Smart Financial Moves For
About to add to your family? Here are insurance and savings tips:
Ø Review your health insurance before you get pregnant (if possible). Most group health plans must cover maternity care, but 87 percent of individual plans do not. Under health care reform, in 2014, maternity and newborn services must be covered by all new plans sold to individuals and small businesses and by plans sold on state-based insurance exchanges. If you don’t have insurance for the child, see options at www.insurekidsnow.gov.
Ø Purchase adequate life insurance. Experts suggest you want to have around $250,000 of life insurance per child. Estimate how much you’ll need at www.lifehappens.org.
Ø Invest in a 529 savings plan for your child’s education. A “moderate” college budget for an in-state public college is between $15,000 and $20,000 per year, while a moderate budget at a private college can be up to $45,000 each year. Learn about 529 plans and use the college cost calculator at www.collegesavings.org.