Millions of couples get married each year in different parts of the world. Once you are married, you will start sharing financial assets such as homes and cars. Your insurance needs will change when you get married. When you get married, it is an opportunity to plan your future together with your partner.
Talk to your partner about your insurance needs. Discuss the active insurance policies that both of you have at the moment. Some insurance policies become obsolete after marriage. Therefore, check any gaps that may be present in your policies. Making the appropriate changes will help you and your partner to avoid any potential headaches after you have tied the knot. The following are some of the changes in different insurance policies after marriage:
Auto Insurance
Auto insurance needs can undergo significant changes after marriage. Married people are believed to be more careful when driving as compared to policyholders that are still single. According to findings from some studies, married individuals are involved in fewer road accidents. As a result, your insurance carrier may reduce your current insurance rates significantly after marriage.
However, if one of the partners has a poor driving record, an auto insurance firm is likely to charge higher rates if their individual policies are combined. Consider contacting your insurance agent to offer some insights to help you make an informed decision on whether to combine your policies or not.
Other than saving money, a combined auto policy can also help a married couple to save time as they will not need to purchase the policies separately. Some insurance firms may also offer discounts when you combine the auto policies. If you share cars with your partner, it is advisable to include them as drivers of your car. If your partner is not named as a driver in your auto policy, your insurance carrier may deny your claim if your partner was driving the car during an accident.
Homeowners or Renters Insurance
When partners are living separately, both of them have insurance coverage for their properties. After moving in together, it is recommendable to include both names in your combined homeowner’s policy to ensure that both of them are protected. Also, the coverage should be increased to cater to the added assets.
Consider purchasing special coverage for items such as wedding rings and wedding gifts. Even if the ring is on your finger always, there is a chance of losing it or falling out of the stones. Wedding gifts can result in a significant increase in the value of your household items. Therefore, there is a need to update the coverage for your property.
If you live in a rented home, you should have renter’s insurance coverage. Before marriage, couples have separate renter’s insurance policies. It is advisable to combine the policies after marriage as you will save time and money. Take time to make a comprehensive inventory as this will help you to purchase a policy that offers adequate coverage.
Health Insurance
Insurance companies allow health insurance policyholders to make changes to their policies after marriage. In most cases, policyholders have 60 days after their wedding to make changes to their health insurance policies. You can either purchase a new health insurance policy or add your partner to your plan.
In some cases, both partners have valid health insurance coverage from their employers. In such situations, it is advisable to consult an insurance expert to ensure that the policies offer adequate coverage for both of you. If you make changes to your name after the wedding, ensure that you provide the details to your insurance company to update your policy.
Life Insurance
If you have a life insurance policy, you are entitled to receive compensation if your partner dies. Life insurance can be categorized as term life insurance or whole life insurance. The compensation offered by the policies cover expenses such as rent, mortgages, funeral expenses, and debts.
After marriage, financial obligations change, and you need to purchase a life insurance policy that can offer adequate coverage for you and your partner. Life insurance policyholders are required to list their beneficiaries when purchasing the policies. Confirm with an insurance firm that you are one of the beneficiaries of your partner’s policy.