Figuring out the amount of life cover that is desirable to your needs is a tricky question. Let us address the question of "What is life insurance" first.
What is life insurance cover?
Life cover is a financial cover provided by an insurance company to the life assured based on a contract as per which the insurance company is liable to pay a pre-fixed amount in the event of the life assured’s death. The life cover is paid to the nominee who is preselected by the policyholder at the time of buying the life insurance. The core benefit of life insurance is Death Benefit. All life insurance policies offer a "Death Benefit" pay-out to the nominee after the death of the life assured while in some cases they may also offer a maturity benefit if the insured outlives the duration of the policy.