Life Insurance for new parents
If you are a new parent I want to tell you that the most new parents like you owned life insurance.
Many people don’t realize how important life insurance is until it’s too late
Many reasons…one thing is things can happen.
“When I married James* in 1978, I was 21-years-old. I never could have imagined then that I’d be a widow by 26, or that I’d have a 9-month-old baby to take care of on my own.
As soon as we became pregnant, James started talking about life insurance, but I was hesitant. I was 24 and the topic of life insurance was just scary, but James was already thinking like an adult. I was pregnant with our yet-to-be-born child, and the last thing I wanted to think about was one of us dying.
James passed away on a Tuesday in March. The weekend before, we’d had an especially good time together. That Monday evening, my neighbor came over to watch a show. James sat with us, but went to bed early and was already asleep when I joined him later.
The next morning, he left for work without me seeing him. Whether he kissed me goodbye while I slept, I’ll never know. I had a hair appointment with the woman across the street. I was sitting in a chair in her basement when I heard footsteps coming down the stairs. I turned to see my brother, Paul, who, like James, was a construction worker. He looked at me and said, “Cathy, we have to go.”
I remember him pulling me out of the chair, and driving to the hospital. My first words were, “How bad?”
He just squeezed my hand.
When we arrived at the ER, the other construction workers were there. It was hard for them to look at me — and that’s when I knew.
My story is a reminder that once you have a family, no matter your age, life insurance is absolutely essential.
I didn’t want to think about that at the time, but lucky for me, my husband had.”
How Much Life Insurance do you need?
It’s a commonly quoted guideline that a life insurance policy should total seven to ten times your annual salary. But you’ll need to dig deeper to determine how much money your family would need to live without you or your spouse.
Your top priority should be to ensure that you have ample protection for when your kids are young. That’s why term life is the most popular choice among parents. These policies provide coverage ranging from five to 30 years, and their annual premiums are within the reach of most families. Although the cost rises as the policy length increases, it’s a good idea to invest in a term plan that covers you until your youngest child finishes college.
But even if you can’t afford to cover the whole amount, some life insurance is better than none.
No one should have to face financial ruin when dealing with a devastating loss, so take action now to protect the financial security of your family. Then go enjoy a much-needed nap — you deserve it.