Life Insurance for New Parents
Insurance for whatever stage of life you're at
Life insurance guide for new parents
Whether you're expecting your first child, adopting, or growing your family even more, the arrival of a new baby brings added financial responsibilities.
Factoring a baby into your budget isn't easy. There are hospital visits, nappies, clothes, and child care to consider. Plus, temporarily living on a reduced income can make this even more testing.
Imagine if you had to live on a reduced income permanently – how would your family cope if you or your partner became terminally ill, disabled or even passed away? What if an accident struck and you were seriously injured? Finances aside, who would look after the kids?
What types of cover might suit my new family?
If you've decided life insurance is the right way to look out for your family financially, it can still seem a bit daunting working out which type of cover is right for you. Broadly speaking, there are two things you might want to initially consider:
The money matters your family will need to keep on top of, if something happens to you or your partner which dramatically reduces your income.
Whether you want cover to help provide for your family after you've passed away, or a policy designed for the shorter term – when injury stops you working.
You might leave your partner financially vulnerable
If you've decided to have a baby, the thought of not being around to watch your child grow is a horrible one. But having cover in place to help provide for your new family if the worst should happen can help you feel more relaxed.
If you have a Life Protect policy, your family may be eligible to receive a lump sum in the event of your death or if you're diagnosed with a terminal illness.
The lump sum payable under the policy in the event of your death or diagnosed terminal illness, could go towards:
- Funeral and other expenses thanks to the Funeral Advancement Benefit of up to $10,000
- Everyday expenses, like utility bills and groceries
- Your child's future education
- Mortgage or rent payments to help keep your loved ones in the family home
- Keeping the family car running and pay for other travel costs
- Credit cards or other loans
An illness or injury could prevent you from working
If sickness or injury means you can't work, this type of life insurance is designed to pay a monthly benefit to replace your lost income. It can help you stay in control financially until you’re back on your feet, helping keep things as normal as possible for your new little one, and the rest of your family.
The monthly benefits can cover up to 75% of your income, up to $10,000, and could be used to help with the following common costs:
- Mortgage or rent payments
- Everyday expenses like travel and groceries
- Bills – including utilities, telephone, internet and credit cards
- Personal loan repayments
- Childcare or school fees
All this and more, without having to rely on your partner’s income or your savings alone to help keep your family afloat.
Accidental Injury Insurance
You could get injured in an accident
Accidental injury insurance can be an affordable option that can help ease the burden of paying for the treatment of a serious injury. It can provide a lump sum pay out if you suffer certain serious injuries in an accident, anytime, anywhere. Receive up to $100,000 depending on the package chosen and injury.
The pay out for a successful claim could be used to:
- Help you concentrate on getting better, and focus less on your finances so you could spend more time with your kids
- Help pay for any medical costs or hospital treatments caused by your injury
- Help cover everyday expenses like petrol, travel costs and groceries
- Help you keep up with your bills
Unsure how much you need?
Are you confident that any existing cover you have, or the life insurance provided by your super, is enough to support you and your partner if something were to happen to reduce your income? If you're not sure, use our life insurance calculator to help you work out an estimate of the cover you might need.
Need to talk?
Our friendly team of insurance specialists at our Australian based call centre can answer all your questions. Alternatively, if you feel your financial requirements are more complex and you require financial advice, you can turn to a Suncorp Financial Planner for help in assessing your risk and working out the cover that could meet your needs.