ASK NEALE: New Parents Need Insurance

(VIDEO) First-time parents are busy stocking up on supplies, clothing and furniture for the new arrival but what about that insurance policy?

A pregnant wife is looking to buy life insurance for the first time. Neale has advice any first-timer can use!

Insurance is based on these principles. Insurance companies calculate the odds of a particular event occurring, then compute how much money will be needed to pay those who have suffered losses. Then they add a bit more to cover administrative expenses and profits. The total cost is divided among a particular group in accordance with how much risk each party faces. The charge, or premium, is the price paid to be covered by insurance.