We all know that a parent who works outside the home and brings in an income to support the family needs life insurance to protect their loved ones in case something were to happen. But just because you don't get a paycheck for what you contribute to the family, it doesn't mean that you don't need life insurance coverage also. Here are 9 reasons why.

1) To replace the value they bring to the family

Stay-at-home parents are cooks, tutors, housekeepers, caretakers, chauffers, accountants, personal shoppers, and so much more, 24 hours a day, 365 days a year. They just don't get financially compensated for it. But all that work does come with a price tag. Salary.com reports that stay-at-home parents contribute the equivalent of a $162,581 annual salary to their households. If the unthinkable happens, a surviving spouse would suddenly need to pay for a slew of new expenses to cover the work that the stay at home parent provided. Life insurance can provide the funds to cover these new costs until the kids are grown and gone.

2) To cover funeral expenses

Unfortunately it's expensive to die. The average funeral runs between $7,000 and $10,000. And that price might not include the cost of burial, headstone and other expenses. Want your family member to be laid to rest in another state or out of the country where they were born and raised? That's a hefty additional cost. Most families want to honor a loved one's memory and wishes, but they have trouble finding the money to cover all of the costs, especially if it's unexpected. This is what life insurance is built to do. Provide the funds to cover what needs to be done.

3) To cover any future income

Many stay-at-home parents return to the workforce after their kids are grown and older. Life insurance can be used to cover future income that would have been brought into the household.

4) To pay off debt

Debt can be accumulated in many ways. From credit cards, to student loans, to bank or family loans. Unfortunately these debts don't disappear just because someone passes away. Life insurance can take care of these debts so that the family members that are left behind aren't feeling the financial strain.

5) To guarantee insurability

The best way to save money on your premiums for life insurance is to get it as soon as possible. This is because two of the biggest factors that go into how much you pay are your age and your health Simply put you will never be younger or healthier than you are right now. You're guaranteed to continue aging, but your health can also change at any moment. These changes can either make the cost of life insurance so high that it's unaffordable, or it can take the option away from you entirely. Get something in place now and lock it in.

6) To receive tax-free benefits

Life insurance is one of the few ways that you can leave money to loved ones that is generally income-tax free. It's a great way to pass assets onto family members, and is a valuable tool in estate planning.

7) To leave a legacy

If there is a charity, or cause that is important to a stay-at-home parent, and they want to be able to make a difference, life insurance is a great way to be able to leave a meaningful charitable gift.

8) To build cash savings and other "living benefits"

Permanent life insurance policies can be built to provide multiple "living benefits", which are benefits you can take advantage of while you're still alive. One of the largest benefits is the ability to build cash in the policy which can be accessed and used for any reason in the future. Need a down payment for a house? Need to buy a car? You can access the cash you've built in your policy for the things you need as life happens. Policies can also help provide funds for long term care expenses, help you start a business, and much more. Just remember . . . withdrawing or borrowing funds from your life insurance policy will reduce your policy's cash value and death benefit if it is not repaid before you pass away.

9) To give your family peace of mind

This is the most important reason. Losing a parent or loved one at any point, but especially when it's too early is extremely hard. Your whole world will change in an instant, and how the bills are going to get paid, and how you will keep your kids taken care of and in the home they know, should be the last thing you need to worry about. Life insurance allows you and your family the time to focus on healing and dealing with your loss vs. worrying about where the money is going to come from to pay for everything and to keep your family going.

So there are 9 great reasons why life insurance for stay-at-home parents is just as important as it is for a parent who works outside the home and brings in a paycheck. Don't think that just because you don't get paid for what you do that you don't bring a tremendous value to your family.

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