How much coverage do you need?

The good news is, buying life insurance doesn’t have to be stressful. We’re here to help make sure you have the information and guidance you need to make all the right decisions when getting a life insurance policy.

Take coverage amount, for instance. How much life insurance do you need? Seems like a pretty simple question, right? But a lot of people have a tough time finding the answer. That’s because a lot of factors go into figuring out the right coverage amount that balances protection for your family tomorrow with affordable premiums today. You can also use SBLI’s Life Insurance calculator to determine an estimate of how much coverage you need.

How to think about coverage.

The two most important questions to ask are:

1) What are your financial liabilities?

There’s a good chance you have a mortgage, car payments or credit card debt. Or, if you’re like most of us, you have all three. Add college tuition for a kid or two and you could be looking at quite a bit of money that’s already spoken for. So you’ll want to make sure your coverage amount is enough to keep your spouse and children from having to shoulder all that debt on their own.

2) How much income will you need to replace?

Interestingly, many people who buy life insurance don’t think about how it can be used to replace lost income. But it’s important to look at insurance as more than simply a way to pay off debt. You should be looking at it as a means to ensure your family can maintain their lifestyle if you’re no longer around to bring home a regular paycheck. Financial professionals typically recommend that, once you factor in Social Security survivorship benefits, you should plan on replacing at least 65% of your annual income.*

Sound complicated?

It doesn’t have to be. Try our Coverage Calculator to quickly and easily see how much coverage you might need. It literally takes only about 30 seconds to get an answer to the question “How much coverage do I need?”. What could be easier than that? Of course, if you’d like a little one-on-one help in calculating the right coverage amount for you, one of our experienced Life Insurance Professionals would love to assist you. Give them a ring at 1-800-630-5000 or use chat Monday-Friday 8:00 am – 9:00 pm, Saturday 10:00 am-1:00 pm ET. We look forward to hearing from you!