How Much Life Insurance Do I Need?
Start with what it needs to cover
A useful starting point is listing out what the payout would actually need to handle: replacing your income for a number of years, paying off debts like a mortgage or car loans, covering future expenses like college, and taking care of final expenses.
A couple of common approaches
One simple method multiplies your annual income by a set number of years (often 10x as a starting point). Another, sometimes called the DIME method, adds up Debt, Income replacement, Mortgage balance, and Education costs to arrive at a total.
Your number is personal
The right amount depends on things like how many people depend on your income, savings you already have, coverage you may already have through work, and your spouse or partner's income. Running the numbers with a licensed broker - who can also show you what different coverage amounts actually cost across carriers - is usually faster than guessing on your own.
This article is for general education and isn't personalized financial or insurance advice. Speak with a licensed Pursuit Life Group broker about what makes sense for your situation.