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Figuring out how much money would be needed to care for your loved ones if you aren’t there to provide for them can be confusing. What factors do you consider, and how do you calculate the figures? The life insurance specialists at Hummel Insurance Services in Oakland, IA, have the experience and skills to guide you through the process and ensure you’re getting comprehensive coverage.

Here are a few tips for determining life insurance coverage:

3 Factor For Figuring Life Insurance Coverage

Personal Income

A common calculation is to multiply your annual income by 10 to come up with a base life insurance amount. To get a more realistic figure, include expenses such as child care and transportation costs.

Education Expenses

If you have children in college or are paying tuition for a private school, add these figures to your income before multiplying by 10. Include related costs such as books, meal plans, housing, and other fees.

Outstanding Debt

Oakland-IA-life-insuranceFrom mortgage and credit card payments to auto loans, add your outstanding debt. Take your annual income and multiply it by the number of years you think your family will need financial support. Combine these figures to get a rough idea of the amount of life insurance coverage you need. 

Every person’s situation is unique, so the advice of a life insurance agent is invaluable when you’re deciding on a policy. Hummel Insurance Services has a team of compassionate agents who will have your family’s best interests in mind. Whether you need individual life insurance, group life insurance, supplemental health insurance, or long-term care insurance, you can count on them for customized and reliable coverage.

For free, no-obligation insurance quotes, call Hummel Insurance Services at (712) 482-6424. You also can contact them on their website, where there’s more information about their products, including home and car insurance.

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