The stress of parenting: kids' financial security and health concerns top the
-- TD Insurance poll reveals more than half of parents with life insurance
don't think they have enough coverage to support their children up until their
18(th) birthday --
TORONTO, Nov. 26, 2012 /CNW/ - As a parent, you never stop worrying about your
kids. Will they get good grades? Are they eating enough vegetables? Are they
hanging out with the right crowd? According to research from TD Insurance,
parents in Canada worry about all aspects of their children's lives from their
financial security (79%), health (79%) and education (76%) to making friends
(68%) or falling in love when they grow up (59%).
"As a dad, I know that worrying comes with the territory. You're constantly
thinking about how you can protect your kids and make sure that they're living
the best lives possible," says Dave Minor, Vice President, TD Insurance. "One
way to help minimize the 'what if' and ensure that your children will be
financially protected if the unexpected happens, is by making sure you have
enough life insurance."
Nearly nine-in-10 Canadian parents (88%) agree that knowing they have the
right amount of life insurance would give them peace of mind that their
children would be financially secure in the event that something happened to
them or their partner. In fact, Canadian parents who understand what
protection their life insurance offers are less likely to be quite worried or
extremely worried about their children's financial security in comparison to
those who don't understand their coverage (34% versus 42%).
Most parents have life insurance, but more than half don't think they have an
TD Insurance found 91% of parents surveyed have life insurance. However, more
than half (56%) don't think their policy will leave enough money to
financially support their children up until their 18(th) birthday.
"New shoes, hockey equipment, braces and class trips - raising a child to the
age of 18 costs close to a quarter-million dollars(1)," says Minor. "No parent
wants to think about the worst-case scenario, but it's important to think
about what it will take to maintain your family's lifestyle."
Minor recommends parents consider the following expenses as they crunch the
numbers to calculate how much coverage they need:
-- Your current debts: By purchasing enough life insurance to
cover your mortgage and other personal debts, you can ensure
your important assets, like your home, are retained by your
-- Final expenses and taxes: Consider funeral expenses plus any
tax you may owe following your death, such as capital gains tax
or inheritance tax. Your insurance should cover these expenses
without having to sell any important assets like your home.
-- Child care and education costs: A four-year post-secondary
degree away from home can cost up to $84,000(2), so it's
important you consider this cost. If you have young children
and are the stay-at-home spouse in your relationship, you'll
have to consider additional childcare expenses, too.
-- Ongoing income for your family: Determine how much you wish to
provide for your family in your absence to help them maintain
their current lifestyle. Even smaller costs, such as sports
activities can really add up.
For parents who do not own life insurance, half (47%) say it's because they
can't afford it and 26% don't think it's necessary.
"Life insurance doesn't have to cost a fortune. One of the advantages of
purchasing life insurance early in life is that it is more affordable since
premiums are based on life expectancy, which naturally decreases over time,"
says Minor. "For example, a healthy (non-smoker) 35 year-old female could
typically obtain term life coverage worth $100,000 for as little as $11 per
Visit the new online tool from TD Insurance to help you understand how much
coverage you need, the different types of life insurance available to you and
estimate your costs at: http://www.tdlifeguide.ca.
About the TD Insurance Poll
TD Insurance commissioned Environics Research Group (www.environics.ca) to
conduct an online custom survey of 1,018 Canadian parents with children of any
age living at home. Responses were collected from October 4 to October 11,
(2) TD Economics, www.td.com/document/PDF/economics/special/sf0911_education.pd
(3) TD Insurance,
Liz Christiansen / Caitie Wallman Paradigm Public Relations 416-203-2223
Samson Yuen TD 416-308-8905 firstname.lastname@example.org
SOURCE: TD Insurance
To view this news release in HTML formatting, please use the following URL:
CO: TD Bank Group
NI: INS ECOSURV
-0- Nov/26/2012 13:30 GMT
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