Term Insurance Calculator
Not a multiple of your salary — the year your family would actually run out of money. Enter what they spend, what they owe and what you already hold, and see the gap in rupees, worked year by year.
Hold a ULIP or endowment plan? See what it really returns with the policy return calculator first. This page names no insurer and earns nothing — it is education, not advice.
Your household
Six numbers are enough. Everything else has a sensible default you can open and change.
what the family spends, excluding EMIs
home loan plus any other debt
including employer cover
what the family could draw on
e.g. until the youngest child is 25
Add detail — spouse income, retirement age, future lump sums
only used to show cover as a multiple
if not already included above
Future lump sums · ₹55.00 L entered
Assumptions — inflation 6%, return 7%, final expenses ₹5.00 L
With what you have today
Your family runs out of money in year 2
out of a 28-year horizon, after clearing ₹43.00 L of loans
Cover gap
₹1.87 Cr
Term cover to buy
₹2.00 Cr
16.7× your income
Indicative annual premium
₹17,797 – ₹24,078
For ₹2.00 Cr to age 60, non-smoker, from public quotes as of May 2026.
What if
Family corpus by year
Year-by-year working
| Year | Spouse income | Expenses + goals | Corpus at year end |
|---|---|---|---|
| 0 | loans & buffer cleared | ₹12.00 L | |
| 1 | — | ₹7.63 L | ₹5.21 L |
| 2 | — | ₹8.09 L | −₹2.52 L |
| 3 | — | ₹8.58 L | −₹11.27 L |
| 4 | — | ₹9.09 L | −₹21.15 L |
| 5 | — | ₹9.64 L | −₹32.26 L |
| 6 | — | ₹10.21 L | −₹44.73 L |
| 7 | — | ₹10.83 L | −₹58.69 L |
| 8 | — | ₹11.48 L | −₹74.28 L |
| 9 | — | ₹12.16 L | −₹91.64 L |
| 10 | — | ₹12.89 L | −₹1.11 Cr |
| 11 | — | ₹13.67 L | −₹1.32 Cr |
| 12 | — | ₹54.49 L | −₹1.96 Cr |
| 13 | — | ₹15.36 L | −₹2.25 Cr |
| 14 | — | ₹16.28 L | −₹2.57 Cr |
| 15 | — | ₹17.26 L | −₹2.93 Cr |
| 16 | — | ₹18.29 L | −₹3.31 Cr |
| 17 | — | ₹19.39 L | −₹3.74 Cr |
| 18 | — | ₹35.55 L | −₹4.36 Cr |
| 19 | — | ₹21.78 L | −₹4.88 Cr |
| 20 | — | ₹23.09 L | −₹5.45 Cr |
| 21 | — | ₹24.48 L | −₹6.08 Cr |
| 22 | — | ₹25.95 L | −₹6.76 Cr |
| 23 | — | ₹27.50 L | −₹7.51 Cr |
| 24 | — | ₹29.15 L | −₹8.33 Cr |
| 25 | — | ₹30.90 L | −₹9.22 Cr |
| 26 | — | ₹32.76 L | −₹10.19 Cr |
| 27 | — | ₹34.72 L | −₹11.25 Cr |
| 28 | — | ₹36.80 L | −₹12.41 Cr |
Term cover need
Runs out in year 2
Gap ₹1.87 Cr · buy ₹2.00 Cr · ~₹17,797–₹24,078 a year
- Horizon
- 28 years
- Loans cleared
- ₹43.00 L
- Cover already held
- ₹50.00 L
- Monthly expenses
- ₹60,000
Inflation 6% · return 7% · estimate, not advice · jpvfin.com
Free · one email with your link and the guide · unsubscribe any time. Nothing you typed into the calculator is sent.
The cover you need falls every year — each year that passes is one fewer to fund. A shorter policy term, or a decreasing-cover plan, may cost less than a level ₹2.0 Cr for 30 years. That is information, not a recommendation; if you hold a ULIP or endowment, run it through the policy return calculator first to see what it actually pays.
Estimate only. Assumes loans are cleared from the payout at once, expenses grow with inflation for the whole horizon, and the corpus earns the stated post-tax return. Premiums are indicative public quotes, not offers; medical history, occupation and rider choices change them. No insurer is named or recommended here.
Why insurers' calculators give a bigger number
Most online calculators multiply your income by 10, 15 or 20 and stop. That skips the two things that matter most: how many years of support are needed, and what the payout earns while it is being spent. A lump sum invested at 7% and drawn down over 25 years funds far more than 25 years of expenses divided by one — which is why a year-by-year projection usually lands lower than the multiple, and occasionally higher when the loans are large.
What “year X” means
The calculator clears your loans from the payout, adds your liquid assets, then runs the household forward: each year the corpus earns a return, receives any spouse income, and pays inflated expenses plus any lump-sum goal falling due. Year X is the first year the balance goes below zero. The cover gap is the smallest extra amount today that keeps it above zero in every year — not just the worst one.
Employer cover is not yours
Group life cover ends when the employment does, and it is typically one to three times salary. Counting it as permanent is the most common reason a family discovers a gap after a job change. Enter it to see today's position, then set it to zero to see the cover your family can rely on regardless of where you work.
Buying term cover without a broker
- Buy online, directly from the insurer; the same plan through an agent carries commission for years.
- Choose a term to the later of retirement and your youngest dependant's independence — the horizon above.
- Disclose everything: tobacco, existing conditions, family history. A rejected claim is the only real risk.
- Check the insurer's claim settlement ratio in IRDAI's annual report, not in an advertisement.
- Prefer level cover with no return of premium — the “money back” variants cost far more than they return.
Frequently asked questions
How much term insurance cover do I need?+
Enough that your family's money never runs out over the years they depend on your income. This calculator works that out directly: it projects what they would spend each year (grown with inflation), what they would still earn, and what the payout plus your assets would earn, and finds the smallest lump sum that keeps the balance above zero in every single year. That number, rounded up to the next ₹25 lakh, is the cover to buy.
Is the '10 times income' rule right?+
It is a rough proxy that ignores the things that actually decide the number — your loans, how many years of support are needed, whether your spouse earns, and what you already hold. For a young family with a home loan, 10× can be far too little; for a couple with no dependants and no debt it can be far too much. The calculator shows the cover it recommends as a multiple of your income so you can see how far your case is from the rule.
Should the cover include my home loan?+
Yes. The loan does not die with you; the lender still collects, and without cover to clear it the family either keeps paying the EMI from a reduced income or loses the house. The calculator clears every loan you enter from the payout in year zero before it projects living expenses, which is why the 'cover gap' can be much larger than the loans alone.
Does my employer's group cover count?+
Only while you are employed there. Group cover ends the day you leave, and it is usually one to three times salary, which is rarely enough on its own. Include it in 'life cover held' if you want to see today's position, then set it to zero to see what your family relies on if you change jobs or the employer changes the policy.
What policy term should I choose?+
Long enough to reach the later of your retirement and the year your youngest dependant becomes independent — that is the horizon the calculator uses. Cover needed falls every year after that point, which is why a policy running to age 60 or 65 is usually enough and a policy to age 85 or 99 mostly pays for cover you will not need.
Does this calculator recommend a policy?+
No. It computes a number from your own inputs and shows an indicative premium range from public quotes so you know the order of cost. No insurer is named, ranked or linked on this page, and JPVFin earns nothing from it. Recommending a specific policy requires IRDAI registration, which is a different thing from arithmetic.
Sources and references
- Indicative premiums: Annual premium for Rs 1 crore level term cover to age 60, regular pay, non-smoker, non-diabetic male, median of five insurers (Bajaj eTouch II, Tata AIA Sampoorna Raksha, Axis Max Life Smart Term Plan Plus, ICICI Pru iProtect Smart Plus, HDFC Life Click 2 Protect Supreme Plus). Data as of May 2026, from NYVO's published quote comparison and the Policybazaar premium calculator.
- Claim settlement ratios and insurer solvency: IRDAI annual reports.
- Inflation assumption: RBI's medium-term CPI target band of 4% ± 2%, with the upper bound used as the default so the estimate errs on the side of more cover. Reserve Bank of India.
Disclaimer:This calculator is educational and does not constitute insurance advice or a recommendation of any policy or insurer. Figures are estimates from your own inputs; premiums are indicative public quotes that vary with medical history, occupation, riders and the insurer's underwriting. Recommending a specific policy requires IRDAI registration, which JPVFin does not hold and does not need to compute a number.
Related tools: Policy return (ULIP / endowment) · Credit card minimum payment