Do you consider yourself “just” a stay-at-home parent? It is pretty common for moms and dads who have forgone their careers or even just deferred them while the children are young, to undervalue their time at home. For this reason, many couples are mistakenly only investing in life insurance for the working member of the family.

As insurance specialists, we are here to tell you that it’s not just breadwinners who need coverage, but also the stay-at-home parent who does too!

Reason #1 – Replacing the Value of Labor

Think of the number of jobs a stay-at-home-parent takes on during any given day including tutor, caregiver, chauffeur, chef, house cleaner, and executive secretary. Putting a price tag on this priceless job is difficult but estimated that the median annual salary of a mother is $162,581. If the unthinkable happened and a surviving parent needed to continue on, s/he would need to shoulder the expenses of childcare, cleaning, and the host of other jobs every stay-at-home parent juggles. Therefore, not only would losing a stay-at-home-parent be a devastating loss emotionally, but it would be a financial hardship as well without the protection of life insurance as well.

Reason #2 Funeral Expenses

According to Parting, an online directory of over 15,000 funeral homes in the United States, a traditional funeral service will cost the average family approximately $8,000 – $10,000. After the loss of a loved one, paying for the funeral services should not be a financial concern. Life insurance can help lessen the burden and pay for the cost of the funeral home, burial, headstone, and other expenses.

Reason #3 Peace of Mind

No amount of money can replace a parent. But leaving your family with the security that they are financially secure for the coming years can give family members some breathing room to grieve. Many partners who lose a spouse take time off from work to help the family adjust to the new sense of “normal.” Having a life insurance policy can go a long way in giving your family peace of mind.

Life insurance can not only provide security for day-to-day life after the loss but it can also help pay off debt or medical bills that may have piled up prior to your loved one’s passing.


What Type of Life Insurance Should I Get?

This question is a common one, especially for families trying to balance paychecks and having one partner at home. There are several types of life insurance policies available. Knowing which one is best for you and your family should be done in consultation with your life insurance provider.

Term life insurance provides coverage for a certain number of years: 5, 10, 15, 20, or maybe 30 years. If the person who is covered on the policy dies during the term, the policy pays money to the beneficiary. This is usually a spouse or surviving children/relative.

Whole life insurance provides lifelong insurance and an investment component as well. This type of insurance is generally more complex and expensive.

How Much Insurance Should I Get?

Finally, deciding on how much insurance is yet another question best explored with your insurance provider and your immediate family. Most families determine the “how” by what they want to the policy to pay for in the end. 

Are you a stay-at-home-parent? Don’t devalue your critical job or how your family would be provided for after your passing. Consult with your partner and life insurance specialist about what you would need to be covered in the case that the unimaginable happens to your family. If you have questions about the cost and coverage of term or whole life insurance for your family members talk to our team at Phil Richard Insurance. Call us at (978) 774-4338 or visit our site.