I’m Married: What Does That Mean For My Life Insurance?

Marriage has significant effects on your financial situation, and these effects can be quantified in several ways. Many newlyweds are not thinking of life insurance, but this is an important consideration for your marital future. Having enough protection to provide for either spouse due to the unexpected death of the other, as well as any dependent children, is something that every couple should consider.

When couples are first married, this is often the best time to think about a long-term policy with a high payout. Unfortunately, this is the time when couples are least likely to start thinking about life insurance. By purchasing a policy at this stage, couples will ensure that the surviving spouse and children will be provided for if there is a loss of income due to death.

This is also the time when rates will be the least expensive. Many companies advise taking out joint policies with ten times your annual income combined. While this may seem a bit excessive to some young couples, your growing financial demands through the years make it a sensible proposition.

Married couples often enjoy lower life insurance rates than their single counterparts. This may seem counter-intuitive, but married people tend to live longer and have less health problems than those who are single, and the actuarial statistics are what determine policy rates. For two young, healthy, non-smoking married people, rates will be as low as possible.

Even those who have been married for years can benefit from term life policies. Term life is always the least expensive route to life insurance, and it provides an instant estate for a surviving spouse and children if the worst happens. Couples with mortgages and other obligations should have at least enough life insurance to pay off their debts if one or the other dies.

Joint term life policies are those which pay out at the death of the first spouse, but actually cover both spouses. This is extremely useful in cases where one spouse will be dependent upon the proceeds of life insurance to pay off bills or supplement income.

Joint policies are generally somewhat less expensive than buying two term policies; however, a joint policy has only one payout, so when one spouse dies, the coverage expires. In this case, the surviving spouse would have to purchase a new life insurance policy on his or her life if this is a consideration for dependents.

Prudential Life Insurance has good policies for married couples. For as little as $30.00 per month, couples can purchase up to $500,000 of term life coverage. Prudential, like many companies, has reciprocal term policies which pay out at the death of either spouse, or which can be held until the death of both spouses.

Net Coverage is a new online life-insurance group which also offers cheap rates to married couples. Applicants are not required to take a health examination, but may have to answer a few health-related questions.

Met Life is another company which offers great terms to married couples. The younger the couple, the better the rate, but if both spouses are healthy and non-smokers, the rates are relatively low. For as little as $30.00 per month, most couples can obtain up to $250,000 of term life coverage.

For those individuals who are employed in high-risk occupations, such as police offers, fire fighters, and military personnel, finding inexpensive coverage may be more difficult. In these cases, however, most workers can find affordable group coverage which will include spouses and dependents through their employers. Group coverage policies are often much cheaper than standalone policies, as the risk is pooled among a group, the members of which all pay an equal rate for insurance coverage.