If you earn ₹30,000/month and are the sole earning member in your family, one thing is clear — your loved ones depend entirely on your income. But is a ₹10 lakh cover enough? Or should it be ₹50 lakh? ₹1 crore?
This article will help you calculate the right term insurance amount for your ₹30K income, using smart rules and real examples.
Summary: Quick Term Cover Rule Based on Income
| Monthly Income | Annual Income | Suggested Cover (15x–20x Rule) |
|---|---|---|
| ₹30,000 | ₹3.6 lakh | ₹54 lakh to ₹72 lakh |
The 15x to 20x Rule
Most insurance experts (including IRDAI-backed guidelines) recommend this formula:
Life Cover = 15 to 20 times your annual income
So, if your annual income is ₹3.6 lakh:
- Minimum cover = ₹54 lakh (15x)
- Ideal cover = ₹72 lakh (20x)
This ensures that your family gets enough money to replace your income for 15–20 years, even after inflation and expenses.
But What If I Can’t Afford ₹72 Lakh Cover Right Now?
That’s okay. Start with the highest cover you can afford today — even ₹25 lakh is better than nothing.
💡 Pro Tip: Start with a basic cover, then upgrade it later as your income grows. Most insurers allow increasing your sum assured at milestones like marriage or child’s birth.
Real Example: Term Plan for ₹30K Earner
Name: Ravi
Age: 30
Monthly Income: ₹30,000
Dependents: Wife + 1 Child
Existing Loans: ₹4 lakh personal loan
👉 Ideal Cover = ₹72 lakh
👉 Current affordable cover = ₹50 lakh (premium ~₹500/month)
Ravi chooses a ₹50 lakh plan with a waiver of premium rider. Once his income grows, he plans to add ₹25 lakh more cover after 2 years.
Term Insurance Premium for ₹30,000 Income
| Cover Amount | Estimated Premium (Age 30) |
|---|---|
| ₹25 lakh | ₹280–₹350/month |
| ₹50 lakh | ₹480–₹550/month |
| ₹1 crore | ₹850–₹1,000/month |
Tip: Choose yearly payment mode to get discounts (2% to 5%).
Common Mistakes ₹30K Earners Make
- Taking only ₹10–₹20 lakh cover just because it’s cheap
- Skipping riders like accidental death or waiver of premium
- Buying from agents without comparing plans online
- Relying only on employer group insurance
Expert Tips
- Go for a pure term plan (no return of premium) to keep costs low
- Pick long-term coverage (till age 65–70) to avoid renewal hassles
- Always declare existing health conditions to avoid claim rejection
- Add a rider if possible — especially “waiver of premium”
Related Tools
- Premium Calculator for ₹30K Income
- [Which Term Plan Is Right For You? – Free Quiz]
- [Compare Term Plans by Claim Settlement Ratio]
Final Word
If you earn ₹30,000/month, aim for at least ₹50–₹70 lakh in term cover. Even if you can’t afford full cover now, start small but start now. That one decision could secure your family’s future forever.
🔗 Compare the Best Term Plans Now on Insurance+ »
