Preparing for a new baby comes with a long list of decisions, and life insurance is often one of them. For many parents-to-be, it’s the first time they seriously consider coverage. If you’re expecting and trying to understand how life insurance fits into your family’s future, here are five questions that often come up.
1. Should I Choose Term or Permanent Insurance?
Before deciding on the type of policy, it’s important to figure out how much coverage your family really needs. Once you have that number in mind, you can explore policy options.
Term life insurance is usually more affordable, making it attractive for young families that need a large amount of protection on a limited budget. Permanent life insurance, on the other hand, offers lifelong coverage and builds cash value you can access later. Many families find that a mix of both works best: term coverage to provide higher protection during the child-rearing years and permanent coverage for long-term security.
2. Do Stay-at-Home Moms Need Coverage Too?
Absolutely. While working mothers contribute income, stay-at-home moms provide services that would be costly to replace—from childcare and transportation to household management. Both roles are essential, and both deserve financial protection. The main difference is that working mothers should account for lost income when calculating their coverage needs.
3. Is Employer Life Insurance Enough?
Employer-provided life insurance is a valuable perk, but it rarely offers sufficient protection. Coverage is often limited to a set amount or tied to a multiple of your salary, which may not last long if something happens. Additionally, you usually lose that coverage when you change jobs. Having your own individual policy ensures that your family is protected no matter where your career takes you.
4. Can I Get Life Insurance While Pregnant?
In many cases, yes—especially if you’re early in your pregnancy and in good health. However, complications or being late in pregnancy can make approval more difficult, and some insurers may suggest waiting until after delivery. That’s why it’s often recommended to secure coverage before or early in pregnancy, while eligibility is typically easier.
5. How Much Will It Cost?
Premiums depend largely on age and health. Younger applicants generally lock in lower rates, which is why it’s smart not to delay. For example, a healthy 30-year-old woman could secure a 20-year term policy with $250,000 of coverage for roughly $13 a month. Couples can often double that coverage—$250,000 each—for about $26 a month combined.
Final Thoughts
Life insurance doesn’t have to be complicated or expensive, but it does play a crucial role in protecting your growing family. Working with a qualified agent can help you determine the right mix of coverage and ensure it fits comfortably within your budget. For new and expecting parents, putting a policy in place is one of the most thoughtful steps you can take for your loved ones.
