Baby on board? What you need to know about life insurance when you’re expecting.

Cloth or disposable diapers? Breastfeed or bottle? Pregnancy is an exciting time that comes with a lot of questions about your future with your new baby. One topic you might be pondering as a parent-to-be is life insurance.

You’re about to bring a brand new person who will depend on you into the world, making it a perfect time to implement this important safeguard. Here’s what to expect when applying for life insurance while expecting.

You can definitely apply for life insurance when you’re pregnant. In fact, it’s a great time to do so because it can help financially provide for your child in the event of your unexpected death.

Anyone with children or planning on having children should consider getting life insurance . Think about your baby’s future financial needs and how those would be impacted by your absence. Life insurance can help pay for college and other critical expenses for your children.

As a new parent , your life is about to become a whole lot more hectic, making pregnancy a perfect time to put life insurance in place before the baby arrives and you have much more on your plate.

The cost of your life insurance premiums depends on your age and general health. The younger and healthier you are, the lower your premiums will be. Since pregnancy has a big impact on your body, you might be wondering if it will make life insurance more expensive.

As is the general case with life insurance, sooner is usually better. Typically, you can get the same quotes as you would pre-pregnancy when you’re in your first trimester, if you haven’t experienced any pregnancy-related complications, don’t have any pre-existing conditions that would cause complications and have no history of complications from a previous childbirth.

If your policy requires a medical exam, allowances could be made for typical pregnancy-related changes. For example, a healthy level of weight gain during pregnancy will likely not have an effect on your premium.

The two main types of life insurance are term life and whole life policies. Term life insurance is in place for a set period of time — often between 10 and 30 years — and is typically less expensive than whole life insurance.

For expectant parents, term life insurance is usually the right choice. Term life insurance allows you to provide for your children in the years that matter most. Its lower cost will be appreciated while you’re balancing the many expenses that come with raising a family. Ideally, your children will be grown and financially independent by the time the term ends.

The size of life insurance policy you’ll need as an expectant parent depends on your overall goals and budget. A popular guideline is to purchase a policy worth  approximately 10 times your annual income. But with a child soon to be in the picture, you may need more than that.

Another approach often used by parents is the DIME method (debt, income, mortgage and education), which considers additional factors, like future college expenses. Raising children is expensive , so be sure to factor in all potential costs related to your child you’d want your life insurance policy to help cover (childcare, food, transportation, healthcare, clothing, entertainment, extracurricular activities). It’s not an easy thing to do, but taking the time to add up the numbers now could make all of the difference for your child in the future.

When you apply for life insurance, you must choose a beneficiary, which is the person(s) who will receive a death benefit if you die. When pregnant, you might choose your spouse or partner as your beneficiary. You may also choose another family member who would care for your children in your absence.

While you can designate your child as a beneficiary, a payout will typically not be made directly to a minor. Instead, a court may put the funds in a trust, which would be administered by a court-appointed guardian. To avoid any potential delays in getting the funds to your beneficiary, it’s generally recommended to name your partner or another trusted adult as your beneficiary.

When you have a baby on the way, you’re filled with excitement and hopes for the future.

During this important time in planning for your family, life insurance is a smart way to help ensure their security. Asking the right questions now means you can purchase life insurance with confidence and help protect your family today and in the years ahead.

Disclosure: Ladder Insurance Services, LLC (CA license # OK22568; AR license # 3000140372) distributes term life insurance products issued by multiple insurers – for further details see  ladderlife.com . All insurance products are governed by the terms set forth in the applicable insurance policy. Each insurer has financial responsibility for its own products.