Getting married is one of the most exciting decisions of your life. It’s a commitment to love and working as a team towards your future.
As well as the magic and romance of marriage, there are a few administrative considerations to take into account too. As you work to blend your households, plan your lives and potentially re-evaluate your finances, don’t forget to update your insurances to reflect your new situation.
Do I need to update my life insurance when I get married?
It’s a good idea to update your life insurance once you are married. The commitment of marriage usually means that you are relying on one another financially and will likely share assets or children. It might be difficult to think about the ‘worst case’ in the first few months of wedded bliss, but you may want to check if your insurances are up to date.
Why update my life insurance after getting married?
Keeping your insurer up to date with major life changes like marriage, births, property purchase or deaths means that they may be able to update your cover to suit your new situation and ensure your loved ones are in a position of strength should anything happen. For example, you may wish to make your spouse a beneficiary of your policy, or increase your benefit amount on certain policies. Some policies even have features which allow you to increase your cover without needing to answer medical questions, if you have a significant life event like getting married. But these features usually need to be exercised within a certain time after the life event, so it’s a good idea to check early so you can leverage the feature before the window closes.
What types of life insurance should married couples consider?
Married couples often consider a range of insurance policies to provide cover in a range of circumstances. These include:
- Life insurance – a life insurance policy means that your family can have some financial stability if you’re no longer around. TAL’s Lifetime Protection policy offers a lump sum of up to $2 million to your Nominated Benefit Recipient.
- Income protection insurance – this provides an alternative source of income if you are no longer able to work due to an accident or illness. Payments of up to 75% of your income can help to keep your household running even if you can’t work.
- Total permanent disability insurance (TPD) – TPD insurance pays a benefit if you’re deemed unlikely to be able to work ever again due to a permanent disability. TAL’s Lifetime Protection policy offers up to $2 million as a lump sum payment to help support you and your family through a difficult time.
- Recovery insurance – standalone Recovery Insurance has a minimum cover amount of $100,000 and a maximum cover amount of $500,000. This pays a lump sum if you are diagnosed with a specified medical condition. The benefit can be used for anything but is designed to help you pay for medical treatment and rehabilitation, as well as giving you the financial breathing room to be able to take time off to recover and focus on yourself. For full details for each condition, and the level of severity required to claim, please read our TAL Lifetime Protection PDS.
Should both my spouse and I get life insurance?
One of the biggest non-financial benefits of life insurance is the peace of mind that it offers, and it can often make sense for both partners to have cover. Although you are married, your partner and you are both unique, so naturally your insurance should be too. That’s why we’ve created TAL CoverBuilder to allow each of you to build your cover, your way. This allows you to tailor your cover amount and select the options that best suit you.
How can I make sure my spouse receives my life insurance?
You can add your spouse to your life insurance by making them a beneficiary – this means they will receive the financial payout should you pass away. Most couples list one another as the primary beneficiary of their policies, but you can nominate more than one person to share the amount in proportions that you choose.
Are there insurance discounts for joint policies?
Some insurers offer joint life insurance policies where more than one person in a couple or family is covered. It’s always worth asking the insurer to find out if you can get a discount on your premium with your partner.
What happens to our insurance if we get divorced?
As with any major life event, it’s important to review your life insurance if you get divorced. You may need to make administrative changes, like updating your address premiums debits if you no longer live together or share a bank account and ensure the policy ownership structure is appropriate following the divorce. You should also review your policies and beneficiaries to make sure they reflect your new situation and get advice from your insurer and your lawyer. Find out how you can take control of your finances after a separation or divorce here.
Life insurance means that for better or for worse, you and the one you love can have choices to help you make the most of life.