A parent can contribute substantially without receiving a paycheck. A coverage estimate should consider the care and household work that would need replacing.
List the work your household relies on
Include childcare, school transportation, meal preparation, appointments, and care for relatives. Decide which tasks another adult could take on and which would require paid help. Use local quotes rather than an arbitrary salary figure.
Estimate the transition
The surviving adult may need leave from work or a different schedule. Include an adjustment period and the years dependents would still need support. Avoid counting the same childcare cost twice.
Match coverage to the need
Term coverage can suit a need that lasts a defined number of years. Other circumstances may require another approach. Availability and pricing depend on the insurer and application; unpaid work does not mean everyone qualifies for the same amount.
Review the whole household
Consider both parents, existing coverage, and savings actually available for these purposes. Discuss arrangements for minor children with an appropriate professional. Revisit the estimate when care needs or working arrangements change.
Further reading: Consumer guidance. Explore our Money 101 guides.