The importance of homemaker plans for stay-at-home mothers

The age-old proverb goes - behind every successful man, there is a woman. The oft-underplayed subtext here is that a woman is typically a homemaker whose list of responsibilities and access to financial security don’t quite sync up. The need for Indian homemakers to have the backing of a dedicated life insurance cover plan has been underestimated for way too long. Fortunately, things are starting to look up now. Stay-at-home mothers' work is finally getting recognised with homemaker plans. These plans provide independent term life insurance covers tailor-made for women. 

Typically, Term Life Insurance covers for homemakers only came as part of the husband’s insurance plan. The problem with this arrangement was two-fold. Firstly, it necessitated the homemaker’s dependency on their spouse for essential financial security. And secondly, it treated women as secondary policyholders with a lesser sum assured that their spouse, who would be seen as the primary policyholder. So, the traditional approach to Term Life Insurance for homemakers bought into the flawed idea of selling short the economic value added to their families by these women.

It was only two years ago that the Supreme Court highlighted the urgency of rethinking this idea about the work done by a homemaker. The court had said, "There needs to be an acceptance of the idea that these activities (done by a homemaker) contribute in a very real way to the economic condition of the family, and the economy of the nation, regardless of the fact that it may have been traditionally excluded from economic analyses.”

These customized Term Insurance Covers can be bought by women within the age bracket of 18-50 years who have an annual family income of INR 5 Lakhs and above. The sum assured may vary from INR 40-50 Lakhs. The move rightfully recognizes women’s significant contribution to their family income. As per estimates, as a multitasker tending to the family’s cooking, cleaning, tutoring, and homekeeping needs, a homemaker’s daily chores would amount to a minimum of Rs 45,000-50,000 a month. The emotional support and guidance they provide remains invaluable. 

In the unfortunate case of a homemaker’s demise, the concerned family is bound to feel hapless. These customisable Term Insurance Plans help the women in question prepare for such a circumstance and create a security net for their family. Most importantly, they are a small step towards giving homemakers their due when it comes to acknowledging the socio-economic relevance of their efforts.