This week I attended the funeral for a close friend’s dad. It was so sad to think of all the things that my friend won’t be able to share with his father – big things like the birth of his first child, and little things like watching the Grand Final together on TV.
I can only imagine how devastating it must be for a young child still dependent on their parents for the day-to-day things, with a whole lifetime stretching out in front of them, to lose a mum or a dad. Pretty scary I’d think.
Imagine how much scarier if their parent’s death leads to financial instability which meant they have to change schools and/or move house? Not only have they lost one of the most important people in their lives, they’ve lost the familiar routine of life that should be there to help prop them up during this time of intense emotional loss.
After surveying over 1000 Australians, ING has recently released its “Picking up the Pieces” report. Among other things, key findings from the report show the impact on kids after losing a parent when adequate provisions have not been made, include:
Of the children who had to change schools due to financial pressure:
- 69% suffered from diagnosed clinical depression
- 75% suffered from depression, anxiety or panic attacks
- 78% said their academic performance suffered
Of the children who had to move house due to financial pressure:
- 73% said that their family was unable to support them as much as they would have if a parent hadn’t passed away
- 64% said their academic performance suffered
- 64% saw their involvement in school activities decline
Parents do so much to give their kids the best possible opportunities in life – whether you think about the folate supplements during pregnancy, the pureeing of carrots into baby food, getting up early on frosty Saturday winter mornings for football training, or staying up late to help finish last minute essays – so make sure those opportunities can continue if they suddenly have to deal with death sooner rather than later.
By putting adequate life insurance in place, parents can protect the financial security of their children in the event of their own premature death. Talk to your insurance adviser or contact Suggars & Associates to review your insurance needs so your children don’t become a statistic.
You can read more about the ING survey here.
The advice in this article is of a general nature only and does not take your personal circumstances into account. You should seek financial advice before making any investment or financial decisions.