2 Questions To Ask Your Partner Before Marriage
The middle of summer means we’re in the midst of wedding season. Whether you’re weeks out from saying your marriage or you’ve just celebrated an engagement, there are two questions you need to ask your life partner. Planning for the rest of your lives means you’ll have to broach the financial aspect of your future together. When you feel like you’re just beginning a partnership, it can be difficult (not to mention a real celebration damper) to have a conversation regarding how one partner would handle finances if the other were no longer living.
Talking through your insurance coverage is a vital step to securing your financial future. As you come together with your households and finances, it’s time to talk protection of your assets.
Two Questions To Ask Your Future Life Partner
Do you have life insurance? We get it. It’s hard, and slightly awkward, but it’s a must-ask question, and in the unexpected event you need it, you’ll be grateful you had the conversation. You and your partner should each have life insurance plans that cover your outstanding debts and protect the assets – home, cars, business – you share. Ideally, you’ll want to have a life insurance plan that covers your salary for five years.
Neither of you want to be placed in a position to sell your home or other assets to simply make ends meet if faced with the loss of the other, so having the tough conversation now will allow you to sleep easy at night knowing your legacy will be held in tact.
The simplest solution is for each of you to obtain individual coverage. If life insurance is available through your employer, it can be a great start, but be sure to review the numbers. The coverage offered through your job may not be the full amount you need. Gaining an additional life insurance policy will help supplement what you already have. The younger and healthier you are the easier it will be to get a policy for a very low monthly premium. For example, a term life insurance policy that offers $250,000 for a healthy 30-year-old is roughly $13 a month. (Even newlyweds can fit that into their budget!)
Do you have disability insurance? If you or your partner become ill or get hurt, you’ll want a strong disability insurance policy that allows you to still bring in income as you heal.
For those who rely on workers’ compensation to cover their bills, they may be surprised to find that coverage is only available on work-related accidents. The majority of disability claims – some 90 percent – stem from severe sickness or disease, like cancer. Without disability insurance, you could have no income as you face stacks of medical bills until you’re able to return to work.
It’s likely your employer offers disability insurance coverage, so speak with your human resource manager to ensure you’re enrolled for coverage. If you’re self-employed or your employer doesn’t offer the benefit, work with an insurance agent to find a policy that fits your financial needs.
Having an open conversation with your partner will help you both decide which life insurance and disability coverage policies are a best-fit for your financial situation. Working with an experienced insurance agent means you’ll have access to a number of policies to compare before making the purchase. Even if these two questions aren’t all that champagne-worthy, you’ll be happy you had the conversation and get to start your new life together with a promising financial future.
