Look into Life insurance, within your super policy if you can as it is often cheaper. Life insurance is worth while if one of you pass away, but you should also look at protecting at least the main income earners income with income protection, which can also be done through your super. That means your payments come out of your super fund and not your hip pocket if funds are tight at the time.
I would suggest calling what ever super fund you are with first and asking what cover you have at the moment. MOre times than not you have some automatically included.
My DH and I have $500k each which sounds like a lot but once the mortgage is paid out there isn't much left to be without one income for the spouse that has passed. I will be increasing this amount once this bub is born. We also both have income protection insurance.
I agree with kts re not bothering with a funeral plan - get enough life insurance to cover funeral costs as well. The main reason funeral plans are kind of popular is because they pay out quickly - funeral parlour often require very quick payment. So if you look into life insurance, just check how long it usually takes to pay out and what you need to do to get the payout.
On what Kaytee said, many LIfe Insurance policies have an amount they pay up to (ours is $20K) that they will pay direct to the Funeral Home which will come of the total they payout. So although you won't get your full amount of the life insurance by the funeral you can get the amount to cover the funeral if that is an option in your policy.
I just want to say, I HATE those stupid ads with bad actors!!!
The worst one is "it costs less than my gossip mags" like she is some young desperate housewife!! Bah. LOL
Income protection insurance is a good idea, we don't have it but our loans and CC have insurance on them so if one of us (mainly my hubby) gets sick or seomthing, they pay the repayments for us...
I don't have either. If you did want to get funeral coverage, there are 2 options one is funeral insurance that you have to keep paying until you die to get a payout. If you stop paying, your coverage stops. The other type is prepaid funerals where you pay it off like a layby. Once you have paid the total amount you stop paying and it will be there for you (or your family) when you die. Much better to go the second type, unless you thinkyou will have a short life.
I actually really like what HotI has said about the pre-paid funeral. With this option you have everything organised, not just the cost. Probably much easier for those who would need to plan it. Then if you still want life insurance just don't include a funeral amount
My first husband died age 36 - thank god he was organised and had life insurance - which brought us a house and has paid for a lot since. I cannot stress enough the importance of it - and it is relatively cheap if you get it when young and healthy. I am covered for $1 million and pay about $40 a month premium - not much in the scheme of things. Good luck.
Yes, definitely get it as young as you can. Mine is over $50 per month. It is higher due to my weight and won't cover me for breast cancer. If I got it 5 years sooner , I would have been lighter and would not have had the breast cancer exclusion. The older you are the more health problems crop up in yourself and family.
Before my sister died of breast cancer she gave me some advice about all this. She said it was better to have life insurance than health insurance if you need to pick between the two. She had health insurance, but no life and she was self employed.
Thanks so much for the replies ladies, you have given me some great directions and thoughts to think about. I did read your replies from my phone yesterday. I had a look at our super policies and I think we are covered (well DP is for income) and I have a payment called "Death Benefits" but it doenst really describe how and what they are so will call on Monday. Also reminded me I have to roll over my super, so will compare what the two of the offer and then choose which to roll over.
Kylz - I tried to pm you back but it kept coming up witha error message. I will try again later, but thanks it would be great. I will call and speak with my super company first and then compare
Spoke to my family and now everyone seems to be trying to organise it, my parents are looking into the prepaid funeral idea, so thanks for that ladies bit grim for a Friday night but it has been a no go topic in my family for too long I think.
Funeral/life insurance
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