Term Insurance Cover Calculator

How much term cover your family would need if your income stopped tomorrow: their spending for the years you would have earned, plus your loans, minus what they already have.

Your Family's Needs

Your Yearly Income₹Used only to show the cover as a multiple of income.

Family's Yearly Spending Without You₹Household costs, school fees, rent. Leave out your own spending and the EMI on any loan entered below.

Years to Support ThemyrsUsually the years until you would have retired.

Spending Rises Each Year By%

Return on the Payout%The family will draw on this money every year, so assume a safe return, not equity's 12%.

Outstanding Loans₹Home loan, car loan, anything the family would have to repay.

Known Future Costs₹A child's education or wedding, if the spending figure doesn't already include it. In today's rupees.

Investments the Family Could Use₹Savings, mutual funds, shares. Leave out your PF if the family would need it for later.

Personal Life Cover You Already Have₹Term policies in your name. Endowment policies count at their sum assured.

Employer Group Life Cover₹Not subtracted from the cover you need, because it ends when you leave the job.

Cover You Need

₹1,75,00,000

Term Cover to Buy

₹1,69,32,332

Exact Figure Before Rounding

14.1×

As a Multiple of Your Income

₹1,34,32,332

Fund for the Family's Spending

₹40,00,000

Plus Loans and Future Costs

−₹5,00,000

Minus Investments and Existing Cover

₹1,69,32,332

Only While You Stay in This Job

How the Spending Fund Runs Down

The spending fund, year by year
Year	Family Spends	Left at Year End
1	₹6,00,000	₹1,37,30,595
2	₹6,36,000	₹1,40,11,217
3	₹6,74,160	₹1,42,70,650
4	₹7,14,610	₹1,45,04,964
5	₹7,57,486	₹1,47,09,801
6	₹8,02,935	₹1,48,80,346
7	₹8,51,111	₹1,50,11,281
8	₹9,02,178	₹1,50,96,740
9	₹9,56,309	₹1,51,30,262
10	₹10,13,687	₹1,51,04,734
11	₹10,74,509	₹1,50,12,342
12	₹11,38,979	₹1,48,44,498
13	₹12,07,318	₹1,45,91,783
14	₹12,79,757	₹1,42,43,867
15	₹13,56,542	₹1,37,89,438
16	₹14,37,935	₹1,32,16,108
17	₹15,24,211	₹1,25,10,330
18	₹16,15,664	₹1,16,57,293
19	₹17,12,603	₹1,06,40,818
20	₹18,15,360	₹94,43,240
21	₹19,24,281	₹80,45,286
22	₹20,39,738	₹64,25,936
23	₹21,62,122	₹45,62,280
24	₹22,91,850	₹24,29,361
25	₹24,29,361	₹0

How This Figure Is Worked Out

Spending, Plus Loans, Minus What You Have

The payout has to do three things: repay your loans, pay for costs you already know are coming, and replace the money you would have brought home each year. Anything the family could already draw on reduces it.

Why the Spending Fund Is Not Just Spending × Years

₹6 lakh a year for 25 years is ₹1.5 crore on paper. But spending rises 6% a year while the unspent money earns 7%, so ₹1.34 crore paid today covers all 25 years. Each year's spending is taken out at the start of the year.

Why Employer Cover Is Left Out

Group cover ends the day you leave the job, and a layoff or a gap between jobs is exactly when the family could least afford to lose it. The last result shows the smaller figure you would need only while you stay.

What This Leaves Out

Health cover, which has no clean formula: ask the hospital you would use what a major stay costs. Premiums, which depend on your age, health and insurer. And tax: a term insurance payout to your family is tax-free.

These figures are indicative projections based on the inputs you provide. They assume a constant rate of return, which real markets do not deliver. Nothing here is investment advice — consult a SEBI-registered adviser before making a decision.