Life Insurance AU For Couples – Understanding Your Options
For most people, life insurance is taken out for their children. However, losing your spouse is also a possibility, which is why you should consider life insurance AU for couples. A protective cover taken jointly will ensure your partner does not suffer financial hardships when you are no longer there to provide for the family. The lump sum payout paid on these policies can go a long way in safeguarding the future of your children and even your spouse. The other major benefit is that these plans are more affordable as insurance companies offer special discounts for couples taking out a joint policy. You can get a discount of up to 5 percent on the cover.
Why you should consider life insurance as a couple
Getting married is an important stage in a person’s life, and it comes with many responsibilities. The new financial obligations that come with the change of status make considering a cover a prudent move. Some of the key obligations that couples face include:
Mortgage: once they have tied the knot, most couples will consider buying a home. Mortgage payments therefore become a huge financial commitment. If you are sufficiently covered under your life insurance policy, your spouse will not face hardships once you’re gone. This means your family will still have a roof over their heads.
Dependent children: indeed, the birth of your first child is an exciting experience, but it also comes with lots of changes, especially financially. It is wise to think about what would happen in the event that one of the parents passes away. It is not a pleasant thought, but life happens and it is safer to anticipate such outcomes. Children depending on you will need school fees, food, clothing, and money to cover medical and other bills.
Other bills include car loans, personal loans and credit card debt. A joint policy will ease the burden of these financial obligations.
Considerations when taking out the cover
Bread winner
Income streams differ among partners; there is one who will earn more. A greater sum needs to be insured for the bread winner.
Duties of both partners
Even in the event that one partner does not work, he or she plays a role in the home and this can be appropriated in monetary terms. You need to consider the number of hours invested in carrying out these chores and how much it would cost to pay for them. The normal daily tasks include: house cleaning, mowing the lawn, taking care of the kids and many others. You need to assess how your finances will be affected if the spouse left had to handle these responsibilities alone. This should help guide you on how much insurance you need.
Benefits of a joint policy
A joint policy with your spouse is affordable and you can take advantage of lucrative discounts. Both parties also have peace of mind knowing that they are covered and the future of their children and dependents is safe guarded. Always remember to check the policy features for couples as different insurance providers will have different rates and discounts. Visit us to get more ideas about life insurance
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Life Insurance AU For Couples is a post from: http://www.mecovered.com.au.
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