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4 things single moms should know about life insurance

As a single mom, you’re a primary caregiver, your family’s breadwinner and so much more. You’re basically a real-life superhero—and that’s why it’s oh-so-important for you to protect the future of your children with life insurance! However, just two in five single moms have this important coverage.1 In honor of Life Insurance Awareness Month, here are four things single moms should consider about coverage.

1. Life insurance is a financial safety net for life’s what ifs.

Do you have a plan in place that details who would care for your children in the event you pass away? We know this is a heavy question, but it’s a crucial part of estate planning, especially for single moms who may not have a back-up parent.

It’s important to not only ensure your children would be loved and well cared for, but also financially secure. Does the person who would gain custody of your children have the financial means to care for your children and provide for their future, including college expenses? Life insurance can provide a financial safety net that helps answer some of these hard questions.

2. You have policy options.

There are many types of life insurance to choose from, depending on your budget and financial goals. In general, life insurance falls under two main types of coverage: term and permanent.

  • Term life insurance is the most common type of policy. It promises to pay the beneficiary/(ies) of your choice a sum of money (known as a death benefit) in the event you pass away during a certain period of time (known as the term). Common life insurance terms are 10, 20, or 30 years, or to-age-65, and your coverage ends when your term ends.Many people choose term life insurance because it tends to be the most affordable life insurance option. If budget is a concern for you—as it is for many single parents—then this could be a great option for you. Term life insurance features level premiums, which means they remain the same for the entire life of the policy. According to Nerdwallet, the average cost of term life insurance is just $26 a month.2
  • Unlike term life insurance that ends at a certain time, permanent life insurance is coverage that can be kept for your lifetime. This means no matter what age you are when you pass away, your beneficiary(ies) will receive your death benefit. Permanent policies are known for building cash value, too, which you can usually withdraw or borrow from to help you meet other financial needs.Because of its lifelong protection, permanent life insurance tends to cost more than term coverage.

3. You have beneficiary options.

A life insurance beneficiary is the individual/(s), estate, institution or trustee you choose to receive the death benefits from your life insurance policy. You shouldn’t name your underage child as your beneficiary because the law prohibits anyone from receiving a life insurance payout if they aren’t 18 or 21 (depending on your state).

As a single mom, you could select the person who would gain custody of your children to be your life insurance beneficiary. Or, you could select a trusted person or professional, separate from your children’s caregiver, to manage the estate.

4. Professionals are here to help.

The topic of life insurance stirs up some complex and important questions for single moms, but you don’t have to answer them alone. A trusted financial advisor, estate planner or insurance agent can help you navigate your options and choose the best solutions for your needs. Get in touch with one of our agents for the support you need!



1Life Happens, What Women Need to Know About Life Insurance,, July 2023.

2Nerdwallet, Average Life Insurance Rates for May 2023,, May 2023.