Why Do Women Need Life Insurance
Why Do Women Need Life Insurance?
Women need life insurance just as men do. It is a sad misconception that women do not need life insurance. Since many women fulfil their duties as homemakers and do not earn a traditional salary each month, it is perceived that they do not need life insurance cover. This is far from true, as all people, irrespective of their gender, need life insurance. Take a look at this article to know why this is a universal truth.
What is life insurance?
Before going any further, you need to understand the basic logic behind buying life insurance. Life insurance is nothing but an assurance that promises to pay financial aid to the family members of the policyholder after the latter’s demise. The family benefits from this payment as financial shortcomings are bound to crop up after the death of an important family member, whether he or she had a formal salary or not. This is because everyone in the family contributes and to fill their roles after they are gone, finances will be needed.
Reasons why a woman needs life insurance
Now let us explore the many reasons why a woman needs life insurance coverage:
- Many women earn salaries -
It is not uncommon for women to work and earn salaries these days. In fact, every workplace has a healthy mix of male and female employees and that shows just how many ladies are employed as well. A woman who works and brings home a salary, or is the primary breadwinner most definitely needs a life insurance plan and that goes without saying. If the woman has dependent family members and has financial responsibilities to look after, she needs to invest in a good and proper life plan right away.
- They fulfil various responsibilities at home -
Many people believe that only those who earn a formal salary need life insurance. Women who stay at home and take care of their family members do not earn this formal salary. However, as the saying goes, ‘a penny saved is a penny earned’. A homemaker’s daily contribution is massive and it helps her family to save a lot of money. In the event of her death and her absence from the family thereafter, the family would have to arrange for many helping hands, all of which would cost money. Some of the important duties of a homemaker include:
- Taking care of kids - In the absence of the homemaker, the family would need to hire a nanny and a tuition teacher to look after the children’s wellbeing. These would lead to extra expenses.
- Cooking and cleaning - Most homemakers engage in daily chores that include cooking the meals for the family, cleaning the house, etc. IN her absence, a house-help and a cook need to be employed and that too would become an added financial liability.
- Driving- Most women take on the job of driving their kids to school to the tuition classes, driving the elderly family members to the doctor’s clinic, etc. After her death, the family would need to employ a designated driver too.
These are some ways in which a woman contributes to the finances of her family. She needs a life insurance cover so that after her death, the sum assured received can be used to pay for these expenses.
- They have loans in their names -
It is common for people to buy property in the name of their wives or mothers. Even though the woman, in this case, is not financially independent, she is the owner of the property and the EMIs are officially paid by her. A lady in this situation requires a life insurance plan. If she dies before the loan tenure ends, her family can use the sum assured to clear the loan. In the absence of that, many financial and legal issues can crop up.
- They benefit from the riders -
A life insurance plan does not just offer a life cover. It also offers other covers in the form of riders. You can get riders such as the critical illness rider, the accidental death benefit rider, etc. The woman whose life is insured will surely benefit from these add-on covers if there is such a requirement at any time during the policy period.
These are some of the most logical reasons why women should invest in life insurance policies as well.
The bottom line
The value of human life is not determined by gender. Every person is valuable and so they need a life insurance cover. If you are a woman who actively contributes to the family, get a life insurance plan without delay. If you are a family member of a woman who works tirelessly for her loved ones, get her a life cover right away. Life insurance is a very crucial life requirement and no one should risk living without a good life cover.