Life risks can occur at any time, especially when you become a parent who has no small responsibility and requires readiness and commitment, including preparing a valuable legacy for the family.
Becoming a parent in some cases presents challenges that are not small, but more often it is considered worth living because it makes life more meaningful. Not a few young couples who have just got married choose to immediately build a small family without having a thorough plan for having children. The consideration of the age gap between parents and children is one thing that is looked at as well as the need to continue the offspring.
However, to become a parent it is not enough just to 'be a parent'. Being a good parent requires a lot of preparation, a lot of commitment, and having the right priorities. Parents have the primary responsibility to provide a safe and comfortable life for their children, both physically, mentally and financially. Financial commitments, for example, are not just the responsibility of providing nutritious food or sending children to good schools. More than that, parents are obliged to ensure that financial stability is maintained so that in the future their children can be independent by providing valuable legacies.
Therefore, it is very important for new parents to minimize risks that have the potential to shake their children's financial security and the family's financial stability. Some common things that often cause family financial shocks include when parents suddenly lose their jobs or when the family's breadwinner dies.
Life Insurance as a Form of Valuable Heritage
You can minimize the risk of financial shocks by having life insurance. Even for new parents whose children are still babies, having life insurance is an important step as part of their responsibility to provide financial stability for their children in the future.
So, so that your efforts as a parent who want to provide a prosperous life for your child can be achieved, it would be a good idea to have life insurance as the most important priority to fulfill once your child arrives, especially if you are the main breadwinner in the family. Why is life insurance so important for new parents to have?
Life insurance cannot prevent death. However, life insurance can be a valuable legacy for children when their parents are no longer by their side when they are not yet old enough and financially independent. Like the benefits of health insurance, so that the benefits of life insurance can be optimal as a strategy to provide financial stability for your child, you need to ensure the following things:
- Understand how insurance works and benefits
Life insurance can function as a valuable legacy for children when parents who are listed as 'insurance insured', die when the child is still young. Similar to health insurance benefits, the insurance provider will hand over a certain amount of insurance money to the heirs which can be used as provisions to continue life after the breadwinner dies.
The benefits provided by life insurance can be used as a valuable legacy to support various needs, from daily living needs to children's school fees. - Calculate life insurance needs
The life insurance sum assured can ideally be used to cover the needs of the heirs, in this context the children, until they can be financially independent. To be adequate, make sure you calculate the correct amount of insurance required. - Research life insurance products
There are many life insurance product offers on the market today. This can help you more easily find out which one is most appropriate as a valuable heirloom for your little one.
Start by comparing three life insurance products and compare the benefits offered and their suitability to your needs. Pay attention to the premium, benefits offered, protection period and the reputation of the life insurance provider. - Choose life insurance according to your needs
Choose life insurance that best suits your needs, namely insurance that provides coverage benefits according to your needs as a valuable legacy, and also sets a premium that you can still meet with your current financial capabilities.
You can consider one of the products that is in great demand, Manulife Essential Assurance from Manulife Indonesia, which provides the main benefits in the form of lifetime protection and cash value guarantee, with a fixed premium amount, and is also equipped with additional benefits if the insured dies due to an accident.
The allocation of expenses for insurance premium payments should ideally be no more than 10% of your regular income. With premium charges according to your ability, insurance protection can be maintained on an ongoing basis. - Routinely evaluate the suitability of life insurance
Make sure to regularly evaluate the suitability of life insurance benefits to your needs. For example, as a valuable legacy, the need for life insurance when you have just one child, and when you have three children, it will be different. You can increase your life insurance benefits gradually according to the current situation and your financial ability to pay premiums. That way, you can ensure that financial stability is maintained for your child.
Becoming a parent is not easy, but it is considered commensurate with the meaning and happiness that arises from it. Provide a valuable legacy for your child, including ensuring financial stability by having life insurance. So, still want to postpone it?
You can reduce this risk by having life insurance and health insurance. To make it more practical, you can consider preparing this protection through the MiAssurance Protection Plan product which provides several benefits at once, namely annual cash payments, benefits at the end of the coverage period and life insurance benefits if the insured dies. Annual payment benefits and benefits at the end of the coverage period can be used to cover your child's educational funding needs.
Overall, children's education savings can help parents provide the maximum educational provisions their children need. By preparing well in advance, your child's education savings can run smoothly and lead your child to a bright future.
