Is a 15-year term life insurance policy right for you?
Ethos offers affordable term insurance rates for everyone—with coverage ranging from $20k to $2 million. The examples shown compare monthly premiums for healthy, non-smoking 40-year-old males and females, with coverages from $250k to $1.5 million. For instance, a 15-year term life insurance premium can cost as little as $32 per month for $500k in coverage, depending on factors like your age and health status.
A term life insurance policy can help secure your family's financial future if you pass away unexpectedly. Your death benefit can cover lost income, outstanding debt, mortgage payments, education, and day-to-day living expenses.
The amount of life insurance you need depends on your personal and financial circumstances. To get a rough estimate, simply multiply your annual salary by ten. Use this as your starting point when considering what you need.
For a more in-depth calculation, use the DIME formula (debt + income + mortgage + education). Adding these four factors together can help you determine your ideal coverage amount.
- Debt: The total of your current debts (excluding your mortgage) plus your estimated final expenses
- Income: Your current annual income multiplied by the number of years that you estimate your family would need support
- Mortgage: The amount remaining on your mortgage
- Education: An estimate of tuition costs for your children