Isn’t falling in love grand? Valentine’s Day is the epitome of when we think of all the butterflies and things that make love so great. Falling in love changes everything in your life, including insurance needs. That is especially true for couples that plan to take the ultimate plunge and get engaged or married.
Once two hearts become one, insurance can help smooth out the bumps that inevitably arise in a couple’s life together.
For example, coverage can help protect romantic — and expensive — gifts of jewelry such as an engagement ring. You can even find insurance that reimburses losses if the minister suddenly flees and you have to cancel a wedding.
Don’t be stung by Cupid’s arrow this Valentine’s day without a plan. Here’s some tips on how to not let love knock you down.
1. Protecting your sweetheart with life insurance
Purchasing a life insurance policy can ensure your loved one is provided for in the future. There are several types of life insurance, but they boil down to two main categories:
- Term life insurance. A policy that covers a specific period of time — typically between 10 years and 30 years. If you die within that time frame, your beneficiary receives a lump sum of money also known as a death benefit
- Permanent life insurance. A policy that remains active indefinitely for as long as you pay the premium. It pays out a benefit upon your death and allows you to build up cash in a savings account.
A life insurance policy is a necessity for many couples. Often times a family is not able to survive on one spouse’s income alone. Life insurance is designed to protect those we love most in the event that the unthinkable happens. Nothing say “I LOVE YOU” like taking care of your sweet heart in life and in death.
2. Insuring Expensive Bling
Good Valentine’s often show their love by the gift of diamonds, rings, and other expensive things. But did you know that most homeowners policies only cover up to $1,500 in jewelry, guns, furs, etc.?
Don’t fret just yet though. It’s easy to add a Jewelry Floater to your policy. This is also known as an engagement ring policy, a personal article’s policy, or a Jewelry rider-they all mean the same thing! This allow you to insure your ring for the actual amount that its worth.
Curious on what the cost will be? Oftentimes it’s not as expensive as you think. Recently we added a $10,000 wedding band to an insured’s policy and it cost $200 for the whole year.
Each insurance company does things a little differently so ask your agent on the best way to proceed.
3. Protecting Your Big Day
For many couples, new love eventually and inevitably leads to the altar.
Today’s weddings are expensive. The average cost in 2014 was $30,000 and only has increased in more recent years.
Special event insurance – also known as “wedding insurance” – can protect many different things such as reimbursements on deposits with vendors and other nonrefundable expenses if you have to cancel the event due to circumstances such as:
- Bad weather.
- A no-show on the part of a vendor or wedding official (such as a minister or rabbi or brahmin priest or Maulana).
- The death or illness of a family member.
People who purchase wedding insurance also generally have the option of buying liability coverage in case someone is injured at your wedding and liquor liability coverage in the event that someone is injured or injured by someone that may have consumed too much. It’s important to ask about coverage that may be important to you since some have to be specifically requested.
4. Deciding whether to combine car insurance and health insurance
Couples who marry typically sign up for one single car insurance policy. According to statistics, married couples have a lower-risk than their single counterparts. Oftentimes, insurance companies offer a discount to married couples that combine their policies. In some scenarios, combining policies may not be ideal. For example, if one spouse has had a DUI or a history of driving infractions, separate policies might actually be cheaper. It’s important to check with your agent on which option is best for you
So get ready because Valentine’s Day is just about here. Make those dinner reservations, buy those flowers, and make the special person in your life feel loved. From ECI to you, Happy Valentine’s Day!