If you are one of the millions stay-at-home moms of America, you are probably covered by your husband’s job. However, most of the times, this is not enough. The kinds of duties that a stay-at-home mom assumes are extremely important. If anything unfortunate ever happens to the mom at your own home and if you are the earning spouse, you perhaps have to stop your work and look after the kids at home. Some among us often underestimate but the loads of work a mom assumes is something a man can hardly think of. Regular cleaning, taking the kids to school, taking care of after school activities, visiting for doctor’s appointment, sitting with the kids for school projects, cooking twice to thrice a day, acting as a nurse are just few of the responsibilities that a mom needs to undertake. Since all these types of work carry a certain kind of risk, getting an insurance coverage is extremely important.
A policy of $20,000 or $30,000 that many insurance agents and companies suggest might not be enough keeping in mind the kind of work a regular mom does at home. Usually, Americans do not possess sufficient insurance coverage. A recent survey reveals that 30% of American households have no insurance coverage at all. This undoubtedly puts the lives of the people at stake who are immediate dependents. Again, as per the survey, women of all ages are much less insured than their male counterparts. On average, women hold $129,800 worth of individual life insurance. While men hold $187,100 of life insurance coverage.
Economic value: Keeping in mind that stay-at-home moms have less life insurance coverage than men and the tremendous economic loss that would surface if they pass away, these moms should get on some extra insurance even though they are on their husbands’ coverage. According to a recent survey conducted by Salary.com on more than 8000 women, a stay-at-home mom’s economic value equals an annual average salary of $112,962 if she were to get paid for the duties she performs at home, which is undoubtedly more than the annual salary of any working man in any recognized field. This is why it’s important for stay-at-home moms to have some additional insurance as the various household tasks they perform within the walls would have a real economic impact in case she is absent.
Childcare costs:Childcare costs are undoubtedly high but these vary depending on the place you live in. Folks living in New York and in the District of Columbia face some of the highest childcare costs. As per information provided by the State Child Care Resource and Referral (CCR&R) Network, the average annual cost of full-time care for an infant in a center in 2010 ranged from $4,650 in Mississippi to $18,200 in the District of Columbia. So if a mom passes away, having a life insurance policy could help with the childcare costs. A policy can also pay for the funeral expenses and serve as an inheritance for the child.
The bottom line: So none can deny that stay-at-home moms need adequate life insurance coverage so that in case of an unfortunate demise, some of the financial responsibilities would be lifted off their partners’ shoulders.
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