Protection Gap Calculator

Estimate your death, disability and critical illness cover gap two ways. No products, no advice.

Income And Dependants

Your yearly income

Use the same basis throughout, for example take-home pay plus bonus.

Share your dependants rely on

The part of your income that pays for other people. Enter 0 if nobody depends on you.

Years of support needed

years

For example, until the youngest child starts work.

Debts to clear

Home loan, car loan, other loans. Leave out a loan that mortgage insurance would already pay off.

What You Already Have

Savings and investments your family could use

Existing death and disability cover

Total sum assured for death and total permanent disability (TPD).

Existing critical illness cover

Protection premiums you pay each year

Insurance bought for protection, not savings or investment plans.

If You Fell Seriously Ill

Years of income to replace

years

Time you might be off work or on reduced pay.

Extra costs to set aside

Care, transport, bills your hospital cover would not pay.

Death and disability gap (simple needs sum)–

Debts to clear: –
Income to replace (–): –
Less savings and investments: –
Less existing death and disability cover: –
Estimated gap: –

Two Ways Of Looking At It

Estimate	Need	You have	Gap or surplus

"You have" is existing cover, plus savings in the simple needs sum for death and disability. The rule of thumb counts cover only.

Premiums As A Share Of Income

You pay: –
MoneySense guide: at most 15% of income: –

Your protection premiums are above the 15% rule of thumb. Worth checking what each policy is for before adding anything.

Your protection premiums are within the 15% rule of thumb.

The two estimates differ a lot. That is normal: the rule of thumb knows only your income, while the needs sum uses your own debts, dependants and savings.

Questions To Ask Before Buying Anything

Who actually depends on my income, and for how many more years?
What do I already have through work, CPF schemes and old policies? Have I seen the policy documents?
Is the gap for a fixed period (until the loan is paid or the children are grown) or for life?
What is the yearly cost, and could I still pay it if my income fell?
What exactly is covered, what is excluded, and how is "disability" or "critical illness" defined?
What happens if I stop paying after a few years?
How is the person recommending it paid?

An estimate for education only. It is not a recommendation to buy, change or cancel any insurance.

How The Two Estimates Work

The simple needs sum asks what your family would have to pay for without you: the debts, plus the part of your income they live on for the years they need it. Savings and cover you already have are taken off. What is left is the gap. If the answer is negative, you have a surplus on this measure.

The rule of thumb comes from the MoneySense Basic Financial Planning Guide: cover of about 9 times your annual income for death and total permanent disability, and about 4 times for critical illness, while spending at most 15% of income on protection. It is quick, but it knows nothing about your loan, your children or your savings.

Neither number is "the answer". If both point the same way, you can be more confident about the direction. If they disagree, your own figures in the needs sum usually tell you why.

Assumptions And Limits

The simple needs sum adds your debts to the income your dependants rely on for the years you choose, then takes away savings and existing cover. It uses today's dollars: no inflation, no investment return, no pay rises.
The rule-of-thumb figures are from the MoneySense Basic Financial Planning Guide: cover of 9 times annual income for death and total permanent disability, 4 times for critical illness, and at most 15% of income spent on protection. The guide does not say whether income means gross or take-home pay; this tool uses whatever income figure you enter.
Rules of thumb are a starting point for a typical working adult with dependants. Someone with no dependants, or a retiree, may need far less. Someone with young children or a large loan may need more.
Savings are counted against the death and disability need only. The critical illness sum does not take away savings, because many people would rather keep them.
Ignores CPF balances paid to nominees, the Dependants' Protection Scheme, employer group cover (unless you include it), hospital bills and long-term care. A gap here is not a recommendation to buy anything.

This calculator was built with AI tools from published rules and may contain errors. Results are estimates for education only, not financial advice and not a guarantee. Rates and rules change; confirm with the official source before you act. Your figures stay in your browser: nothing you type is sent to us.