🛡️ Life Cover Calculator · 2026

Term Insurance Calculator –
How Much Life Cover Do You Need?

Calculate the exact term insurance cover required to protect your family's financial future. Based on income replacement, liabilities and future goals.

🛡️ Income Replacement

🏠 Liability Cover

👨‍👩‍👧 Family Protection

💰 Goal Funding

🛡️ Term Insurance Cover Calculator

Annual Income₹8,00,000

₹2L₹1 Cr

Outstanding Loans (Home+Car)₹30,00,000

₹0₹2 Cr

Years of Income Replacement Needed20 yrs

5 yrs35 yrs

Children's Education Fund₹20,00,000

₹0₹1 Cr

Term Insurance Guide

How Much Term Insurance Do You Really Need?

📐 Income Replacement Method

The most common method: Annual Income × 10-15 times. For ₹8L/year income: ₹80L-₹1.2 Cr cover minimum. Add outstanding loans, children's education and spouse's dependency period for total cover.

💡 Term Insurance Benchmarks

Annual Income	Recommended Cover
₹5L/year	₹50L – ₹75L
₹8L/year	₹80L – ₹1.2 Cr
₹12L/year	₹1.2 Cr – ₹1.8 Cr
₹20L/year	₹2 Cr – ₹3 Cr

⚠️ Don't Make These Mistakes

❌ Under-insuring to save ₹500/year premium

❌ Mixing insurance + investment (ULIPs)

✅ Pure term plan (lowest cost, highest cover)

✅ Cover till age 60-65 (when income stops)

FAQ

Term Insurance FAQs

How much term insurance do I need?▼

Calculate: (Annual income × 10-15) + Outstanding loans + Children's education + 1 year emergency fund. Example: ₹8L income, ₹30L home loan, ₹20L education fund: Cover = ₹1.2 Cr + ₹30L + ₹20L + ₹8L = ₹1.78 Cr. Round up to ₹2 Cr. Always better to over-insure than under-insure — the premium difference is small.

Term insurance vs ULIP — which is better?▼

Term insurance + SIP is ALWAYS better than ULIP: (1) Term plan for ₹1 Cr cover: ~₹8,000-12,000/year. ULIP for same cover: ₹50,000+/year. (2) ULIP returns: 6-8% after charges. SIP returns: 12-15%. (3) Premium saving in term: ₹38,000/year → invested in SIP for 20 years at 12% = ₹34 Lakhs extra wealth. ULIP benefits only the insurer.

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Term Insurance Calculator –How Much Life Cover Do You Need?