You're probably well aware that if anything were to happen, a parent with a job outside the house would most likely need life insurance to cover their loved ones. But it's not just breadwinners that need coverage-parents stay-at-home do, too.
Here are some examples why
Would you believe that the typical funeral runs between $7,000 and $10,000? And the cost of burial, headstone, and other costs may not be covered by that. Many families want to respect the memory of a loved one but are having difficulty finding the funds to cover all the expenses. The payout from a life insurance policy will, happily, help cover final wishes.
Stay-at-home parents are caretakers, tutors, chefs, housekeepers, drivers, and so much more. And all that work comes with a price tag: Stay-at-home-parents contribute to their households the equivalent of a $162,581 annual income. A surviving wife would be on the hook for a slew of fresh bills that the stay-at-home parent had already shouldered if the unimaginable were to happen.
Term life insurance is normally a quick and inexpensive way to get a large amount of coverage like this for a particular period of time, such as 10 or 20 years, even before the mortgage is paid or the children are grown and gone.
When their children are older, many stay-at-home parents return to the workforce. Life insurance could help fill the gap that would have added to the family from their potential earnings.
Life insurance premiums may be used to leave a valuable charitable donation if a stay-at-home spouse has a passion for a place of worship, an alma mater, or another non-profit organization.
Permanent life insurance, which provides lifetime security as long as you pay your premiums, can provide additional living benefits such as the opportunity to create cash value. This can be used in the future, from making a down payment on a house to paying for college tuition, for whatever reason you want. Bear in mind, however, that if not paid back, withdrawing or borrowing funds will decrease the cash value and death benefit of your policy.
In a moment, your health can change. When you're young and safe, having a permanent life insurance policy means you'll have lifetime coverage. Then you're not going to have to think about having a health problem later on that will make it tough or even impossible to get life insurance.
One of the few ways to leave money for loved ones that are normally income-tax-free is life insurance.
It is still painful enough to lose a parent and partner before their period without having to think about unsettled debts, costs of childcare, funeral bills, and other expenses.
There are plenty of ways to owe money, from student loans to credit card debt to an informal loan from a family member. Life insurance will help settle any debts left behind, so that loved ones do not cause stress.
As you can see, stay-at-home parents' life insurance is just as important as it is for parents who work outside the home. Schedule a time to chat with an insurance agent in your neighborhood and learn about your choices and get a coverage that suits your lifestyle and budget.
From day-to-day operations to long-range plans, the COVID-19 pandemic has changed so much in our world. But there's one thing that didn't change: the need for life insurance.
it doesn't have to compromise the budget. Check out these great reasons to consider life insurance:
We spend so much time talking about the reasons why adults need life insurance, income protection, covering funeral expenses, etc. that it's easy to forget that insuring your children might also be a good idea for you.
If you have dependents and/or debt, this is particularly true. For this reason, it's safe to assume that your employer's life insurance is probably not enough.