Skip to main content

Life Insurance for Stay-at-Home Parents: 4 Reasons It’s Important  

You’re a stay-at-home parent. And that means you’re likely also a chef, tutor, nurse, coach, childcare provider and chauffeur. Caring for your children can be a demanding and rewarding job, even though it doesn’t come with a traditional salary or paycheck. For that reason, many stay-at-home parents assume they don't need life insurance. At Amica, we think you do. Here are a few reasons why we recommend life insurance for individuals who are stay-at-home parents.  

Your work has monetary value.

According to 2021 data from, the average annual salary of a stay-at-home parent, based on the value of the tasks performed, is $184,820.1 In addition, this salary takes into consideration that most parents are on the clock 24 hours a day — from children who rise early to midnight feedings.

You’re probably keenly aware of how much you do on a day-to-day basis. But do you realize the value of your work? Think about it this way. If you were to pass away, what would it cost to hire someone to do all of the work you do? For example, could your family pay for:

  • Childcare
  • Food preparation
  • Yardwork
  • Tutoring and homework help
  • Cleaning
  • Transportation and carpools

If you were to pass away without life insurance, your family might be left without the resources to care for your children in the same way.

The bottom line: Life insurance makes it possible for your family to enjoy the quality of life that they’re accustomed to in the event that you pass away. It allows children to continue their normal activities, like sports leagues, swimming lessons and tutoring. It also gives parents the financial freedom to hire help, so they can spend more time caring for children.

The vision you have for your family is important.

Most parents have a vision for how they want to raise their children and the lifestyle they want to provide. It’s important to keep this vision on track, even if a parent passes away.

That’s where life insurance for stay-at-home parents can help. According to a National Life Sales Representative at Amica, many families feel strongly about stay-at-home parenting. As a result, they purchase enough life insurance to allow a working parent to stay home with children if the other parent passes away.

Here’s the truth: There isn’t a one-size-fits-all recommendation for life insurance. Ultimately, the amount of life insurance you need depends on the lifestyle you want for your family. The National Life Sales Representative says, “Think about what kind of life you’d want for them if you weren’t around. Open yourself up to answering the hard questions, as uncomfortable as they are. Then your insurance representative can help you find the right coverage.”

It’s recommended that life insurance coverage equal at least seven to 10 times the employed parent’s income.2 This allows room to outsource household responsibilities, and gives the family time to grieve. Your insurance representative will also recommend coverage based on:

  • How many children you have and their educational needs
  • The ages of your children and the length of time before they’re financially independent
  • Your total debt, including student loans, car loans, mortgages and credit card balances

Keep in mind, most stay-at-home parents qualify for as much insurance coverage as their working spouses or partners. Don’t underestimate your value. You may need more coverage than you think.

End-of-life costs can be expensive.

Hardly anyone likes talking about funerals, including their cost. But it’s important to consider what your family might pay if you pass away. In 2021, the average cost of a funeral and burial was $7,848, and this doesn’t include paying for a cemetery monument, marker, flowers or obituary.3

Fortunately, life insurance can help the surviving parent pay for these expenses. Most often, families use life insurance policies to pay for:

  • A memorial service
  • Burial
  • Flowers
  • Obituary
  • Family members’ travel needs
  • Estate taxes
  • Legal support
  • And more

Many people underestimate funeral expenses and think they’ll return to work quickly. Unfortunately, this isn’t always true. Funeral expenses are surprisingly costly, and most often, the remaining parent needs to take time off to grieve and get family responsibilities in order.

A good life insurance policy can help cover these costs. In fact, an Amica National Life Sales Representative recommends considering a whole life policy. Term life insurance can cover a salary and daily expenses while you raise a family. Meanwhile, a whole life policy can cover end-of-life costs indefinitely.

It’s easier to get a policy when you’re younger and healthier.

Rule of thumb: The earlier you get life insurance, the better. You should consider life insurance during big life events, like getting married or buying your first home. This is often when couples first combine their finances and learn how to be financially codependent. It’s a great time to speak with an insurance representative, especially if you know you’d like to have a family one day.

Getting life insurance for individuals who are stay-at-home parents can be simple and fast, especially if you’re healthy. The hardest part is opening yourself up to the conversation.

“It’s tough to talk about this sort of thing. But at Amica, we really try to take care of our customers and help them determine how much life insurance they need,” the National Life Sales Representative says. “It’s hard to put a price tag on a stay-at-home parent’s work. We’re here to recognize their value and ensure families are cared for during the hardest of circumstances.”

1 How Much is a Mother Really Worth?,, 2022.
2 What You Should Know About Buying Life Insurance, American Council of Life Insurers, 2022.
3 National Funeral Directors Association, Statistics, 2022.

Your Policy, Policy Declarations or Amended Declarations in effect on the date of loss is the primary source of reference for your coverage, coverage limits and deductible amounts.

This inclusion of non-Amica companies, products, services or statement herein (“Third-Party Content”) is for general informational purposes only and does not constitute a recommendation or endorsement by Amica Insurance. Policies, views, opinions or positions of Third-Party Content expressed herein are those of the authors and do not necessarily reflect the policies, views, opinions or positions of Amica Insurance. Amica Insurance makes no warranties, express or implies, as to the accuracy and reliability of Third-Party Content.

This content may contain helpful tips, explanation and advice. Your use of this information is voluntary and may not be effective in every circumstance. Amica encourages you to use good judgement and put safety first.

For more information on our editorial process and content standard, take a look at our editorial guidelines.


ALIC81922 Jan-27