MortieInsurance7 min read
Do I really need life insurance? An honest guide
Life insurance isn't for everyone — but if other people depend on your income, it's one of the most important things you can put in place.
Who actually needs it?
Anyone with a mortgage, children, or a partner who relies on your income should at least look at it. If you're single with no dependants and no debt, you probably don't need it yet.
Term, whole-of-life and income protection
Term life cover pays out if you die within a set period — usually the length of your mortgage. It's the cheapest and most common.
Whole-of-life pays out whenever you die. Income protection replaces a percentage of your salary if you can't work due to illness or injury.
How much cover?
A common rule of thumb is 10x your annual income, or enough to clear your mortgage and cover your dependants' living costs for a sensible number of years.