5 Questions Expecting Moms Have About Life Insurance

Both working and stay-at-home moms need protection because what they do for their families is so valuable. While a stay-at-home mom isn’t compensated for her work, if something were to happen to her, it would be expensive to replace all those things she does—from childcare to home care to ensuring the family gets where they need to go when they have to be there.

The difference between the two is that a working mother also contributes an income, which may be critical to the family financially. That means she needs to think about replacing that income when considering how much life insurance coverage she may need.

3 Ways to Help a Charity With a Gift of Life Insurance

Regardless of your reasons for giving, a gift of life insurance can represent a substantial future gift to a favorite charity at relatively little cost to you. There are several ways you can accomplish that:

1. Make a charity the beneficiary of an existing policy: If you have a life insurance policy you no longer need to support your partner or family, you can name a charity as the beneficiary of the policy, meaning that the charity will receive the policy’s death benefit when you die. While there are no current tax benefits to this approach, the value of the policy will be removed from your estate for federal estate tax purposes.

Denied Life Insurance? Here Are Your Next 3 Steps

It’s tough to learn that the life insurance company you applied to will not be offering you coverage, especially if you were fully expecting a yes! You may fall into the “impaired risk market,” which means you have something in your background that makes you a higher risk for dying prematurely—think things like diabetes, obesity, a previous cancer diagnosis or even a history of DUIs.

While many applicants with this type of history understand they’re up against a hurdle or two, it’s not any easier to be denied life insurance coverage. But, often times, it doesn’t mean the hunt for an approval is over. There may still be options, which include applying to a more suitable company or applying for a different policy type.

Here are three actionable steps you should take if you’ve been denied life insurance.

Who Can I Name as a Beneficiary on My Life Insurance Policy?

Every life insurance policy requires you to name a beneficiary. A life insurance beneficiary is typically the person or people who gets the payout on your life insurance policy after you die; it may also be a trust, charity or your estate You can name more than one beneficiary as well as the percentage of the payout you want to go to each one—for instance, you could designate 50% to a spouse and 50% to an adult child.

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