Most people carry
insurance on their physical assets, such as cars and boats, but with a new
marriage you must approach the subject of insurance with a much wider
vision. It is intrinsically more
complicated than insuring a specific object.
You must anticipate and secure the future and protect the first pieces
of the puzzle that will eventually be part of a much bigger picture. Marriage is about the rest of your life,
which we all hope will be free of calamity but can be protected should it not
be.
Life
Insurance
Beginning a new
marriage is about change. We change the
way we live, often the place where we live, and our standard of living tends to
escalate. Life insurance can help cover
these changes should one spouse die prematurely. It is comforting to be assured that in the event of your death
your spouse will not be faced with the daunting task of trying to pay off debts
and perhaps, expensive funeral costs.
We can assist you
in determining how much coverage you require.
Such amount would be based on your monthly debts, future obligations,
inflation and other factors. A common
rule of thumb is to carry life insurance at least equal to 10 times your
income. This simple rule will not work
for everyone though. For example,
consider the impact of your future financial obligations if you have a disabled
child.
If you bring
existing life insurance into a new marriage it is important to remember to
rename the beneficiary. If your
employer offers life insurance coverage, this alone may not be sufficient to
meet your family’s needs.
Disability
Insurance
Many young
couples will purchase a new home at the beginning of a marriage resulting in a
new monthly obligation to the bank.
Imagine the huge financial burden should one of the spouses get injured
or suffer from a long-term illness which prevented them from working. Disabilities are far more likely,
statistically, than premature death.
Disability insurance will help cover the disabled spouse’s income and
newly acquired monthly expenses should something unfortunate happen. Such coverage is especially important if the
couple is relying on one spouse’s income to meet their financial needs.
Health
Insurance
In some cases it
is more cost efficient to have health insurance with one company. If both spouses have separate coverage
through employers, examine this option to see if your premium costs are
reduced. If you are looking ahead to
having a family, check to ensure prenatal costs are covered.
Homeowners
and Automobile Insurance
As with health
insurance, auto insurance premiums may be reduced if one company insures both
spouses. If you add your property
insurance with the same carrier you are likely to save additional premium
dollars. If you are renting a
property it is equally important to insure your newly acquired possessions with
renter’s insurance.
Start off your new marriage the way you want to finish, intact
financially and covering all the angles.
