7 Questions Newlyweds Have About Life Insurance

As newlyweds, you are now planning for your life as a family, you are now entertaining the thought of having investments that would help them secure their future. Some are considering having life insurance that would serve them in life and the future. 

If you are having thoughts about having life insurance, check this list of questions that you may have in mind to help you in your decision as newlyweds to have one.

1. When Should Couples get Life Insurance? 

Newlyweds who plan to have a family are often put off buying life insurance until they have kids on the way. But experts say the better time to buy is usually earlier. This would help you in setting up your financial goals and have something that they can depend on. By buying a life insurance policy as newlyweds, you’re likelier to start having meaningful conversations about your financial future head-on.

2. How Many Policies and of What Type?

Your life insurance decisions in marriage begin with the question: one policy or two? Two is the more common choice, and the cons to a joint policy outweigh the advantages for most newlyweds. A joint policy may make sense for young families looking for income replacement to maintain the same lifestyle or for those looking to facilitate the estate planning process

As for the variety of policies to buy, newlyweds’ primary options, are either term or permanent. Term life insurance, which provides coverage within the selected term, typically between 10 to 30 years, is the most convenient and affordable type across the board. On the other hand, lifetime life insurance provides permanent coverage with a guaranteed death benefit.

3. How Big Should the Benefits be?

The most common formula for buying life insurance is to purchase coverage somewhere between 5 to 10 times your salary — which, for a couple, would be the multiplier of your combined annual salaries. However, a better way to determine the right amount of life insurance should not be formulaic but based on each couple’s financial situation.

You can start by taking inventory of what you’re trying to protect, whether that be your home, business, family, or your child’s college education. From here, you consider the options available to you and compare premiums.

4. How Long is the Coverage Needed and When to Start?

The period over which a couple needs to be insured should also be tailored to their financial plans. Always keep in mind that the younger you are when you buy life insurance, as a rule, the lower the premium will be. That’s the case not only at the start of the policy but throughout its term because premiums are locked in for the entire period.

The early start, the better the coverage because it will help you in the long run, especially when you get older. Let’s face it, the older you are, the more likely you are to develop medical conditions that could further add to the effects of age in raising your premiums.

5. Do I Have to Change my Life Insurance From Time to Time?

Having life insurance as newlyweds doesn’t lock you into the same coverage forever, or even for the term of the policy. If your finances dramatically changed, you’re free to cancel your policy before the term is up. Always review your policy whenever you experience a major life event that might require additional coverage.

6. Does Life Insurance can Help Protect My Spouse? 

Your spouse might not completely rely on you financially. Also, a nonworking spouse could probably find employment if something were to happen to you. If in case you’re the primary breadwinner or not, life insurance could still help protect your spouse by providing additional financial stability. The purpose of life insurance is to help protect the ones you love, even when you’re no longer here. It’s one of the reasons that marriage is a life event that could prompt you to reevaluate your insurance needs — and update or take out a policy that could help provide for your spouse.

7. Do you want Joint Life Insurance or Separate Policies?

Your future family’s well-being is a motivating reason for most to get life insurance to cover different expenses that would come along the way so that your family can continue to survive in a long run. Joint life insurance policies are geared toward married people and are beneficial for couples. There are advantages and disadvantages to both individual and joint life insurance policies. The best option is the one that fits your family’s finances and needs for the future. But before making any decision, always consult your financial advisor before making any final decisions on which type of insurance you are going to have for your family.

Making a big decision to have life insurance as newlyweds is something worth discerning and Manila Bankers Life to help you show your love to your spouse as you now begin a lifelong chapter that you will enjoy together. For more information, please visit Manila Bankers Life‘s website: https://manilabankerslife.com/products.html