How to choose the amount of insurance?

Insurance is a means to transfer risks and reduce economic losses. So when you buy insurance, there are many factors to consider, among which the amount of insurance is very important.

The insured amount determines that everyone can get enough funds to face the risks after an accident, so it needs careful consideration.

In fact, there are many types of insurance, including critical illness insurance, medical insurance, accident insurance and term life insurance. The products of each type of insurance are provided by many insurance companies, and the insurance responsibilities of products of different insurance companies are different, and the prices will be somewhat different. Therefore, it is best to find out the risk gap according to your income and family situation, and determine whether you and your family need to buy insurance, and then make insurance matching and insurance coverage planning according to your family situation, and make full use of the leverage of insurance to achieve maximum protection.

When consumers don't know how to determine the amount of insurance products, they may wish to proceed from their own security needs and economic situation. For example, the most common accident insurance is based on personal income and family income, and it is generally better to be more than five times.

So, how should we determine the coverage of different insurances?

1. Double Ten Principle: Pay the premium every year, accounting for about 10% of the annual household income. The insured amount should reach ten times the annual income of the family.

2.？ Life value method: according to the current income of family members and how many years they can work, the future life value can be estimated.

For example, according to the life value method, if a 30-year-old man retires at the age of 60, the average annual income before retirement is about 6,543,800 yuan. Then the value of life is (60-30 years old) ×65438+ 10,000 = 3 million yuan. In this way, everyone can calculate the approximate risk gap and premium of their families according to these two principles.

At the same time, we can look at the ideal coverage of different insurances:

Take critical illness insurance as an example. The treatment cost of major diseases is high and the treatment time is long. Therefore, everyone needs to prepare treatment fees and recuperation fees. At present, the cost of treatment and recuperation for serious diseases in China is about several hundred thousand yuan to several million yuan, and the economic losses caused by the inability to work normally and the expenses incurred by family members to take care of patients should also be taken into account. Therefore, the coverage of critical illness insurance is preferably above 500,000 yuan, and the higher the coverage, the more secure it is.

If it is accident insurance, you don't have to pursue a particularly high amount of insurance. The maximum insurance coverage in accident insurance is only for death, and you can get full insurance money when you get out of danger. The insurance company will calculate the claim insurance premium according to the actual situation, and ask the proportion of compensation before buying. If there is a high amount of insurance, then the cost performance is not high.

If it is life insurance, its premium is more like a legacy, which is the wealth left by the insured to the family. Accordingly, if you want to leave more wealth to your family, you should try to set a higher insurance amount within your own economic tolerance, and it is best to maintain your family's normal expenses and liabilities for five years.

Finally, remind everyone that buying insurance is a process of multiple configurations, and there is no need to pursue one-step protection. If the temporary protection is not enough, it can be configured first, and it is also possible to add insurance in a few years.