Life and Disability Insurance for Parents

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As a parent, it seems like the responsibilities are endless.  For your children, their well-being is dependent on your circumstances and the decisions you make. Therefore, is important to consider what would happen to your family if you were no longer able to provide for them financially.

For life insurance, the rule of thumb is 12-14 times your income is needed in death benefit to replace the economic loss. To determine the amount needed, you need to calculate both lump sum benefits needed (mortgage paid off, college accounts funded and final expenses ) as well as the monthly amount the household needs if you are no longer here.

Stay at home parents provide an economic benefit even if they don’t bring home a pay check. Consider what would happen to the family if the stay at home parent were to die prematurely.  How much would it cost to provide childcare? Would you need full time help?

In addition to life insurance, it is important to consider protecting your income if you become too sick or injured to work.  Determine on an after tax basis how much income your household would need to maintain itself if the income stopped.

For more information about life and disability insurance for parents contact the Set for Life Insurance office or request a quote today.

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