A key man insurance calculator sizes coverage from revenue at risk, salary multiple, or replacement cost — not a round-number guess.
Free key man insurance calculator: estimate coverage with salary multiple, revenue at risk, and replacement cost methods.
Practical tip Start with round numbers from your bank or contract. You can refine decimals after the first pass.
What to enter
Have these handy before you start. Names vary by tool, but the ideas are the same.
Revenue, margin, or cash flow inputs
Growth and discount assumptions (valuation tools)
Contract terms (leases, equipment)
Tax or entity settings at a high level
Quick workflow
Enter baseline revenue and costs.
Adjust growth or discount rates.
Compare side-by-side scenarios before a decision.
Free calculator Open the key person insurance calculator to estimate face amount from salary replacement, profit at risk, or custom coverage needs.
Worked example (illustrative)
A SaaS founder generates $400,000 in gross profit tied to their relationships. Replacing them might take 12 months at $180,000 loaded salary plus $50,000 in recruiting and revenue dip—roughly $230,000 at risk in year one. A lender asks for $500,000 key-person coverage; the calculator helps you justify something between one-year runway and a board-mandated round number. Premiums and insurability vary by age and health—not insurance advice.
Common search questions
Key man insurance calculator — estimate face amount from salary, profit at risk, or replacement cost.
Key person insurance calculator — same tool; use the method that matches how your lender or board thinks about risk.
Coverage should fund runway to hire, train, and stabilize revenue — not a round number guess.
Open the tool when you already have a quote, a deadline, or a what-if and need a clear number for business.
Situations people use it for
Unit economics (LTV/CAC) before scaling ad spend
Valuation or ROI on equipment and leases
Corporate structure or benefit tradeoffs at a high level
How to read the result
Treat the output as a structured estimate. Small input changes should move the result in a direction that makes sense.
Run a conservative case first. If it still works, you have margin.
Change one field at a time so you know what actually moved the number.
Save the scenario with a name you will recognize later ("2027 refi", "15-year plan").
This model assumes: Free key man insurance calculator: estimate coverage with salary multiple, revenue at risk, and replacement cost methods.
Common slip-ups
Using revenue multiples without margin or churn context
Capitalizing opex that should be expensed in a quick model
Try it with your numbers
Open the Key Man Insurance calculator, enter your case, and keep a screenshot or PDF if you will revisit the decision. Everything runs in your browser; your inputs are not sent to our servers for the math.