Are you one of the primary providers to your young family? Do your aging parents depend on you financially? As the elderly population grows and young adults are financially struggling in trying economic times, individuals ‘sandwiched’ between aging parents and adult children are often referred to as ‘the sandwich generation’. This is because they are often put in the position to provide support for both their children and parents simultaneously, and this support is often both emotional and financial.
Experts note that it is often the case that the sandwich generation is comprised of adults in the 40s and 50s that are juggling these competing responsibilities at the same time. But we can’t say the same here in Bermuda. Due to financial shifts in Bermuda, we see the sandwich generation becoming younger and younger. One out of 25 young Bermudian adults feels emotionally and financially stressed. This stress originates from ensuring that their rent is paid and food is on the table for their own children and aging parents. Their parents can be suffering with medical issues or financial issues and depend on their children to take care of them. A lot of these people will also be juggling this responsibility as well as working full-time.
Are you Protected?
Being in a sandwich generation, you likely feel like you’re forced to ensure that rent is paid and that food is on the table. However, you might not realize that you are a breadwinner for many people and if anything happens to you, your family will be in trouble. Do you have life insurance? It’s a straightforward and affordable way of providing your family protection to make sure that they are financially secure in the event of your death.
A life insurance plan pays out a cash lump sum if the person(s) insured dies during the term of the plan. The lump-sum can be used to provide financial support to your family and loved ones, who might otherwise struggle to pay the mortgage, bills, and other living expenses without your income. Having the right level of life assurance in place gives you peace of mind and your family a financial safety net if they ever need it.
Life Insurance is strongly recommended for those in the sandwich generation as it will ensure that whoever depends on you will be financially stable in the event of your death. Life coverage usually isn’t at the top of mind for someone who hasn’t made it to their 30th birthday yet. Generally, the younger and healthier you are when you buy life insurance, the cheaper it will be—regardless of the amount of coverage. If anyone relies on you financially, you need life insurance. It’s virtually obligatory if you are a spouse or the parent of dependent children. But you may also require life insurance if you are someone’s ex-spouse, life partner, a child of dependent parents, the sibling of a dependent adult, an employee, an employer, or a business partner. Three out of four people think they know the true cost of coverage. However, these people do not have accurate perceptions of the cost. A term policy for a 30-year-old is less than $20 a month for $250,000 in coverage. This amount would cover the funeral cost in case of death and many more expenses. Do you know how much funerals cost? An average funeral in Bermuda runs approximately $5,000 to $20,000. Having coverage will protect the loved ones that rely on you from any expenses when you are gone. Life insurance can seem like an overwhelming endeavor if you do not take the time to determine your needs.
Being part of this growing group can be hard on the individuals involved; dealing with the stress and frustration can be challenging in and of itself. The first step to take, if you feel this pressure mounting, is to simply ask for help. Friends and family might not be willing to help in the caregiving responsibilities. However, they could be willing to help with daily chores, such as collecting and picking up kids from school or collecting laundry. One less chore for you to worry about will give you more time to yourself if you need it.
Where Do We Go From Here?
Ask yourself if you are part of the sandwich generation, and if so, stop and think about what is most important to you. Seek help and learn how you can get protected. Most people keep their family and their well-being in mind as they shop around for life insurance and you should too. Consider the current needs as well as future needs for spouses, children, and other loved ones that could use protection in the case of your death. Life insurance can seem like an overwhelming endeavor if you do not take the time to determine your needs.
For more information contact Jessica Maiato, Life Insurance Sales Agent on 294-4618 to see how we can cover all of your life insurance needs.
75 Front Street, Hamilton