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.
Life insurance is there to protect your loved ones if something were to happen to you, making it an extremely important part of planning for your family’s future. With the ability to shift with you through life’s big changes, life insurance can offer support to your family whatever comes your way.
The decisions you make today can make a difference to your family’s future. Part of this is making sure they have some financial cover should something happen to you.
By paying regular premiums, your chosen beneficiaries can access your life insurance lump sum payment if you pass away or are diagnosed with a terminal illness.
There are two common ways to take out life insurance - life insurance through superannuation or through a provider. There are key features of Life Insurance through superannuation, Premiums may be lower through your superfund and you may be guaranteed acceptance without medical or personal questions. But the benefit amount may be lower and it may not cover certain medical conditions. You may already have some life insurance through your super, so it’s worth checking. With a provider, like Suncorp Life Insurance, you are able to choose your type and level of cover, and adjust it as your circumstances change. Make sure you do your research before choosing what is right for you.
Key features through superannuation
- Automatic payments direct from your superannuation balance
- Premiums may be cheaper
- May offer automatic acceptance
- May not require medical checks for forms
- Payment may be delayed
- May not cover certain medical conditions
Key features through provider
- Flexible options for cover
- Personalised to your needs and budget
- Can update policy easily when circumstances change
- May receive the benefit faster
- May have limitations on the type of life insurance offered
Whether you’re growing your family, purchasing a new home or changing careers, life insurance can help cover your expenses, from your mortgage to a funeral, easing the financial burden on your family.
General advice only. You should consider if the advice is right for you and read the PDS available at suncorp.com.au/policy-documents before making a decision to buy or continue to hold a product. The Target Market Determination (TMD), where applicable, for the product is available on our website at suncorp.com.au/policy-documents.
This video is brought to you by TAL Direct Pty Limited 39 084 666 017 AFSL 243260. Products are issued by TAL Life Limited ABN 70 050 109 450 AFSL 237848 (TAL Life or insurer) which is part of the TAL Dai-ichi Life Australia Pty Limited ABN 97 150 070 483 group of companies (TAL). TAL Life is not part of the Suncorp Group. TAL Life uses the Suncorp brand under licence from the Suncorp Group.
Life Stages & Events
Whatever stage of life you're at, Suncorp could help you plan for life's unexpected turns. See what some people in your stage of life buy to help protect themselves financially and why.
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 your Financial Planner for help in assessing your risk and working out the cover that could meet your needs.