabilities to clear
- ₹50 lakh
- Minus: existing corpus
- -₹10 lakh
- Total cover required
- ₹2.92 crore
- Cover as multiple of income
- 24.3x
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Where does insurance fit in your full money picture?
Term cover is one of six dimensions in the Money Health Check. The score tells you whether you are over-spending on insurance OR under-protected.
Open it
Why "10x income" under-insures most people
The 10x rule was designed when people had shorter earning lives, smaller home loans, and one income per household. It works for a 50-year-old earning ₹15 lakh with a paid-off house. It badly under-insures a 30-year-old earning ₹15 lakh with a ₹60 lakh home loan and a young family. The HLV method captures both the years of income you will not earn and the debts your family would inherit. Run both numbers, then take the higher one as your target.
When you do not need life insurance
- If no one is financially dependent on you. Single, no kids, no parents dependent, no joint loans. Life insurance is for the people who would suffer financially if you died. If nobody fits that, skip it.
- If your existing corpus already exceeds your "required cover" above. You are effectively self-insured.
- After retirement, mostly. By 60 your earning years are over and the cover you bought at 30 has done its job. Let the policy lapse instead of continuing to pay premiums.