My wife is pregnant with our first child. When we start looking for life insurance?
First of all, congratulations to you both. As far as life insurance is concerned, you should consider this straight away, particularly if you are the main wage earner. In the first instance, you need to make sure that she, and your new child, will have enough to live on should you die- and if you have a mortgage then consider insurance to repay that should you die. There are probably, therefore, two main insurance needs: to repay any debts, and to provide income. These needs will be best met by separate policies, tailored to your situation.
When your child is born then there may be an additional need for insurance to cover any childcare costs should your wife die, and perhaps to replace her income.
It is important to get any proposed insurance in place earlier rather than later, because it is always possible that health issues could crop up that might prevent you being insured, or might significantly increase the cost. There are many kinds of insurance, and your actual level of need will depend upon such things as any life cover provided by an employer, as well as your overall circumstances. Do make sure that you exactly understand your need so that you make correct decisions - otherwise you may pay for insurance that really is not necessary, or you might have insufficient cover.
Individual advice will be helpful to you. Having gone into your situation fully an adviser might recommend insuring both of you straight away - certainly don't just buy something 'off the shelf' at your local supermarket! | 12.20.10 @ 19:22
The short answer is as soon as possible.
If you and your wife would struggle financially following the death of either of you, this would apply regardless of when your child is actually born.
Also it can take time for any insurers to process your application, particularly if you or a close relative have suffered any health problems.
You could consider a number of types of plan, and the first thing to do would be to decide how much cover you actually need. This will depend on any other cover you have (don't forget to check with your employer as well). There are many online calculators to do this including one on this site http://www.simplyfinance.co.uk/calculators/life-insurance-needs-calculator.html
Once you know how much you need you may feel confident to arrange it yourself or contact an IFA to get the best possible rates.
I hope this helps
| 12.20.10 @ 19:25
To give you an analytical answer (as the two previous posters have given excellent financial advice) - life cover should be in place as soon as (or before in some cases) there is a financial liability. In this case if you died tomorrow, would your child still be born, and require care throughout their childhood? and if so, would your wife and child require financial assistance? Life cover is to provide that assistance.
Once your child is born the same thing applies to your wife, but that is one of those situations where 'before the liability' applies - cover you both now, and you don't need to be thinking about it when you should be glorying in the arrival of your first child. | 12.21.10 @ 09:12