We have 2 policies each - one through our super fixed at a set amount and another through a bank - they both get adjusted for CPI yearly and are set at an amount which means we can pay off our mortgage, school fees for secondary for the girls and then some money to buy breathing space (and possibly help, so nanny/gardeners) initially so the surviving partner has time to really work through the issues on hand at the time.
I was also surprised at the relatively cheap cost of the bank insurance - less than foxtel per month and an excellent product for us (no vested interest either lol). We just had to submit a form online and after some clarification it was done, mind you we were 28 + 32 at the time of issuing !
We both feel better knowing our kids will still be provided for and there should not be any crisis in terms of immediate funds - the emotional upheaval is enough.