Northwest Financial Advisory
    Book a Free Call
    INSURANCE EDUCATION

    How much life insurance does your family actually need?

    Most Canadians are underinsured — or have no idea how much coverage they actually need. This calculator shows you exactly what your family would need if something happened to you today. No sign-up required.

    70%
    of Canadian families would face financial hardship within 3 months of losing the primary earner
    $500K+
    average coverage gap for Canadian families with children
    40%
    of Canadians have no life insurance at all

    Your Family Profile

    Income & Dependents

    $80,000
    10 years

    Most advisors recommend 10-15x annual income

    Debts & Obligations

    Average Canadian funeral: $10,000-$15,000

    Assets & Existing Coverage

    Future Obligations

    Average Canadian university: $80,000-$100,000 total

    Aging parents, special needs, etc.

    Preferences

    4%

    Not sure how much coverage you have?

    Book a Free Insurance Review

    Recommended Coverage

    $1,195,000

    Income replacement + Debts + Final expenses + Education - Assets - Existing coverage

    Income Replacement

    $800,000

    Total Debts to Clear

    $430,000

    Final Expenses

    $15,000

    Education Fund

    $0

    Existing Assets & Coverage

    - $50,000

    Your Coverage Gap

    $1,195,000

    Your family would be short $1,195,000 if something happened today.

    Coverage Breakdown

    Income
    Debts
    Final Exp
    Education
    Assets (Minus)

    Term Insurance

    Best for: income replacement, mortgage protection, while kids are young.

    Lower cost, temporary protection. Ideal for covering large, temporary obligations like a mortgage or raising children.

    Permanent Insurance

    Best for: estate planning, lifelong coverage, tax-sheltered growth.

    Higher cost, builds cash value. Lasts your entire life and can be used as a tax-advantaged asset class.

    Based on your profile, a combination of term and permanent coverage likely makes the most sense.

    Common Life Insurance Mistakes

    Insuring income only — not debts

    Many policies don't account for the full mortgage balance at time of claim, leaving families struggling to pay the bills.

    Forgetting the stay-at-home parent

    Replacing childcare, household management, and support has real dollar value that needs to be protected.

    Relying solely on group benefits

    Group coverage typically ends when you leave your job — and rarely covers enough for your family's true needs.

    Based on your income of $80,000, $430,000 in debts, and 0 dependents, your family would need approximately $1,245,000 to maintain their lifestyle and meet all obligations. Your current coverage and assets of $50,000 leaves a gap of $1,195,000.

    Make sure your family is protected.

    The right amount of life insurance is different for everyone. Book a free review and we'll calculate your exact needs, compare policy options, and make sure your family is never left short.

    Book your free insurance review →

    This calculator provides estimates only and does not constitute insurance advice. Coverage needs vary based on individual circumstances. Always consult a licensed insurance advisor before purchasing coverage. Sarah Lovett is licensed in British Columbia (LIC-2025-0059458-R01).

    Avatar
    Hi there! I'm Anna, Sarah Lovett's virtual assistant. Ask me anything about insurance, savings, or government programs — or book a free call with Sarah right now.