For anyone with a family, life insurance is one of the few valuable gifts you can leave behind for your loved ones to help support them after you pass away. Contrary to popular belief, the purpose of life insurance is not just to cover the loss of the adult with the largest income. Stay-at-home mums need life insurance coverage as well in order to protect the financial security of the entire family.
Life insurance is affordable and has many benefits
It’s never too early to start thinking about buying a life insurance policy; the younger you are, the less your life insurance policy is likely to cost. For example, a non-smoker around 30 years old can purchase a life insurance policy for only 10 pounds a month that provides up to 20 years of coverage or more. How much is such a policy worth? They can start at 200,000 pounds. You can arrange to release this amount in one lump sum or distribute it over time for a stable family income. Life insurance is one of the most inexpensive types of insurance available that provides the greatest benefits for your entire family.
Consider the value of stay-at-home mums
The average full-time mum saves their family a fortune in childcare, household maintenance and many other personal expenses every day. In the event that a family with young children loses their stay-at-home mum, even a nanny cannot fully assume all of the responsibilities that the late mother did. Often the family breadwinner with a full-time job cannot afford the additional home and childcare costs they would need to pay without the support of a stay-at-home mum, but the good news is that life insurance can easily cover these additional costs. Life insurance benefits are also a great way to help set aside money for the future education of your children as well.
Joint life insurance policies can save you more money
If having two individual life insurance policies is a little too expensive for your household, consider the advantages of a joint policy. Not only are these policies cheaper than two separate policies, but they also cover both adults. Joint policies can cover any two adults, regardless of their relationship, who purchase a home together. Whenever the first insured adult dies, the policy matures in the benefit of the surviving insured person. Since the policy expires after the death of the first insured party, this type of life insurance is best for households that only require minimal benefits for their family or families that don’t have small children.
You can always make changes to your life insurance policy
First, ask your current employer if they offer any death-in-service benefits to your family in the event of your death. When you know how much they offer, then you can calculate exactly how much additional life insurance you may need so that you don’t spend too much money on your insurance plan.
Did you know that you can generally cancel most life insurance policies without any penalty fees? You are also free to take out more supplemental life insurance policies at any time or switch to cheaper life insurance plans when they become available.
While you can’t replace a stay-at-home mum, you can plan ahead for any unfortunate, unexpected loss that would cause serious financial hardship for you and your family by purchasing additional life insurance.