Life Insurance for Stay-at-Home Moms – Do They Need It?

Your life, like anything of value, requires protection. It’s not pleasant to think about, but we take a lot of things for granted. That is why having insurance is an essential part of everyone’s life and a vital part of sound financial preparation, much like retirement and taxes. Everybody realizes just how crucial life insurance is, but many decide to diminish its value. When in reality, without it, your surviving family will have no cushion to ease their lives after your death. Unfortunately, most people postpone buying a policy until they go through a core shaking event, which pushes them to finally buy it.

Life Insurance for Stay-at-Home Moms

Nonetheless, there are some significant incentives for early acquisitions of insurance, especially if you have a mortgage, if you are married or plan to marry or have a family or if you are a business owner. Women, particularly stay-at-home moms, are significantly behind men when it comes to acquiring life insurance. To an extent, the lack of awareness behind the benefits of life insurance for stay at home moms is the reason behind the low percentages. As a countermeasure, one could conveniently use this life settlement calculator to find out how much their families would stand to win/lose in the event of their death.  It is also home to the best approaches to check out for all the basics of picking out your best fit policy, whether you’re a stay at home mom or not.

How Much Do You Need Life Insurance for Stay-at-Home Moms?

If you are a stay-at-home-parent or intend to be one, a lot has to be taken into account when deciding how much you should be paying for life insurance. Like it or not, that’s the amount you’d be leaving for your family in the event of your death. It can vary depending on a variety of factors, including your parent’s contributions to the overall wealth of your family, overall household sales, existing and potential costs and more. You can choose to just fund your end-of-life and funeral expenditures, or enough to keep your family stable for a couple of years or perhaps even leave your family behind a tax-free payout for future expenses, like a university degree. Therefore, only you and your family can make that kind of decision.

Working parents might think that they work harder than their stay-at-home counterparts. Just because you don’t get a salary doesn’t imply that you aren’t entitled to insurance just like anyone else. Secure with an insurance policy what you have found your house with and rest assured that the financial future of your family is taken care of. There are no specific answers because each family is special, but a $250,000 to $400,000 15 to 20-year plan is a standard. The children are then grown up and no longer under their parents’ roof, so no further coverage is needed. You have to know what you are planning on doing in three main sections: healthcare, schooling, and housekeeping. Such actions may mean that you have a larger policy to cover the additional costs. Here are some of these extra costs:

●       Childcare:

How much funds would you need to have to cover childcare costs if something happens to the stay-at-home-parent? It is estimated that childcare services charge about $200 a week in daycare centers and $600 a week for a babysitter. It adds up to between $10,000 to $30,000 spent for 50-52 weeks of care, per child.

●       Education:

Many people prefer to keep a close eye on their children’s education. You and your partner have to consider if anything is to happen to the stay at home parent, where the children will go to school. If you are planning on taking the private school route, you must put that added cost into consideration. For instance, the national average for private school tuition is about $10,700 annually. Not to mention extra costs such as equipment, expenses or extracurricular activities are included.

●       Help Around the House:

Who is supposed to clean the kitchens, bathrooms and living room if something occurs to the parent usually responsible for that kind of thing? If you have paid for only washing and cooking, it will cost you around $27 an hour. That is an estimate, so you may have to compromise something less valuable over household chores, in order to cover those expenses when you are living in California or New York.

Even if you’re a stay at home mother, you deserve just as much protection and insurance as the next person. It is essential to select the right option for your budget and specifications. Your needs and life goals along with your family will evolve over the years. It will be the moment for you to reassess the suitable insurance to ensure that you’re properly covered. Also, because the healthier you are, the cheaper the rate of your policy, there is no such thing as too young to buy insurance.

About Marina Villatoro

Marina Kuperman Villatoro CEO of TravelExperta.com, a travel resource site to inspire families to travel with kids of all ages. Marina has been an expat 20+ years in Central America raising 2 boys in a multicultural, trilingual household. She travels all over the world with her family to give first hand experiences of where to eat, stay and play with kids. Needless to say, it’s never boring! Join Marina on Facebook and Twitter for more unique and boutique family travel!

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