Protect regular expenses
The calculator projects household spending for the remaining years in your chosen horizon and adjusts it for inflation.
PLAN WITH CLARITY
Estimate your required term cover
Personal information
Set the time horizon and the assumptions used for your family's living costs.
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Expected annual return if the claim proceeds are invested.
Current investments
Include financial assets your family could use for these needs.
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Examples include mutual funds, deposits, shares, EPF, PPF and cash.
Current liabilities
The calculation continues each EMI until the loan ends or the family support period finishes. It does not repay the full loan balance immediately.
Enter the monthly EMI and remaining duration. The calculator models continuing EMI payments, not an immediate lump sum loan repayment. A half year counts as six EMI payments.
Future financial goals
Each goal grows at its own inflation rate and receives the full entered number of years of investment growth.
TERM COVER, EXPLAINED
Build protection around real family needs
A useful term insurance estimate connects your family's day to day spending with outstanding loans and major future goals, then accounts for assets already available.
Include loans and goals
Active EMIs and inflated future costs such as education or marriage are included in the year when the money is needed.
Credit usable assets
Existing investments reduce the insurance amount because they form part of the financial resources available to your family.
How the estimate works
The calculator finds the smallest cover that can fund all entered needs through the selected period at the assumed investment return.
Required cover = Present value of expenses + Present value of EMIs + Present value of goals − Existing investmentsTerm insurance questions, answered clearly
The amount depends on your family's living costs, outstanding loans, future goals and usable investments. This calculator estimates the minimum lump sum needed today under the assumptions you enter. Treat it as a planning starting point and consider a separate buffer for needs that are not captured.
Cover may need to replace many years of family spending while also funding loans and major goals. Income multiples are broad shortcuts. A needs based estimate can be higher or lower because it reflects the expenses and resources specific to your household.
If your spouse's income is likely to continue and is available for shared expenses, you can reduce the household expense figure to reflect the portion that still needs protection. Avoid relying on income that is uncertain or already committed elsewhere.
Include assets that your family could realistically access for the needs being modelled, such as mutual funds, deposits, shares, EPF, PPF and cash. Consider excluding assets that family members will continue using, such as the home they live in.
Inflation raises future living costs and goal costs, while investment return can help the claim proceeds support future withdrawals. A higher inflation assumption generally increases required cover. A higher return assumption generally reduces it, but optimistic return assumptions can understate the protection needed.
Choose the age until which your income would otherwise have supported family needs. A longer support period creates a more conservative estimate. Consider your dependants' ages, retirement plans and how long the household would rely on your income.
The calculator funds the EMI for the entered remaining duration. Fractional durations are included proportionately, so 5.5 years represents 66 EMI payments rather than six complete years. It does not assume that the full outstanding loan balance is repaid immediately.
Compare your active cover with the calculated estimate. The difference can help you assess whether additional protection may be useful. Also review policy terms, claim conditions and how long each existing policy remains in force.
Use the result as an estimate, not a prescription. You may want a buffer for health costs, taxes, care responsibilities or changes in lifestyle. Affordability, insurer underwriting and policy features also matter when choosing actual cover.
Review it after marriage, the birth of a child, a major loan, a meaningful change in income or expenses, and any large increase in investments. A regular review also helps keep inflation and goal assumptions current.
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This calculator provides an educational estimate, not financial advice or a recommendation to buy a particular policy. Actual insurance needs may differ because of taxes, health costs, changing family circumstances, income growth, future savings and investment performance. Consider consulting a qualified financial adviser before purchasing cover.