Becoming a new parent can be an exciting adventure; suddenly you have a little human who you love unconditionally, and who relies on you to help them grow. But embarking on the journey of parenthood also brings a host of new expenses and new priorities, including the innate desire to protect your child throughout their life. This is where life insurance comes in. Life insurance can safeguard your child’s financial future, even if you’re not there to provide for them.
You have a lot on your mind (and on your plate) as a new parent, but here are 4 reasons why now is a great time to prioritize investing in a Life Insurance Plan for your growing family:
1. Peace of Mind
One of the main reasons new parents purchase life insurance is to secure peace of mind knowing that their children will be financially secure if they were to pass away. Life is far from predictable, so while you may not be able to see into the future, you can make sure that as a parent, you’re doing whatever you can to protect your children from unexpected twists and turns.
When you have a life insurance policy that you feel confident about, then you can feel good about knowing that your baby will be the only thing keeping you up at night!
2. Lock in a Great Rate
With new parent expenses like diapers, formula, and everything in between, scoring the best rates along with the right amount of coverage is important. As new parents, you are likely young and healthy; this can work to your advantage if you’re in the market for affordable life insurance! By purchasing life insurance when you’re younger and at lower risk of acquiring a critical illness or other health-related issues, you’re more likely to find a life insurance solution with cheaper, budget-friendly premiums, that also meets your coverage needs.
3. Protection From Your Debts
If you’re young and starting a family, you’re likely shouldering some pretty high debt levels. Maybe you’re only a few years into the mortgage on your first home, balancing car payments, credit card debt, and even some outstanding payments on your student loan from college. Consider what would happen to these debts should you pass away unexpectedly…unfortunately, they wouldn’t magically vanish into thin air.
Life insurance protects your loved ones from being burdened by your debts if you were to pass away. While you’re young and your debts are likely at their highest, it’s even more important to shelter your family from the financial impact of these expenses should the unthinkable happen.
4. Replace Your Income
With a new child, having a steady and substantial source of income is important. From future college expenses to everyday needs, yours and your partner’s incomes help meet the financial obligations of your household. If the primary wage earner in your household were to unexpectedly pass away, consider how the other partner would be able to cover lifestyle expenses for themself and your child.
Some forms of life insurance can serve as income replacement so that your family can continue to afford their lifestyle, even if they lose the financial support of a key earner. This could mean the difference between staying in your home or having to downsize, move to a different neighbourhood, cancel enrolment in recreational activities, and cut down on grocery bills.
How to Purchase Life Insurance
As a new parent, you may not know where to start when it comes to purchasing a life insurance policy. After all, there are a lot of options out there! If you need some guidance, an insurance broker will act in your best interests and find appropriate coverage options to fit your needs, budget, and goals. The team at Keller & Associates has the experience and expertise to help new parents like yourself protect what matters most. So you can stress a little less, and spend a little more time soaking up the coos, giggles, burps, and snuggles.