Life Stages : Starting a Family
Three little words that change our lives in a big way “starting a family”. From that moment on we’re no longer just living for ourselves, and there are choices you need to make. What kind of pram should we buy? What’s the safest car seat? Should we find out if it’s a boy or a girl? And while all these things matter, one of the most important decisions you can make is to protect your family if you pass away or can't work.
Insuring your Life and income means you can make sure your family is still looked after, and they have options to continue enjoying the life you’ve planned for them.
I have written in the past about not getting too bogged down in trying to follow a formula when coming up with how much Life Cover you need (see Previous Blog Here). Developing a plan is so important and Life Insurance plays a vital role but also getting a Will and thinking about what other resources you would need to use if you lost your loved (e.g. a financial planner, lawyer or accountant) needs to all be considered as part of your plan.
Losing a loved one is hard enough to go through so knowing you have a plan in place, and steps to follow gives you more time and energy to put into the healing process. Common rule of thumb is if you have a plan in place to ensure that enough funds are in place to help your family continue living their lives, in the first 12 months they don’t need to make any large financial decisions.
Protecting your income is so often over-looked as part of this plan, but you need to consider how your entire family would be protected if you lost your income long-term (i.e., more than 6 months). Getting the right type of income protection, the right amount at the right price will be paramount. That is where you will really want an experienced adviser to help you navigate what income protection you need and to understand how this works around ACC.
Have the confronting conversation with your partner about what you would want to happen is a great place to start, then see one of our advisers and discuss your goals and concerns. Let us find the right cover for you within your budget.
