Guide
How much life insurance do you need?
A tool and the method behind it: how many years of income, debts to cover, education savings, and existing protections.
The standard method is to list out what your income would have funded and then subtract what you already have covered. The process isn't perfect, and it doesn't have to be: you pick amounts in round numbers anyway, and the point is a number that keeps your family stable through the years that count.
Coverage estimate
Estimate = (income × years covered) + debts + school costs − existing coverage, rounded up to the nearest $5,000. Consider it a framework, not professional guidance.
Why those inputs
Income years. Advisors often recommend 10-20 years of income replacement; the right figure depends on how long your dependents would need support. Families in Ontario with young kids commonly opt for 20-30 years because dependent care, rent or mortgage, and schooling costs all intersect during this window.
Debts. For most people, a home loan is the single largest obligation. Insurance that would pay off the mortgage gives the family a choice about whether to stay, rather than having their hands forced by finances.
Education. Set aside a rough amount per child in current dollars. It's simpler to include this now than to purchase more protection down the line.
What you have in place. Cash set aside and coverage through an employer. Since group coverage typically goes away when you leave the job, most people don't count all of it.
Once you know your target amount, the quote tool shows you prices for all terms from 10 to 30 years with each carrier. Many people choose to go higher than their estimate because the cost increase is modest when you're young.