5 Life Insurance Tips For Single Moms

Ross Quade | General | 25 Feb, 2016 | No Comments

Being a single parent is a big responsibility. You are the person that your child relies on through thick and thin. And while it’s something that can be difficult to consider, what if something were to happen to you?


Although many single parents choose to forgo coverage, this is the last thing you want to do. After all, as a single parent, providing protection for your children is your number one priority.


Life insurance can help ensure that your children are able to continue living the lifestyle you have provided for them. In fact, you can even utilize the coverage to cover expenses such as college tuition.


Find out how you can save and invest in a quality life insurance policy with these 5 tips.


1.) Sooner = Better for Coverage

Did you know that life insurance is less expensive the younger you are? Believe it or not, the sooner you invest in a policy, the more likely you are to maximize your savings. Term life insurance is the cheapest when you are young and healthy, so if you’re looking to lock in the best possible rates, it’s in your best interest to begin securing coverage sooner rather than later. In addition, it’s important to keep in mind that some companies will increase your rates 6 months before your birthday, so don’t delay seeking coverage. After all, the additional expense can significantly increase your out of pocket costs in the long run.


2.) Your Coverage Needs Before Shopping

In addition to securing a policy sooner rather than later, single parents are also advised to calculate coverage needs prior to shopping. After all, how much coverage do you actually need? While there is no “one-size fits all” here two vital questions to take into consideration:


1.) How much will be needed to cover immediate obligations such as funeral expenses, outstanding debts, mortgages, etc.?


2.) How much will be needed to cover future household expenses?


It’s important that you take the time to develop a realistic idea of the actual amount of coverage you will need. Having trouble where to start first? One good rule of thumb is to calculate your long-term financial obligations and then subtract your assets. While not a foolproof formula, it will help you generate a more realistic picture of your coverage needs.


SEE ALSO: Financial Safety Nets for Single Moms


3.) Invest in a Term Life Insurance Policy

For single parents, investing in a term life insurance policy is the way to go. Why? Whole life insurance tends to be far more expensive on average. Due to the fact that coverage is guaranteed until death as long as the premiums are paid, the costs for permanent insurance coverage tend to be far more than term life insurance. Not to mention that term life insurance provides coverage for a set period of time, which makes monthly premiums surprisingly affordable. Term life insurance is a fantastic way to make sure your children’s future is taken care of without breaking the bank.


4.) Employer Coverage Doesn’t Equate to Superior Coverage

If life insurance is provided through an employer there’s no reason to shop around for a different type of policy is there? Well, if you want to get the best coverage for the best price possible, it’s absolutely worth your while to shop around! Although employer-provided coverage is convenient, that doesn’t necessarily mean it’s the best option. In fact, you may find that opting for an individual policy is a far more affordable option. Not to mention that with an individual policy, you’ll have guaranteed coverage, with or without your current employer.


SEE ALSO: Growing Family? 5 Things To Keep In Mind When It Comes To Life Insurance


5.) Don’t Forget to Periodically Review Your Coverage

Once you do secure a life insurance policy, you will want to make sure that you review it periodically. In fact, it’s recommended that you review your coverage, at least, every 3 years, if not sooner. Life circumstances can of course change, so it’s important that you have a policy that reflects your current coverage needs. While it might be easy to overlook this step, if you want to maximize the value of your policy, it’s wise to give it a review now and again. After all, why pay more for coverage than you have to?


If you’re a single mom seeking life insurance coverage, rest assured you’ve come to exactly the right place. Termlifeinsurance.com is dedicated to helping you find the coverage you need at a price you can afford.


Explore your coverage options today by using our free term life quote generator.  

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