Once again, the respected financial platform MoneyGeek is featuring expertise from WRP’s Aaron Rubin. As part of its Life Insurance Guide for New Parents, MoneyGeek asked Rubin to share his insight into what new parents should know about life insurance.
He explains that for new parents, the primary goal in getting life insurance is to provide financial security for their kids until they reach adulthood. The right life insurance policy provides the peace of mind of knowing that if one parent passes away prematurely, the other will have the funds they need to cover the costs of raising their children. This might mean, for example, replacing an employed parent’s salary, hiring childcare providers, or perhaps paying off a home mortgage to make long-term expenses more manageable for the surviving parent. To meet this goal, Rubin offers the following advice:
Since it is a temporary problem, having temporary (term) insurance makes sense. Ensure that the policy goes long enough to cover the period you want to cover and communicate with your co-caregiver on the expectations. They may want to stay home to care for the child, and you may want them to go back to work, so you’ll both need to get on the same page.
Due to the high cost of raising children, Rubin advises readers to shop around to get the best deal for their money.
Different companies underwrite differently, so getting a few quotes will behoove you. Most importantly, don’t delay! Not only will your premiums go up as you get older, but you’re leaving your family exposed while you wait.
Aaron Rubin, a partner at WRP Wealth Management, is a trusted financial advisor with more than 20 years of industry experience. Rubin has built a reputation for providing comprehensive, personalized financial guidance for his clients.
MoneyGeek is a prominent financial information platform that offers unbiased advice and insights to help individuals make informed decisions about their finances. With a team of financial experts and researchers, MoneyGeek provides comprehensive, up-to-date information on a wide range of financial topics.
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WRP is a team of tax and financial management professionals with expertise in company-issued stock options. We use research-based investment strategies to grow and protect our clients’ investments and a personalized, one-on-one approach to understand each individual’s goals and priorities. A proud Bay Area business, we are dedicated to local philanthropy and contribute time and resources to local charities to support our community’s long-term well-being.