Being married is among the most exciting choices of your life. It’s an obligation to love and to work together toward your future.
In addition to the romance of marriage, there are a couple of administrative issues to consider. When attempting to combine your families as you plan your lives and perhaps re-evaluate your finances, Remember to change your insurance coverage to reflect your new circumstance.
When I Get Married, Do I Need to Update My Life Insurance?
It’s a good idea to renew your life insurance coverage when you get married. The marriage commitment typically means you’re dependent on each other financially and are likely to share your assets or children. Considering the ‘worst scenario’ in the initial few months of marriage may be challenging. Still, you should make sure that your insurances are current.
Why Did My Life Insurance Need to Be Updated After I Got Married?
Ensuring that your insurance is up-to-date with significant life events such as marriage, births, purchases, or deaths means they can modify your policy to fit your changing circumstances and ensure your loved family members are in an advantageous position in the event of a catastrophe. Specific guidelines have options that let you increase your coverage without having to answer medical questions in the event of a significant life event, such as getting married. For instance, you could make your spouse an insured beneficiary or increase the amount you receive for specific policies. These features are typically required to get used within a specified period following the event, so you must be aware of the approach to benefit from the part before closing the window.
What Kinds of Life Insurance Should a Married Couple Think About?
Married couples often look at various insurance policies that can provide coverage for different situations. It includes:
- Life Insurance – With a life insurance policy, your family can maintain some financial security in the event of your passing.
- Income Protection Insurance – If you cannot work due to an injury or sickness, this offers an alternative source of income. Even if you cannot work, you may still be able to maintain your household with payments of up to 70% of your income.
- Total Permanent Disabilities Insurance – TPD insurance pays a benefit if you’re deemed unlikely to be able to work again due to a permanent disability.
- Critical Illness Insurance – provides a lump sum payment if a specific medical condition gets discovered. The benefit can get used for anything, but it’s intended to assist you in paying for your care and rehabilitation while also providing you with the financial breathing room you need to take time off work to rest and take care of yourself.
Should My Spouse and I Get Life Insurance?
One of life insurance’s most significant non-financial advantages is its peace of mind; in many cases, it will benefit both parties to get insurance. Even though you’re married, you and your spouse are two individuals, so your insurance coverage should be the same.
How can I make sure my husband receives my life insurance?
Most couples name their spouse as the principal beneficiary of their insurance policies. By designating them as an heir, you can also call your spouse a life insurance policy beneficiary, ensuring that they would be the ones to get the payout in the event of your passing. Still, you may choose more than one beneficiary to receive the sum according to your proportions.
Are There Discounts on Insurance for Joint Policies?
Some insurance companies offer mutual life insurance that covers more than one person within a couple or family is protected. Always ask the insurance company whether you qualify for an insurance discount with your partner.
How Will We Handle Our Insurance Policy If We Divorce?
Like all major events in your life, it’s crucial to look over your life insurance policy if you divorce. You may require administrative changes, such as changing the address of your premiums and debits, when you have no longer lived together or have a joint bank account. Also, make sure that the ownership structure of the policy is in line with the divorce. It is also advisable to examine your beneficiary policies to ensure that they reflect the new circumstances and seek assistance from your insurance company and lawyer.
Life insurance is a way to ensure that, regardless of the outcome, you and those you love have choices to ensure you get the most out of your life.
Ottawa Life Insurance is here to assist you with all your personal and business insurance requirements. Contact us at (613) 454-1424 or email us at info@ottawa-lifeinsurance.ca for further information.
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