Life Insurance Premium Estimator
Term life premium estimate and the cover you actually need. Smoking roughly doubles the premium, and pure term costs a fraction of any policy that returns your premiums, because return of premium is a savings product with a poor return attached to the insurance.
Also called: term insurance calculator, life cover calculator.
$11,613.00 a year for 10,000,000 of cover over 30 years, or $968.00 a month. That is $116.13 per lakh of cover. Based on your income and dependants you need about $34,000,000.00, so you are under-insured by $24,000,000.00. Non-smoker rates apply. Declaring smoking honestly matters: a false declaration can void the claim.
An estimate, not an offer or a guarantee. Projected returns assume the rate you entered holds for the whole term, which no market does.
This is what the calculation gives for the numbers you entered. It is an estimate, not advice, and it knows nothing about your situation beyond those numbers. Rules for United States change on a published schedule; the effective date is shown on every rule-based tool.
How this is calculated
Premium rises steeply with age and with term, and smoking status is the single largest rating factor after age, typically doubling the rate. The cover requirement is computed separately: enough to replace income for the years dependants need it plus the debt they would otherwise inherit, less cover you already hold. Return of premium policies charge several times the pure term rate and give the money back at the end without interest, which is a poor return dressed as a refund.
the cover requirement replaces income for the years dependants need it, and clears the debt they would inherit- y
- Years of support
Method and limits
What it assumes
- Standard health with no loading. Any medical condition changes this substantially.
What it deliberately does not model
- Underwriting prices your actual medical history, which this cannot see.
- Rates vary substantially between insurers for identical risk.
- The cover recommendation is a rule of thumb, not a financial plan.
Formula version 1.0.0 · definition 1.0.0 · United States · Report a problem with this calculator
Frequently asked questions
- Why is return of premium so much more expensive?
- Because it is a savings product bundled with insurance. You pay several times the pure term rate and get the money back without interest, which is worse than buying term and investing the difference.
- How much cover do I need?
- Enough to replace your income for the years your dependants need it, plus any debt they would inherit, less what you already hold. Ten to fifteen times income is the usual shorthand.