Congratulations to you on getting married! Now that you’re finally together, you should begin planning some practical details together, such as sorting out your insurance policies.
Considering whether to merge your existing policies is the first step in ensuring that your coverage works well for your new married life.
Considering life insurance policies
Newlyweds should carefully consider whether to merge life insurance policies or keep them separate. The first step is evaluating existing policies and assessing joint financial responsibilities, such as mortgages or debts. Merging policies may simplify coverage and potentially lower costs, but joint policies usually pay out only once. On the other hand, individual policies offer flexibility and can be tailored to each partner's needs. If you plan on starting a family, separate policies may provide more customizable coverage over time.
Considerations for homeowner’s insurance coverage
Deciding whether to merge policies depends mainly on your shared financial goals and future plans. If you and your partner both had individual renters policies before marriage, consider merging them under a single plan for simplicity and cost savings.
However, ensure the combined coverage is sufficient for your new belongings and lifestyle. Homeowners should assess their joint property and choose coverage that protects both assets and liabilities. Additionally, check if the policy covers your belongings during the move.
Combining auto insurance policies
Combining auto insurance policies can offer significant benefits for newlyweds, such as potential cost savings and simplified management.
Merging policies might qualify you for discounts, like multi-vehicle or bundled policies, which could lower your premium. However, before merging, you should compare individual driving records, as one spouse's history of accidents or violations could increase the overall premium.
If your driving histories and coverage requirements align, merging policies could be a wise financial decision. Otherwise, keeping separate policies may be better to maintain lower individual rates.
Health insurance considerations
If you both have employer-provided health insurance, compare each plan's coverage, premiums, and benefits. One partner’s plan may offer both spouses better coverage or more affordable premiums.
Merging under one policy can simplify managing healthcare and save costs if one plan has better benefits, but it’s essential to ensure that it covers both partners' healthcare needs.
Considerations for disability
For newlyweds, if both partners have employer-provided disability insurance, compare the coverage amounts, premiums, and waiting periods.
Merging under one policy may not be possible, but purchasing additional private disability insurance might help fill any gaps. You should ensure you and your spouse have enough coverage to maintain your lifestyle if one income is lost.
Plan your new life with insurance in mind
Getting married is a dream come true. It’s also the time to make the right insurance decisions to protect you and your partner and lower costs.
Whether you need an umbrella policy or want to keep certain aspects of your insurance policies separate, we can help you make the right choice in your new married life. Contact us today to learn more.