Guide
How much life insurance do you need?
A tool for working through the math: how many income years, what debts are outstanding, how much for education, and what you already have in savings.
The standard approach adds up your income for the years your dependents need it, subtracts existing savings or coverage, and aims for a round number. It does not need to be exact: policies are sold in increments, and the goal is sufficient protection during the years that count most.
Coverage estimate
Calculation: (annual income × years needed) + outstanding debts + education funding − existing assets, rounded to the nearest $5,000. This is a starting estimate, not professional guidance.
Why those inputs
Income years. Most financial planners recommend 10 to 20 years of income replacement; your optimal number depends on how long dependents would need ongoing support. Many Torrance families with young children choose 20 or 30 years because the combined expenses of childcare, housing payments, and education spending reach their peak during these years.
Debts. The mortgage is typically the largest. Coverage large enough to pay it off gives survivors the option to stay in their home without financial pressure.
Education. Rough per-child amount in current dollars. Including it now prevents the need to add another policy later.
What you already have. Bank and investment accounts earmarked for emergencies, plus employer-sponsored coverage. Note that group plans typically end when employment ends, so many people count only a portion of it.
Once you have a target amount, the quote tool can show you pricing from 10 to 30-year terms across carriers. Many families choose slightly higher amounts because the cost difference is small at younger ages.