I've been thinking about this more lately. Do I have enough life insurance? I think I do, but then I look around and wonder if the people around me do. I went to a wedding recently. Great wedding, great family. She has a son from a previous relationship and they recently welcomed a second child into the world. Let's think about this for a second. 2-3 years ago they may have just met, today they are married with 2 wonderful children, a mortgage and 1-2 car payments. I'm not sure on the details but that's fairly typical for a growing family. Today they are responsible for each other and raising two children. That's a lot of change. That's a lot of responsibility. That responsibility has a high price tag. Have they updated their life insurance yet to factor in all that change and responsibility?
When I speak with someone about life insurance I ask them what there biggest asset is. It's not your home or your bank account or your car. For working people, it's your ability to earn money. For a stay at home parent, it's taking care of day to day tasks and raising your children. All of this has value. All of this would need to be replaced in the event of your death. What is the value on that? You'll have to replace lost income or take on more expenses. A very common number is $1,000,000. Some go lower and some go higher. Don't make yourself insurance poor but make sure it's adequate. If you'd like to know how much term insurance is, here's a good place to start a quote. Then contact me. It's time to make sure you can take of those even if you're not here.