How to Use the DIME Term Insurance Calculator
Learn how to accurately calculate your term life insurance needs using the DIME method. Step-by-step instructions for our interactive tool.
Estimated time: 5-10 minutes
Photo by Kelly Sikkema on Unsplash
Gather Your Financial Data
Before starting, have your current debt totals, annual income, mortgage balance, and estimated future education costs for your children ready.
Enter Your Total Debt (D)
Input all non-mortgage debt, including student loans, credit cards, and car loans. This is the amount needed to clear your family's immediate liabilities.
Calculate Income Replacement (I)
Enter your annual salary. Select how many years of income your family would need to maintain their lifestyle. A common rule of thumb is 10 years.
Add Your Mortgage Balance (M)
Enter the remaining principal on your mortgage. Covering this ensures your family can stay in their home without financial stress.
Estimate Education Costs (E)
Calculate the total cost of post-secondary education for all your children. Factor in tuition, books, and living expenses.
Review Your Recommendation
Our tool will instantly show you the total coverage needed and a percentage breakdown of each category. Compare this with any existing coverage you have.
Speak with a Licensed Broker
Use the integrated contact form to send your calculation to a licensed broker in your province. They can help you find the best rates from multiple insurers.