Use a needs-based worksheet:
- Outstanding debts you want the cover to clear.
- Household expenses dependants would need to replace for a chosen period.
- Future goals you intend to fund, such as education.
- Emergency or transition costs.
- Minus liquid assets and reliable existing life cover that would actually be available to the family.
This is a planning framework, not a regulatory formula. Review it when major debts, dependants or financial goals change.