Americans are waiting longer to get married. This doesn’t mean that today’s couples love each other less than generations past. Most couples are postponing marriage because they want to be financially secure first. Part of being financially secure is owning life insurance.
It’s very common for married couples to purchase life insurance on one another or name each other as beneficiaries of their policies. When you buy life insurance on someone, you need to have consent and insurable interest. Insurable interest exists when one person financially benefits from another person living. Essentially, they are worth more to you alive than dead. With married couples, it’s obvious that they have an insurable interest in one another. They live in the same house, both contribute toward bills and maybe raising children together.
The life insurance industry changes and adapts to keep up with societal norms. According to the U.S. Census Bureau, the number of U.S. adults who are unmarried yet cohabitating has risen 29 percent since 2007. For couples that aren’t married but want to buy life insurance on one another, you may need to check a few more boxes, but it isn’t as difficult as it used to be.
Buying Life Insurance on Your Fiancé/Fiancée
Being engaged shows a higher level of commitment and financial dependency than dating – in the eyes of the life insurance company. It’s typically not an issue for engaged couples to buy life insurance on one another. Some life insurance companies will want to know that a wedding date is set, but this isn’t always required.
How to Buy Life Insurance on Your Significant Other
If you’re looking to get life insurance on your significant other or name them as the beneficiary of your policy, BestWayInsurance can help. We have helped many married and unmarried couples purchase life insurance. Start the process by running a free and anonymous term life insurance quote.
If you want to buy life insurance on your significant other, be sure to complete the online quote and application using their information. (Remember: You can always contact us directly if you want one-on-one assistance.) After running quotes, when you’re ready to apply you will be brought to a page that looks like the screenshot below.
You can see it asks that you fill out the form with the insured’s information (your significant other.) The life insurance company will need to personally contact the insured (your significant other) to verify application information and, if necessary, to schedule the medical exam.
Remember, you can’t just buy life insurance on anyone. Consent is required. If you believe life insurance is important for your significant other, but he or she doesn’t agree, you can’t just buy it on them anyway without their knowledge. If you’re having trouble getting them to understand the importance of life insurance, check out our blog post How Do I Get My Spouse to Buy Life Insurance? There are some tips that may be helpful. We look forward to helping you and your loved one buy life insurance.