Why do married couples need life insurance?

Married couples need to have life insurance for many reasons. Many newlyweds purchase a joint policy to protect their spouse and children from financial hardship in the event of a tragedy or to cover final expenses.

What is included in a joint life insurance policy?

Life insurance policies can include two different types of riders: Personalized Living Benefits (usually available only on term life insurance) which would continue paying your mortgage and other bills, and Guaranteed Insurability (available on both term and permanent policies), which allows one spouse to convert his or her policy into half of the other spouse's coverage upon remarriage, divorce, or the death of the second spouse. Otherwise, you would be insuring one less person than you.

How much life insurance do newlyweds require?

There are many different opinions on the amount of coverage needed. A rule of thumb is your death benefit should be at least 10 to 15 times your income and be large enough to cover your debts and future expenses, like the cost of raising a child. For a more detailed calculation, try our Life Insurance calculator which help you total up all your current debts and assets as well your future expenses like college.

Do newlyweds require life insurance?

Newlyweds should buy life insurance to secure their financial future and save money in the long run. Life insurance guards against the loss of your spouse's income if he or she dies prematurely.

Do couples usually acquire life insurance together?

Separate life insurance policies or a joint life insurance policy are options for married couples. A single life insurance policy will cover only one person, but a joint life insurance policy will cover both spouses.

What is spouse life insurance, and how does it work?

A spouse life insurance policy pays a death benefit to help your family if you pass away. This type of coverage is often called "term" coverage because it is designed to provide protection for a limited time period, typically ten or more years.

When should newlyweds purchase life insurance?

Most people find that purchasing life insurance provides them with peace of mind and financial security during marriage. That's why it's recommended that couples acquire coverage at the earliest possible date, within several months of getting married.

Should newlyweds have an attorney review their life insurance policy?

Couples can save money on their life insurance premiums by shopping around. However, this is not likely to lower the value of your policy or jeopardize its coverage. It is advisable to get professional advice about your financial affairs, especially if you are considering changing insurance agencies or carriers.

Can you add spouse to insurance?

Husband and wife term insurance plans, as the name implies, allow one to insure oneself through one policy with one's spouse. Some term insurance policies that cover spouses include critical illness coverage, limb loss, accidental death, and total disability.

Does insurance change after marriage?

One of the qualifying life events that allows you to modify your insurance plan or add your partner is marriage. Most plans demand that these modifications be made within 60 days of walking down the aisle. If you miss this deadline, you'll have to wait till the following open enrollment period to modify your policy.

Is it possible to obtain life insurance on your spouse without them knowing?

No. You must provide proof of your spouse's identity and insurance eligibility in order to obtain a life insurance policy in their name.

Is it necessary to have life insurance for a non-working spouse?

The bigger issue is how much term life insurance for the non-working spouse (or stay-at-home parent) you should have. Because each family is different, there's no silver bullet answer for this, but a 15- to 20-year policy between $250,000 and $400,000 is a good rule of thumb.

How can couples reduce premiums?

There are several ways that newlyweds can reduce their premium. First, they should try to purchase coverage for at least ten years since the premiums generally increase every five years. They should also consider purchasing enough life insurance to cover their debts and expenses, such as closing costs for a mortgage, college expenses for children, and funeral expenses.

How is critical illness life insurance different from regular life insurance?

Critical illness life insurance policies cover you when you become seriously ill, whereas regular term or whole life plans protect you if you die. Critical illness plans pay a lump sum if you have a heart attack, stroke, or other serious illness.

Is life insurance cheaper for couples?

Typically, yes because it is usually more cost-effective than purchasing two separate permanent policies.

Conclusion

The above article has answered some of the most common questions that newlyweds and married couples ask about life insurance. The article provides a detailed overview, but we recommend working with one of our recommended providers to get the coverage you need.