The purpose of life insurance is to protect the people you love most financially. If a stay-at-home parent passes away, that’s a significant financial hit for any family to take. A life insurance policy payout can be a safety net that helps the survivors shoulder the financial burden of the death. It is not just the breadwinners who need coverage, stay-at-home parents do also. Here are reasons why…
Replacing Stay-at-Home Parent Labor
The stay- at-home parents are the caretakers, tutors, cooks, housekeeper, chauffeurs and so much more every day of the week. All that work comes with a price. Salary.com reports the stay-at-home parents contributes the equivalent of a $162,581 annual salary. Which means the surviving partner would be on the hook for all the labor of the deceased partner. Term life insurance is generally a quick and affordable way to get good coverage. Term insurance is a great option usually for a specific time period of 10 or 20 years until the mortgage is paid and children are out of college.
To Factor In Stay-at-Home Parent Future Income
Most stay-at-home parents do go back to work after the children grow up. If they pass away before that time, insurance could help bridge the gap that their future earnings would have contributed.
To Pay Off Any Debt
Life insurance can help settle loans to credit cards or student loans or even personal loans. This would help create less stress for the grieving parent.
To Leave a Legacy
Life insurance proceeds could be used to leave a meaningful charitable gift such as to an alma mater or a place of worship.
To Cover Funeral Expenses
The average funeral runs between $7,000 and $10,0000. That may not cover the cost of the burial, headstone, and other expenses. You will want to honor your loved one’s memory and fortunately the life insurance can help cover those final expenses.
To Boost Savings
A permanent live insurance option offers lifelong protection. It offers living benefits such as the ability to build cash value. You can borrow from this policy later in life for home improvements or college tuition. Keep in mind however that withdrawing will reduce the policy value and death benefits.
To Guarantee Insurability
Getting a permanent life insurance policy when you are young and healthy means you will have lifelong coverage. As we all know your health can change in an instant. With permanent life insurance , insurability will be one worry you will not have to worry about.
To Receive Tax-free Benefits
Life insurance is one of the few ways to leave loved ones money that is generally income-tax-free
The idea of leaving behind your family is unfathomable. We know. However, preparing for the unexpected doesn’t make it happen any sooner. Life insurance coverage can be a key part of that sometimes-difficult preparation plan for a stay-at-home mom or dad. It’s a selfless service (on top of all the other selfless services they already provide) that offers not only protection for their loved ones but peace of mind.
Rollins Insurance represents multiple A-rated insurance companies to make sure we deliver the most competitive rate packages to our clients in Kentucky and Ohio.
Rollins Insurance is an independent insurance agency providing our clients the best prices with the most coverage possible since 2008. We represent multiple A-rated insurance companies to make sure we deliver the most competitive rate packages to our clients in Kentucky and Ohio. We find that most people are under-insured and over-paying when we meet them. We love what we do and our primary business is Personal Auto, Homeowners, and Life and Health insurance. We are a family-owned and managed business that specializes in providing needs-based insurance services.
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