If you remember that insurance is to be purchased to make you "whole" after a financial loss, you will have a good idea of how much insurance you need to purchase. It should not be purchased to make someone wealthy after a financial crisis - you are better off buying less insurance and investing the extra premium amount. Also, you don't want to be underinsured, as a time of crisis is not the time to worry about where the money is going to come from to get you through the crisis.