How Much Life Insurance Should I Own?

Life Insurance

Buying life insurance has become easier and easier since the inception of the internet. Affordable life insurance is literally just a click away these days with many sites giving you the ability to do calculations right online to help you determine how much you should own.

So how much should you own? It’s an age old question and then there is the additional question of owning term versus permanent life insurance. In my opinion, the best place to start is to look at what you want to protect. Usually, the first thing that comes to mind is your house. People work so hard to become home owners that they don’t want to lose that investment with the loss of a spouse. Sometimes, just covering the mortgage for the specific length of time that is left is a popular approach.

Next would probably be funeral costs. No one want to burden their family with this, but it can be an expensive event. Nowadays, affordable permanent life insurance can take this risk off the table. One of the first questions a funeral director will ask, is if the client has any permanent life insurance.

You may also want to consider the loss of someone’s income. With a spouse earning over $100,000 a year annually, and being the sole bread winner, that would be a significant loss to the surviving spouse. Also, what if the surviving spouse never intended on re-entering the work force? Solving for a loss of income is a great way take care of this risk.

Lastly, making sure the kids have enough money to have the opportunity to go to college is another popular reason. With college tuitions on the rise every year, it becomes more important to include this in your list of things to cover.

In the end when you add up your mortgage, funeral costs, college educations, and a loss of income, you can get closer to determining the amount of death benefit that will work for your family should you pass away. We have great online tools help you assess your needs.

About the author: Mark Yurkovic has been in the life insurance business for over 12 years, and holds CLTC, LUTCF, and CES designations. He enjoys building remote control boats, and playing instruments including the piano, guitar, banjo, and mandolin. Mark would love to discuss life insurance options and work towards finding the best policy fit for your family. You can contact Mark at 1-800-651-1953 or