Lifestyle & Utility
Life Insurance Cover Calculator
Estimate how much life insurance cover you need based on your income, debts, dependants, and existing cover, with a full component-by-component breakdown.
Include cover through super and any standalone policies
How many years of income your family would need if you were no longer here
If yes, enter your partner's income below — it will partially offset the income replacement needed
Only used if the checkbox above is ticked
Our pick
Twaca Fireproof Document Bag (AU Owned)
Fireproof storage protects the documents that protect you.
We independently recommend products. We may earn a commission at no extra cost to you.
To keep your important documents safe, the ABSOK Fireproof Document Bag (2 Pack) ($34.99, 4.4★ from 371 reviews) is worth a look. Affiliate link
FAQ
Frequently asked questions
How much life insurance do I need in Australia?
A common rule of thumb is 10 times your annual income, but a needs-based calculation is more accurate. You should consider income replacement for your dependants, clearing all debts (mortgage and other loans), funding children's education (~$50,000 per child), and covering funeral and estate costs (~$12,500). Subtract any existing cover you already have.
Does superannuation include life insurance?
Most Australian superannuation funds include default death and total permanent disability (TPD) cover for eligible members. The amount is often modest — typically 2–4 units of cover worth $50,000–$400,000. Check your super statement or fund website to find your default cover amount.
When should I review my life insurance needs?
Review your cover whenever you have a major life event: buying a home, having a child, salary increases, or paying down significant debt. Life insurance needs generally decrease as you age — as debts are paid down and children become financially independent.
What is the difference between life insurance and income protection?
Life insurance pays a lump sum to your beneficiaries upon your death. Income protection insurance pays a monthly benefit (typically 70%–85% of your income) if you are unable to work due to illness or injury. Both serve different purposes and are often recommended together.
Related
Related calculators
Income Protection Calculator
Estimate your income protection insurance benefit, indicative premium, and the value of cover based on your income, occupation, age, and policy settings.
Open calculatorNet Worth Calculator
Calculate your personal net worth by entering your assets and liabilities, and compare your result to Australian median benchmarks for your age group.
Open calculatorMortgage Repayment Calculator
Calculate your home loan repayments, total interest payable, and amortisation schedule.
Open calculatorBudget Planner
Create a personal budget with categorised income and expenses to find your surplus, deficit, and savings rate.
Open calculator