Got it Covered? Insurance Tips for Busy Co-Parents

As co-parents we all want what is best for our children and we make decisions based on that everyday. Who is going to care for the children while we work, where should they go to school and who is going to have them on certain holidays. All of these are very important but what needs to be added to the list is when are we as parents going to sit down and discuss our insurance needs. Sitting down with an insurance professional is especially beneficial when you are co-parenting so that both parents know they are on the same page and what is covered. Having an insurance plan also can help make sure that all of the decisions that you all make are continued no matter what the circumstances.

A priority for your insurance needs is to make sure you have adequate Life and Disability insurance. Life insurance pays your beneficiaries in the event of an untimely death and Disability insurance pays you if you are unable to work due to an illness or accident. Don’t assume that the coverage you have at work is sufficient. Having a policy independent of work can assure coverage regardless if you leave that employer, are laid off, start your own business or stay home with the children as long as the premium is paid. Also the earlier you purchase your policy the better rate you are assured to pay. What can make insurance expensive is waiting.

What are the types of Life insurance policies to consider? Term or temporary insurance and permanent insurance. These can be used to address short and long term needs. Term insurance is great for short term needs. You can purchase term insurance for a certain number of years such as the amount of time your child will be a minor. Term insurance is generally less expensive and allows you to buy more coverage. After that policy period has finished, you no longer have life insurance coverage unless you convert it to a permanent policy or purchase more term insurance. Remember however you will be older if you have to purchase more and it will be more expensive than buying what’s needed in the beginning. Permanent life insurance includes whole, universal and variable life. This insurance is meant to last your entire life so you will always have an estate for your family. This type of policy also builds cash value and can give you the ability to borrow or make withdrawals. Permanent plans have the ability to combine life insurance, savings and investments. Remember the amount of time that this money will need to provide for. Given this, a good rule of thumb is to have 7-10 times your annual income of coverage.

Disability insurance is just as important as life insurance. If you don’t know how you would pay your rent, mortgage, bills and child support if you could not work because of an illness or injury then you need disability insurance. Don’t assume that you are covered by workers compensation because most disabilities occur outside of work. Also many are denied social security disability benefits so it can’t be counted on. Disability insurance can be very affordable for every budget. The key is to get coverage before there is an incident. To determine the amount you need, total your monthly expenses and number of months you could go with out a paycheck to determine your policy amount and waiting period.

As an excited expectant mom who will be co-parenting, I understand the importance and difficulty of having good communication to make sure our families are taken care of. As an insurance agent I see everyday, however, the benefits of making it happen.

We Have a Winner: Minding Your Money Book Giveaway

We’re excited to announce the winners of our Minding Your Money book giveaway.  Two WeParent readers will receive copies of Patricia Stallworth’s Minding Your Money: Personal Money Management & Investment Strategies.”

Patricia is a sought after advisor, coach, and educator who, for over 16 years, has been assisting people before, during and after the divorce process with managing, dividing, and growing their finances.  In Minding Your Money, she provides a step-by-step program designed to help you create the financial future you desire and deserve.

So, congratulations to these two lucky member of our WeParent family:

Catherine K. Bush-Longsworth
Alisa Kuumba

Be sure to check out some of Patricia’s tips for surviving the financial stress of the holidays here.  And, it’s not too late to register for her Build Your Wealth Blueprint teleseminar.

Thanks to everyone who entered!  Be on the lookout for more great giveaways from WeParent and Co-Parenting Matters!

Minding Your Money Giveaway!

You heard it first on “Co-Parenting Matters”! We’re giving away a copy of Patricia Stallworth’s Minding Your Money: Personal Money Management & Investment Strategies.”

Patricia is a sought after advisor, coach, and educator who, for over 16 years, has been assisting people before, during and after the divorce process with managing, dividing, and growing their finances. On this week’s “Co-Parenting Matters”, Patricia shared tips for surviving the financial stress of the holidays. You can check out some of the tips here.

In Minding Your Money, she provides a step-by-step program designed to help you create the financial future you desire and deserve. And, we’re thrilled to be able to give a copy to one lucky member of our WeParent family.

Enter to win by leaving a comment here before 11:59pm EST on Saturday, November 14^th, 2009, telling why you’d like your own copy of Minding Your Money. We’ll announce the winner on Co-Parenting Matters on Sunday, November 15^th, and right here on WeParent.com!

‘Tis the Season to Spend…or Not

Believe it or not, the holidays are right around the corner and you know what that means – lots of toys, presents, and extra expenses. If you didn’t plan for your holiday expenses in advance, you may be tempted to rely on spending now and paying later. But that may not be your smartest move, especially if you don’t want to start the New Year with extra debt.

So what can you do to share the joys of the holidays without breaking the bank? Here’s a five-step plan to get you started:

1. Create a holiday budget. Take a look at what’s coming in, what’s going out for household expenses, and what’s left over. The amount left over is the maximum amount of extra money you can afford to spend for the holidays, plus any savings you have accumulated for the holidays. If you must to go beyond your budget, make a commitment to pay off holiday debt as quickly as possible so that you don’t end up paying a lot more for the items you purchased because of added interest or other carrying charges.

2. Find out everyone’s wish list. Don’t guess. Ask your kids what they really want for Christmas and then discuss their wants and needs with your ex to see what their plans are. If you can work together you can prevent duplicate gifts, the need to compete during the holidays, and your kids can get things they want and need. In some cases, this may even mean going in with your ex to purchase gifts for the kids instead of making separate purchases.

3. Create a list of everyone you plan to buy gifts for, assign a dollar amount to each one (based on the budget you created in Step 1), and shop early. In the case of your kids, don’t get upset if you can’t afford to buy everything on their list. However, if possible, purchase at least one item that is important to them. Whether you decide to get one large item or several small ones, stick to your budget. Sales should be everywhere this year, so take your time and look for ones on the items you want. And don’t be afraid to ask for a price reduction if you find something that’s not on sale. Many stores are willing to bargain and some are offering options like lay-away that can make your holiday shopping easier. By starting early you have a better chance of getting what you want at a reasonable price.
   
4. Don’t forget to celebrate the reason for the season. This usually doesn’t cost very much, and If there was ever a family season, this is it. Sometimes we get so caught up in the commercialism of the holidays that we forget to celebrate the real reason for Christmas. Spend time with your family and participate in family activities, share stories about what Christmas was like when you were a kid, and take your kids to visit family and friends they may not see too often. Make the holidays about family. This will create memories that will be much more precious than things you buy.

5. Plan and prepare for next year as soon as the holidays are over. Choose an amount that you would like to have available for next Christmas, divide that amount by 12, and set aside that amount of money each month in a savings account. This will allow you to relax and enjoy the festivities of the season without the burden of having to pay for it in the coming year.

Happy Holidays!