Dear Toddy: I’m 32 and just started a family. My baby is six months old and we just bought our first home. I’m healthy and active, yet the internet keeps telling me I should get life insurance. Can’t I push that off for another decade or so as my parents did? Thanks, Alive & Procrastinating
Dear A & P: It’s great to hear that your primary question is can I wait to get life insurance instead of do I need life insurance? It shows that you are at least aware of the importance of having life insurance now that you have a family.
Now to answer your question, I wouldn’t push off getting life insurance any longer. The fact that you have a new baby (Congrats!) makes getting a life insurance policy a must. The lump sum benefit of an insurance policy payout would ensure that your family maintains the same quality of life without financial burden should you pass away unexpectedly. Jarring, I know. But it’s something you now need to consider with a little one at home.
It’s important to note that term life insurance is incredibly affordable for people your age, especially because you are active and healthy. On average, the cost of term life insurance for someone your age is just $200 – $300 per year. That’s not a lot to pay for the peace of mind knowing your growing family is protected.
Life Insurance for New Parents
If something happens to you or your significant other, you will want a financial safety net for whoever takes over the care of your child – whether that be your spouse, partner, or another legal guardian. This is where life insurance comes in. The best life insurance for new parents is a term life insurance policy. With a term life insurance policy, you can expect to have coverage for as long as your child is dependent on you (10, 20, 30 years).
The payoff benefit from your life insurance policy will provide your beneficiary with a lump sum of money to ensure that your child and their caretaker will be free of economic hardship from your passing. At the end of the day, no one wants to think about how life for their family will be without them, but it’s important to have the right insurance in place to take care of them if the unthinkable happens.
A & P, in addition to your new baby, there’s another reason life insurance is the right move for someone like you.
Couples with a Mortgage
When someone who has an outstanding mortgage but no mortgage protection insurance or life insurance dies, they pass the financial responsibility of making their mortgage payments to their surviving family members. Unfortunately, this often leads to the family defaulting on the mortgage and facing foreclosure or being forced to move out of their home.
This is the last thing that you want your family to deal with, especially if you are a major contributor to your family finances. Life insurance or mortgage protection insurance can help prevent this from occurring. The payout from a life insurance policy can help a family either continue making the mortgage payments or pay off the remainder of the loan in one lump sum.
Don’t Wait, A & P
Life insurance is incredibly important for your young and growing family. It can provide the financial security they will need to navigate the rough waters of loss in the case of your untimely death… Don’t wait – give the expert brokers at TDK a call today to see what type of coverage you need to protect your family and their future.
2 Comments
I would like to get life insurance for my son. He’s in his 40’s what kind of life insurance can I get for him..
Thank you for reaching out, Mary. At 40, your son can be approved for term or whole life insurance. The type of insurance he would benefit most from depends on his future financial goals and his current life circumstances (single, kids, health conditions, etc.). Please check out this blog from our learning center for more information on choosing the best policy.