How Much Term Life Insurance Can I Buy?
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63333 POINTSview profilePeggy MaceMost of the U.S.The amount of Term Life Insurance you can buy is based on your income, net worth, age, and the purpose for your policy. Younger adults can usually purchase up to 20+ times their annual income in coverage. As you age, the amount of coverage you can buy usually deceases. I say "usually" because net worth also enters into the equation.Answered on November 29, 2014flag this answer
10968 POINTSview profileTim WilhoitOwner, Your Friend 4 Life, Brentwood TNThe total face amount of term life insurance is limited by two things, your net worth and annual income. Typically you will be able to purchase enough life insurance to cover your debts and at least 10 times your income. There is a formula based on age that dictates the maximum amount of term life insurance allowed. Its starts in your twenties as 25 times income and decreases depending on each carriers formula, every new decade of life. For example, in your 30s it is 20 times, your 40s 15 times, etc. This does vary by company.Answered on January 17, 2015flag this answer
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