Finding out you're expecting is an exciting time for any couple, and with the new baby on its way, it's a good idea to start planning ahead. One of the most important things to consider when starting a family is life insurance—after all, it's hard enough dealing with the loss of a loved one without worrying about financial hardship too. In this blog post, William Schantz covers what new parents need to know about life insurance, so if you're anticipating a bundle of joy in your near future, make sure you read on!
New parents need to know that life insurance is an important investment, says William Schantz, as it can provide financial security for their family in the event of unexpected tragedy. Life insurance can help cover expenses such as funeral costs and lost income if one or both parents pass away.
The most common type of life insurance policy is term life insurance, which covers a person for a certain period of time (often 10, 20, or30 years). The premiums are typically lower than other types of policies, but keep in mind that coverage ends at the end of the term. Another popular option is whole-life insurance, which provides coverage throughout your lifetime and usually builds cash value over time.
When choosing a policy, it's important to consider your family's needs and lifestyle. For example, if you have young children or are a stay-at-home parent, the surviving spouse may need to replace lost income. If this is the case, it would be wise to choose a policy with enough coverage to help make up for that lost income.
The amount of life insurance you should purchase depends on several factors, such as current and future expenses, debt obligations (e.g.,mortgage), and other sources of income your family may have (e.g.,investments). It also helps to consider any special needs your children may have in order to ensure they are covered adequately. Additionally, when shopping around for different policies, compare prices between companies, as rates can vary significantly depending on the provider.
When it comes to life insurance, there's no one-size-fits-all solution — what works for one family may not be the best option for another, says William Schantz. That's why it's important for new parents to do their research and find a policy that meets their needs and budget. By having an understanding of how life insurance can provide financial security and making informed decisions, parents can ensure that their family is well taken care of in the event of tragedy.
According to William Schantz, choosing the right life insurance policy is an important decision for any parent. The type of policy you choose will depend on your individual needs and financial situation. Be sure to shop around and compare policies before making a final decision. New parents have enough to worry about - choosing the right life insurance policy doesn't have to be one of them.
