Term Insurance Cover Calculator
Updated 20 August 2026
Estimate how much life cover your family would actually need, using the Human Life Value method — the present value of your future income, not a rough guess.
Open the Live Term Insurance Cover Calculator →Frequently asked questions
What is a term insurance cover calculator?
It estimates how much life insurance cover you may need, using the Human Life Value (HLV) method — the present value of your future income — rather than a simple rule of thumb, to help protect your family's financial future if something happened to you.
What is Human Life Value (HLV)?
HLV is an estimate of the total economic value you'd contribute to your family over your remaining working years, calculated by discounting your future income (growing each year) back to today's value. It's meant to represent what your family would financially lose if you weren't there to earn.
Why does the calculator discount future income instead of just adding it up?
Because money in the future is worth less than money today (the time value of money) — a lumpsum payout received today needs to be smaller than the raw sum of future income, since that payout could itself be invested and grow over time.
What discount rate does this calculator use, and why?
A conservative 8% a year, roughly reflecting a safe, long-term investment return your family could reasonably expect to earn on an insurance payout if invested prudently. A different discount rate would change the result, but 8% is a commonly used, reasonable assumption.