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Marriage & Money: What Insurance Should We Look at as a Couple?

If you’re stepping into a new phase of life and taking your relationship to the next level, congratulations! However, love alone is not enough. In fact, your wedding rings should go hand in hand with insurance. While spending the rest of your life with your partner sounds like a dream, life can be full of unpredictability and may throw you unexpected curve balls. Fret not though, for there are ways insurance can help mitigate life’s uncertainties. Read on to find out why you need insurance, and what insurance plans are important for you and your partner.

Why is there a need to purchase insurance?

Marriage is the union of you and your spouse, but this also means that your lives are inevitably intertwined. In short, whatever happens to your spouse will also be your responsibility, and vice-versa.

1.   Creating a life together

Many couples split household expenses after marriage. Unfortunately, some couples lack awareness about the importance of insurance. Your life and debts will be shared with your life partner, and building a life together can be difficult without ample insurance coverage. This is where insurance comes into play – to ensure that you are well protected so you can focus on creating a life together.

2.   Protection for future

Should you pass on first, insurance can help to protect your life partner and make sure that your spouse will not be saddled with debts. Additionally, the insurance payout can also help pay for your spouse’s living expenses.

3.   Assurance to family

Reliable life insurance can help you and your partner manage loss of income and medical fees, in the unfortunate event that one of you becomes terminally ill. With insurance safeguarding your future, you and your spouse can still maintain your quality of life.

Additionally, a full payout will be given in the event of terminal illness or death, and this can help cover expenses for your children and mortgage. This helps ensure that your family will not be burdened with medical costs, and you can also concentrate on recovering.

What insurance should I get?

1.   Mortgage insurance

If you own a home, mortgage insurance is important to ensure you can pay your monthly mortgage. A term policy can help cover your home loan in the event of an unfortunate situation.

Should a mishap arise, your family will have to continue paying your outstanding mortgage, adding on to their financial burden since a mortgage is a huge financial commitment. If your family is not able to continue servicing your loan, your home might even be foreclosed. Therefore, adequate mortgage insurance can help make sure that you and your family can stay financially protected no matter what.

2.   Home contents insurance

While home contents insurance is not a must, it is highly recommended. Home contents insurance can complement your existing fire insurance, and covers what is in your home. Imagine splurging on your renovations and electronics – with home contents insurance, this amount you have invested will be protected.

These include damages or loss to your renovations and home contents in events including theft, burglary, fire, vandalism, bursting of water pipes or tanks, among other things.

3.   Hospitalisation insurance

Most of us would have gotten a health insurance plan when we first started working. This helps to cover most hospital bills when you need medical treatment, safeguarding against rising healthcare costs and ensuring that the hefty hospital bills do not become your spouse’s financial burden.

Check out the best hospitalisation insurance available.

4.   Personal Accident insurance

There are some medical treatments that cannot be claimed through a hospital plan. For instance, if you are hospitalised for less than 6 hours or did not undergo surgery, it’s likely you won’t be able to claim the amount from your hospital insurance.

Treatment for injuries that are not insured within your hospital plan can be claimed from your personal accident plan. This plan is important because some non-hospital treatments can be expensive too. In fact, some people use their personal accident insurance to claim for Traditional Chinese Medicine related treatments for their injuries.

Check out the best personal accident insurance available.

5.   Term insurance

In the event of critical illness, total and permanent disability, or premature death, term insurance comes with a lump sum payout to your loved ones. Even when you’re in such situations, bills will still have to be paid for, and your house’s mortgage will still continue.

Fortunately, term insurance can help replace your income during the period you’re unable to financially contribute. This helps ensure that your family will still be financially stable, and do not have to rely on others for support.

Check out the best term policies available.

Plan for a better future

Insurance can get confusing – even more so when you have to factor your spouse in. However, insurance is essential so as to safeguard your future together. Insurance is one way to do so, to protect your loved ones from life’s uncertainties and to make sure that your spouse won’t be in debt or have to worry about living expenses in the unfortunate event that you pass on.

Pro-tip: Use this Insurance needs calculator to determine how much insurance coverage you need.

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