Getting down to insurance as a married couple
Back from your honeymoon? don’t forget about your financial homework!
You’ve both put a ring on it, had a romantic honeymoon, and found your first home. It’s time to get down to what may be less exciting, yet essential - updating your insurance portfolio from your single days.
As a young working adult, you might have started on some financial planning and set aside a portion of your salary for protection needs, such as hospitalisation, critical illness and disability income plans. Now that you are no longer only accountable to yourself, you may want to consider expanding your coverage to ensure protection for your other half against unexpected events.
Here are a few suggestions to ponder.
Protecting your home
Mortgage insurance is a given if you have your own home. Explore a term policy that covers your home loans as well, should something unfortunate arise. You may feel it’s way too early to talk about these things, but having a roof over your head in times of crisis helps in keeping your life grounded.
Home content insurance could come in handy too if certain household items get damaged during renovations, for instance.
Cover your bases with insurance
Make sure you both get enough health insurance coverage, as getting hospitalised when you’re juggling mortgages, loans and other commitments could affect your ability to pay the medical bills. With sufficient coverage, at least the hospital bills are largely taken care of by insurance and you’ll be able to focus on managing your health.
Always set your insurance needs according to your income, whether both of you are working or just as one person, and set your financial goals together.
Insurance plans that include personal accident protection are a must, and it’s useful to cover total and permanent disability and get a higher death cover, so you know you’ve got each other’s back no matter what. Also look at the fine print for plans covering disabilities, as those can be defined differently by different insurers.
Before the stork arrives
If you both already know you plan to start a family, it’s useful to think about maternity insurance or pre-natal care coverage. Don’t wait till you’re pregnant – check them out early, as some of these policies require a pre-determined amount of time to come into effect (which could be before your pregnancy occurs!). These plans may offer benefits for normal delivery or when complications occur, and can help pay for diagnostic tests, pre- and post-natal consultations, coverage for newborns or congenital conditions, among other things.
It would be too easy to continue living the carefree life you had before tying the knot, with the YOLO (You Only Live Once) motto as you go on couple trips. But you’ll never know how your plans might change as you forge through life: it could be supporting your kid’s overseas education or moving into a larger home. Alternative life insurance products such as endowment plans could help, as you potentially grow a sum of money for 15 or 20 years later.
Family insurance plans for all in the family
Perhaps you are already proud young parents with a precious baby. Then, consider family insurance plans which will provide medical assistance for all the family members. You get basic medical coverage that settles expenses for extended hospital stays, and outpatient coverage in case of additional payments when it comes to medical visits or short-term treatment.
Such plans also offer discounts for children, or continuous coverage even after the policyholder’s death. You can possibly sign up for more than one child for free coverage until a certain age, and don’t forget to think about options such as optical or private room cover, or medical conditions such as asthma and diabetes.
Starting your life together can be a daunting task but with the right footing, you’ve got the next steps covered to the best of your ability!
Ready to start?
Speak to the Wealth Planning Manager today for a financial health check and how you can better plan your finances.
Alternatively, check out NAV Planner to analyse your real-time financial health. The best part is, it’s fuss-free – we automatically work out your money flows and provide money tips.