Expecting Baby #2? Here’s How to Update Your Life Insurance in Texas

Your second baby is on the way—and while you’ve already done this once, it doesn’t mean everything stays the same.

That includes your life insurance.

Whether you live in Frisco, Katy, Lubbock, or somewhere in between, growing your family means your responsibilities are growing, too—and your coverage needs a second look.

This guide breaks down how to update your life insurance as a Texas parent, what to watch for, and why it’s often easier (and cheaper) than you think.

Why You Should Update Your Policy Before Baby #2 Arrives

A lot of parents assume that if they had life insurance before their first child, they’re set. But with baby #2 in the picture, there’s more to consider:

• Another mouth to feed
• More childcare costs
• Higher future education expenses
• A partner who may need more time off if something happens to you

The coverage that once felt “plenty” can quickly fall short once you’re raising two kids instead of one.

3 Common Life Insurance Gaps for Growing Families in Texas

1. Not Enough Coverage Anymore

If your original policy was based on one child, you may have picked something like $250,000–$500,000.

But now?

With two children, many Texas families bump up to $750,000–$1 million, especially when factoring in:

• Mortgage
• Childcare or private school
• Future college savings
• Loss of income for the surviving parent

If you passed tomorrow, would your current policy support your growing family for the next 10–20 years?

If the answer is “maybe,” it’s time to adjust.

2. Only One Parent Is Covered

In a lot of households, only the higher earner has a life insurance policy.

But think about this: if the stay-at-home or lower-income parent passed away, the surviving partner would suddenly need to:

• Pay for full-time childcare
• Handle the household alone
• Possibly take time off work

Even a $250,000 term policy for the non-working or part-time-working parent can make a huge difference—and costs less than $20/month in many cases.

3. You Haven’t Reviewed Your Beneficiaries

Life moves fast with little kids. But don’t forget to:

• Update your beneficiary designations (especially if you’re now married or remarried)
• Consider setting up a trust if your children are minors
• Double-check who’s listed—you don’t want an ex or outdated contact still on the policy

How to Increase or Adjust Your Policy in Texas

You’ve got two options—and both are simple:

✅ Option 1: Add a New Policy

You can keep your existing policy and stack a second one on top. This is great if:

• Your first policy is affordable and already locked in
• You want extra coverage for a specific time frame (e.g. until both kids are grown)

Example:
You already have a $300,000 policy. You add a 20-year, $500,000 policy to cover this next phase of life.

✅ Option 2: Replace Your Current Policy with a Bigger One

If your current policy isn’t serving you anymore, it might be better to apply for a new one with:

• More coverage
• Better pricing
• Living benefits included

You don’t need to cancel the old one until the new one is approved.

Real Example: Parents in Fort Worth

Monica and Jared are expecting baby #2 and already have a $250,000 policy on Jared, the main income earner.

After reviewing their finances, they realize:

• Their mortgage balance is $280,000
• Monica plans to stay home for 3 years
• They want both kids to have college funds

They decide to:

• Add a $500,000 30-year policy on Jared
• Get a $250,000 20-year policy on Monica

Monthly combined cost? Under $50/month.

When’s the Best Time to Make the Change?

Before the baby is born.
Why?

• You’re likely still eligible for the best rates
• Less stress while adjusting to newborn life
• You can bundle the change with your other financial updates (wills, savings, etc.)

Pregnancy can affect your insurability slightly depending on health and timing, so it’s smart to apply in the 2nd trimester or earlier if possible.

Final Word

Expecting your second baby is a big milestone. And while diapers and bassinets are important, so is making sure your entire family is financially protected.

Life insurance doesn’t just protect your income.
It protects your children’s home, stability, and future—especially if you’re not there to do it yourself.

And the best part? It doesn’t have to be expensive, complicated, or stressful.