text: Well, just go through this with your advisor, imagine if you were to die/become totally and permanently disabled now, how much do you think it would cost to sustain your living/lifestyle? \n\ne.g if you think that $36k is enough to cover for a year of expenses, then take this amount and multiply by how long you think you will need it for. \n\nHow long depends on how long you want to live, the mortgage loan term and if you have children e.g. You will need this insurance payout to last you for at least 20 years(usually). \nTherefore, $36k *20=$720k\nThat calculates the amount of coverage that you would need.\nTake into considerate, if any, the assets you intend to liqidate in case of death/TPD. That could include existing investments and assets like car, house, gold. \n\nYou would be looking at the sum that you need after deducting the assets. That is the amount you ought to be insured for.  \n\nSpousal insurance is bought when the spouse has economic value, ie contributing to the household income. It's best to buy if you don't want to be burdened by heavy financial responsibilities on your own.