How Much Should I Pay For Life Insurance? 
The simple answer is : you should pay an amount that you can afford . People who buy life insurance with the last dollar in their monthly budget will end up dropping their policy when emergencies arise . Life insurance that is dropped is of no value at all . Setting aside an affordable amount to pay life insurance premiums will help ensure that your policy is active when needed . Also , many people feel that if they ca n't buy a large amount of life insurance , they will buy none at all . Who among us would not welcome an extra $ 10,000 of cash at the traumatic time of losing a loved one and trying to take time off work , arrange for a funeral , house relatives or travel to the location of the funeral ? It does not take a million dollar policy to show love for those who are left behind . Of course , premiums differ for different types of policies and different types of risk . If you are using your life insurance to provide income during retirement , it will take a much larger portion of your budget than if you are just funding your funeral . Also , life insurance for those who are older or of poorer health will cost more than life insurance for young , healthy persons . But there is also a greater chance of the death benefit being paid out sooner when the insured person is older or suffers from poor health . A licensed agent can help you look at your whole financial picture and pick out a policy that will meet your needs at an affordable cost . 