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NEXMAXOSmart money decisions

Sum Assured

Insurance term

The sum assured is the guaranteed amount an insurer pays out on a claim — the size of your life or health cover.

For term insurance, a common rule of thumb is a sum assured of 10–15 times your annual income, or enough to clear debts and replace your income for your family. Too small a cover defeats the purpose.

Human Life Value Calculator Term Insurance Calculator

More insurance terms

Term InsuranceTerm insurance is pure life cover: it pays your family a large sum if you die during the policy term, but has no payout if you survive it.
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