A rule of thumb for life insurance is to purchase 7-10 times your income. While this may be a quick and easy way to calculate the amount of life insurance needed, there is a more accurate method. It’s best to use a life insurance needs calculator. This is also referred to as a needs analysis or calculation formula. To make it easy you can use an online life insurance calculator.
Knowing when to buy coverage makes the process easier.one knows when they are going to die. However, there are times when purchasing life insurance is common. You may be wondering “at what age should I get life insurance?” Generally, getting life insurance at a young age is best. Premiums are cheaper when you are younger.
Group life insurance is employer paid life insurance. Employers offer coverage of 1-3 times your annual salary in your benefits package. While employer paid life plans sound great, don’t be fooled thinking you don’t need supplemental life insurance. Work life insurance should only be part of your family’s protection plan.