Life Insurance is one the most important pillars of insurance planning. It provides financial security to your loved ones after you are not around to support them. Besides financial security, it provides you and your family with a back-up to deal with any unforeseen unfortunate events.
Human Life Value is the utility tool to derive the answer for this question. HLV is the probable monetary value of the insured person or the total income the person is likely to earn during the remaining part of his/her working life. An ideal risk cover should include monthly expenditure multiplied by 100 plus outstanding liabilities.