Life Insurance for Family Members

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  • Post last modified:October 30, 2019

Life is full of many unpredictable things, and as a result, it is necessary to be prepared. One way to do this is through life insurance. Many people now take life covers to take care of any uncertainties of life.

Your family is crucial, as well. Life insurance is not just for an individual. You can easily cover your family to ensure the protection of their lifestyle in the event of demise. But, how much do you know about life insurance for family members?

In this article, you will learn more about this area.

Why is Taking Family Life Insurance Important?

You may have never thought of such a plan. And you are asking yourself why should you take a life cover for the family?

Some people will assume that life protection is only crucial for the breadwinner in a family. That is not the case. It is equally important for everyone.

Here are some of the reasons why it is crucial:

  • It enables you to deal with any medical bills in case someone in the family dies out of medical illness.
  • It provides financial support when dealing with funeral expenses, whether it is for a child or spouse.
  • Reduces the pain of dealing with both loved one’s loss and dealing with financial challenges.
  • It can provide enough resources to take care of expenses such as mortgage and tuition fees upon the death of the parents.

Financial Benefits

It is the only reason why you are taking the policy.

You cannot predict or know when a tragedy can occur in your family, and that is why it is crucial to taking the life cover.

As a result of taking life protection, in the event of the death of any of the family members, either you, spouse, or children, it will be easy to deal with arising expenses.

Once you have taken life insurance for family, like any other policy, there will benefit based on the option you choose. It is essential to understand that various life cover policies come with varying benefits.

How to Get Life Insurance for Family Members

Taking life insurance for your family members is an important step that requires you to think through and take the necessary measures. It is a process that requires you to follow the right steps as discussed below.

  • Find the right type of life cover you would like to take. There are so many types of policies, and you have to know which one is best for your family. This ensures you get the right benefits, and you can pay for the premiums.
  • Evaluate how much expenses you have on your shoulder. In some cases, you may have so many expenses to take care of, which can affect the type of insurance to take.
  • How many family members do you have? If it is just you and your spouse, then the case is different as compared to when you have children.
  • Then understand how the insurance policy you decide to settle on can help. Seeking the help of an insurance agent is an excellent step to understanding all the information.
  • Once you have settled on the right type of policy then you can go ahead to insuring your family.

Get a Coverage for You and Spouse

Covering you and your spouse is not as complicated as you may think. The process is very simple since the easiest method to go with is a joint life insurance policy. It is a policy in which you are covering yourself and your spouse under the same contract.

You can opt to take other types of policies, but this is the most suitable one for a couple.

For a joint life cover, it works on a first claim basis. This means that the policy will pay the death benefits to the holder who dies first. Whether it is you or your wife, then all the benefits will be paid out. However, the contract ends at that point.

The benefits of taking a join life insurance for you and your spouse are many.

  • It is a cheaper option when compared to paying for two separate policies. This is because you are paying the premiums at the same time.
  • It offers protection for the two of you. The demise of one of you will automatically lead to the release of all the benefits.
  • All other factors related to life insurance contracts are covered in one contract. From applications to various fees. You will have all factors in the same policy hence making it much more convenient.

Insuring Your Parents

Insuring the life of your parents is a crucial step to take. When you have aging parents, the burden that can fall on you upon their death can be huge. Once they die, you may be left with the responsibility to take care of their debts and other bills. At the same time, the funeral expenses will be too much with you having your costs to take care of.

When taking life insurance for your parents there are several factors to consider making sure that everything runs smooth. You have to ensure that you go for the right type of cover.

This can be done by looking at your financial status. The financial ability you have will help to decide the right policy.

If they are both alive, then you can opt for a joint life insurance cover for both of them as a couple. It will cut the cost of premiums, as well.

Insuring Your Children

Insuring your children is an important step to take to protect the well-being of your family. In case of any sickness or passing away, you need to make sure that you are ready to deal with such unseen events.

One of the things to do is by taking individual life insurance policies for your children. It is a step you should consider talking to an agent about to understand all the factors related. However, the premiums will not be as high as insuring an adult since the risks of death are considerably low.

You can also opt to cover them through a rider where you include the children.

As a result, it means in the event of death or sickness, you have benefits.

Can You Add Non-Family Members?

Is it not a little a bit funny to add a non-family member to your insurance coverage plans?

No, it is not.

The answer to such a question entirely depends on the type of insurer you are dealing with. Some companies will allow you to take life cover for someone who is not your immediate family member, and others do not.

However, in the case of an insurer allowing such a process, you are required to provide proof of insurable interest towards the person you would like to take the policy for.

What this means is that you have to prove that in case of death of the person you are about to insure, you will experience any economic or personal loss.

What Do You Do When You Get Another Child?

When you are insuring your family and your children included that does not mean that you will never get more children. And then the question arises on what will happen when you have more children in the future.

You do not have to worry about that. It is possible to add another child.

Even if you took your life insurance without any children, you could add any child you get within the contract. All you have to do is add your child as a rider in your contract. As a result, you will be required to pay an additional amount of premium cost.

Nevertheless, it is worth it since it helps you deal with any illnesses or other problems in the future. Many companies allow this type of arrangement.

Premiums of Life Insurance for Family Members

Taking life insurance for family is not much different from other types of life cover policies. What matters is the type of policy that you decide to work with. Your preferred policy will definitely determine how much you will spend on premiums.

However, it is clear that taking a joint policy for you and your spouse will be much cheaper than taking separate policies for both of you.

You should also understand taking a joint cover for your parents as couples will have lower premiums as compared to having a separate cover to each one of them.

Adding your child as a rider to your contract is a cheaper method as compared to other options, such as insuring him individually. You will pay lower premiums when paying for him as a rider than giving him complete full life protection.

Here is What Such a Policy Can Cover

Life insurance for family is a crucial step towards better financial security of the family. It comes with so many benefits that cover a lot of things. Here are some of them.

  • Loss of an income: You do not know what the future holds. In case you are the breadwinner, and your sources of income are no longer there, you need something to take care of the family.
  • Childcare: When you are young parents, you do not know the cost of childcare. Expenses such as school fees start to come in. However, with life insurance, it is easy to deal with such factors since there is cash value to utilize in a case where you have a permanent life cover.
  • Medical bills: You never know what may happen in the future. It is not obvious that your children or your spouse cannot fall sick. And this is where insurance comes in handy. They may fall ill and die, leaving medical bills.
  • Funeral expenses: In a family, you cannot really tell who will die or when. However, with a life cover, it is very easy to deal with any funeral expenses.
  • Heritage: It is also a good way of leaving an inheritance for your children or spouse.

Factors to Consider in Life Insurance for Family

Other than looking at the finances, other crucial factors are worth considering before taking life protection for your family.

They are factors that will enable you to make the right decision:

  • The number of your children and ages. It is a factor that will affect the whole process. This is because of the larger the number, the heavier the load and more process of acquiring insurance cover.
  • Employment status of your partner. Every insurance company is so much concerned with the employment status of policyholders. So, if you are taking a joint life cover or any other, you have to know such status.
  • Ages of you and your spouse. Age is a great determinant of the type of life insurance to take and the type of premiums you will be required to pay.
  • Understand available investments and assets.
  • Be ready for inflation on your expenses once you have taken the policies
  • Study how each partner in the family can contribute effectively to the process.
  • Take your family with you when applying for the cover if you can.
  • Make sure that you go through multiple quotes. When shopping for life insurance, do not land one quote and take it immediately. There are various insurers in the market with various terms. Looking around multiple agents is a sure way of getting the best deal.
  • Get an insurance adviser when in doubt.


When looking for life insurance for your family, you really need to be careful. The truth is that it is not an easy process. It can be challenging to find an affordable choice to work with. As a result, it is important to take time and do as much research as possible.

It is also to make sure that you have discussed the matter with your family members, especially your spouse, before going shopping for a life cover.

Linda Chavez

I'm a burial & senior life insurance expert, independent agent, Founder & CEO of Seniors Life Insurance Finder. I have been working in this sector since 2004 and established my own company in 2014. I have a team of seven members, and we are trying hard to share the knowledge we've gathered. We know how difficult often it is to find an affordable policy. Hence, we are doing our best to help you.