So you’ve just had a kid. I’ve been there twice and know that it’s one of the most overwhelming experiences you will ever have in life. Your feelings will have ranged from excited, overjoyed, exhausted, under-prepared, nervous, over-cautious and jubilation – and its not even lunch time yet! But ultimately, it’s all good. You know that despite all the sleepless nights, dirty nappies and hard times, you have embarked on something priceless. A life-long relationship with the most important person in the world – your child.

But in amongst all the celebrations, every now and then you also catch a glimpse of all the responsibilities that come along with having this special relationship. Like the fact that there will be far fewer all night benders with the boys after a rugby game. And that your 2 door Alfa Spider now has to be traded in for the more practical Toyota people mover. Not to mention the fact that your razor and aftershave is now lost somewhere in a pile of baby care products and bath toys.

And then there’s the financial responsibility. Whether you have dropped down to one income or stayed on 2 incomes, the family’s budget has just got a whole lot tighter. There are all these new expenses – getting the room ready, baby clothes, a stroller, doctors’ visits – where does it end?

And at some point you have to take stock and you realize that you want to start planning for the future as well. You want to ensure that your child has the most secure future possible. You want to be able to give them a head start in life. Wouldn’t it be great if you could ensure that they don’t end up with a student loan? Or maybe help them out with a deposit towards a first home. And you also want to ensure that if something unforeseen happens to you (or your partner), that your child doesn’t suffer as a result of that.

Taking the time to consider all these financial matters seems like such a low priority right now. You have all this other “stuff” on the go. But the reality is that there is no better time than right now to address all these issues. Should you start a KiwiSaver plan for your child? Should you get medical insurance? Do you need life insurance? There are no right or wrong answers to these questions, but you should at least be asking them.

Take some time to investigate what’s out there. There are some great savings plans for education funds – from standard bank savings account right through to unit trusts. There are also great insurance products to protect your new family. In particular, you may want to consider income protection for the main bread winner. After all, could you really survive without this income? And medical insurance may also be something that you could be exploring now.

The thing with insurance is that it is quite involved, and it’s best to get good advice. Speak to your adviser if you have one. If you don’t have one, check out www.inform.co.nz as a good starting point for comprehensive info about all types of personal insurance.

Warm regards,

Dave

Dave Isaacs
Insurance Specialist

www.inform.co.nz
0508 INFORM (46 36 76)

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