The objective becomes significantly vital when you are a single parent and the importance of single-parent insurance. A good life cover for a single parent seems to be the wisest way to ensure stability for your dependents, even in your absence.
Single parent life insurance essentially solves several financial liabilities in case of death or incapacitation of the sole breadwinner of the family. Chief reasons include the cost of educating your minor children covering up to higher education. It is important for you to consider the rising education costs, which are expected to go up further.
The task becomes insurmountable when more than one minor is involved, effectively doubling your estimated expenditures. Being mindful of your income and purchasing a suitable amount of life insurance in accordance with your capabilities, ensures that your child receives adequate support to complete their education effortlessly even in your absence.
Another point to note is the overall expense involved in raising a child even without the education factor. The everyday cost of food, clothing, medical care, transportation, etc. are basic expenses that will need to be met, by a guardian, without you in the picture. Hence, it would be best if you considered your child’s age, specific as well as generic needs, and other costs involved while buying the term insurance.
Clearing major debts in the form of a mortgage or car payments, loans, and other such monetary obligations is another area where your life insurance could come in handy and reduce your child’s liabilities. Therefore, buying life insurance that will alleviate the burden and sufficiently cover any such obligatory payments is advisable.
Some policies offer riders along-side the life insurance policies on additional charges. Once all these factors have been considered and evaluated correctly, the exact premium amount for your term plan can be calculated. Finally, consider the amount you can spare without stretching your finances and go for a life insurance policy that gives the best value for your money and suffices all your requirements.
Learn more about different Online Life Insurance Plans here.
The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.
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