Should It Be Single Or Joint Life Insurance?

With the Spring the traditional start of the wedding season, Confused.com is reminding people to consider life insurance cover as well as the delights of the wedding dress and the honeymoon, but should it be single or joint life insurance?

For many it is widely noted that January is a popular month for divorce as couples make a fresh start.

However, perhaps more positively as we move to spring, many focus on the wedding season and all the love and excitement that brings.

Of course planning a wedding entails a lot, from the wedding dress, to the wedding reception to the honeymoon. But amongst all this there are also personal finance matters to consider.

In this regard, as Matthew Lloyd, head of life insurance at Confused.com, says “It’s vital that couples talk about life insurance protection as well as how to manage day to day banking and finances.

In addition to ensuring they have protection (69% of those in a relationship or who are married don’t have any life insurance cover) it’s important to consider whether to opt for two single policies or one joint policy.”

Joint term life insurance policies have lower monthly premiums and are available from £5.00 a month. That said, if a relationship breaks down it could leave a partner without cover although some providers offer the option to split joint policies into two single policies if a couple decides to separate.

Mathew Lloyd comments “Taking out two single policies can be beneficial in the event that a relationship breaks down. Unlike a joint life insurance plan, two single plans are already separate.

This means that your plan wouldn’t have to be cancelled in the event of a divorce, and you wouldn’t have to take out a new plan, which could be an issue, especially if you’re older or have suffered health problems. It also means that should the worst happen to one partner, there is still cover in place for the other so that future dependents can be protected.”

Using the example of a male and female both aged 32 (both non-smokers looking for £100,000 level term cover), two single policies are available from £10.31 a month; only just over £3 a month more for both single policies than a joint policy priced at £7.09.

Ultimately, as with any insurance, the vital point is that you take the cover out that meets your specific needs. You can compare life insurance policies on Confused.com to help you get the best cover at the best price.