Life insurance plans are an essential investment for married couples. Having a life insurance policy in place can help safeguard your spouse and ensure they have sufficient funds available in the event of an unexpected death. One type of policy to consider as a married couple is term life insurance. This provides an additional layer of security to a family. Having a life insurance policy in place may protect your family from unexpected life events that result in a challenging financial situation. Most importantly, it can help avoid financial loss and devastation.
Is a Joint or Individual Term Policy Better?
It is important to figure out which type of life insurance policy is best for you and your spouse. A term life insurance policy allows couples to continue to financially support the other, should one of them pass. This is an important part of providing for your spouse in the event of an unexpected accident or injury resulting in death. Term life insurance policies are popular among couples because they are simple, affordable and effectively meet a variety of needs.
A joint term life insurance policy allows both individuals to be covered under the same, single policy, under one premium. Like a normal term life insurance policy, this will provide the owner of the policy with the the ability to name who their primary and secondary beneficiaries are. Since this is just like a term life insurance policy, this will last a certain number of years, and if you need to use the policy within that time, the entire premium payment supports the death benefit amount.
Is Joint Life Insurance Right for You?
While joint life insurance policies are excellent options, especially for married couples, there are pros and cons you should consider before deciding if this type of plan is right for you.
- The premiums of joint life insurance policies are usually lower than they would be if you were to purchase a separate policy for each individual.
- It’s important to make sure the company you purchase life insurance from has an excellent rating.
- Make sure to note where and when additional coverage may be required. If you have a joint policy with first-to-die insurance, the survivor should consider purchasing an additional policy to cover expenses. Your agent will be able to educate you on whether or not this is something to consider in your situation.
- Health and age play a large part in your insurance coverage and its cost. It’s recommended to consider this early on and plan accordingly.
If you have remaining questions, an IntelliQuote agent will be happy to help you navigate the often confusing world of life insurance to ensure you get the policy that best meets your need and financial situation.