Determine Amount Of Protection
Take care of your house!
And don’t fiddle with Mortgage insurance! Mortgage insurance stays with the loan, so if you sell your house, the policy is terminated.
If you want to start a new one when you buy a new house, it will be more expensive because you are older and if your health has taken a turn for the worse (even if temporarily) you may not be able to get the insurance at all.
We recommend you stick with traditional term life insurance or at least traditional life insurance (if term isn’t for you).
The base amount should be at least what you owe on the house (today) plus your salary for as many years as you want your family to be taken care of. Can your spouse support the family and put Jr.(s) through college?
Think about those things and remember: even if your spouse does return to the work force, they'll probably need some college or special training before being able to get a job that will pay enough to support your family after you depart.
(Present Debt: Home, Autos…etc.) + (Your Salary X Years You want to provide) = Estimated $ of Coverage.
Note: Forget about decreasing term life insurance, it doesn’t cost much less (if at all) and the amount your family would get is less each year (hence the name - decreasing term)