How to Get Spouse Life Insurance: The Ultimate Guide (2022)
Obtaining life insurance for your spouse is a critical step in protecting your family’s financial security. If something happens to your spouse, you will need money to cover funeral expenses and other costs. This guide will walk you through the process of getting life insurance for your husband or wife. We’ll discuss the different types of policies available, how to get the best rates, and more. Let’s get started!
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what is spousal life insurance?
Spouse life insurance ensures that if something happens to either spouse, the other spouse will be financially well off. is a simple and affordable way to do it.
Reading: How to take out life insurance on spouse
It doesn’t matter if a spouse or partner earns income. For most families, both spouses contribute in other ways, like providing services or helping with children.
If your spouse was no longer in the picture, you would have to pay for cleaning, laundry, meals, and transportation for the kids.
If your spouse or partner were to pass away, life insurance would give you the money to hire people to do the things you used to do every day.
why buy life insurance for your spouse?
When you think about the income and services your spouse provides, it can be hard to figure out how you would finance replacing that income or paying for those services if something were to happen to your spouse.
- income replacement : Most family members work to provide money for living expenses. this includes the mortgage or rent, normal living costs and debt payments. people also save money for college tuition and retirement.
- replacement of domestic services – usually when a couple has children, they do the housework, or one spouse does most of the housework. if one of the spouses dies, the other must do all the tasks himself or hire someone to do it for him. This includes taking care of the children, taking them to school and daycare, providing meals, doing laundry, and many other things.
- Planning for College, Debt, and Retirement: When two people share income, they usually share expenses as well. for example, most couples will make sure the other person can pay the mortgage and car loans if one of them dies. and when one spouse dies, the other is responsible for the family’s debt and future costs, such as college and retirement. this is true even if only one person works. That’s why you should always consider getting life insurance for your spouse from day one.
- first to die means that when one person dies, the company will pay the death benefit to the other person listed on the policy. As of now, it can be difficult to find this type of policy.
- The second to die policy is different because the insurance company will not pay the death benefit until both insured persons on the policy have died. As a result, this policy is established to benefit survivors, usually children, rather than a spouse who is insured on the policy.
- aig: Allows a stay-at-home spouse to purchase up to $1,500,000 of working spouse coverage.
- sbli: Allows a stay-at-home spouse to purchase up to $2,000,000 in coverage.
- lincoln financial: allows a non-working spouse to obtain coverage up to the same amount as the working spouse.
- Pacific Life: Allows a stay-at-home spouse to purchase up to 100 percent of the working spouse’s policy. the limit for this is $3 million for people age 70 and under.
- Primary: Allows a stay-at-home spouse to purchase up to $1,000,000 of working spouse coverage or up to $2,000,000 with extended terms and conditions.
- Prudential Life Insurance: This allows a stay-at-home spouse to purchase up to 100% of the coverage of the working spouse. the maximum coverage will be considered on a case-by-case basis.
- Mutual of Omaha: This allows a stay-at-home spouse to purchase coverage that is the same as the working spouse’s coverage, but is capped at $2,000,000.
Do both spouses need life insurance?
Almost everyone should buy life insurance. If you have a lot of money saved, it might make sense to spend some of that money on life insurance, but it’s generally better to keep that money saved so you can have a comfortable retirement.
When you think about it, it doesn’t make much financial sense to offset the interest you’d lose if your assets weren’t available for a term life insurance policy.
if you consider the interest lost when an asset becomes unavailable compared to the premium on a term life insurance policy, compensation doesn’t make financial sense.
Another thing to consider is that many parents want their children to have better opportunities than they do. Unfortunately, this usually starts with a college education, which can be expensive even if the child wins scholarships.
5 ways to buy life insurance for a spouse
There are five different ways to get affordable life insurance for your spouse:
group life insurance through your employer
In most cases, a full-time employed spouse can obtain life insurance from their employer. insurance is free to the employee or offered at a greatly reduced rate.
One of the benefits of getting life insurance through your job is that it involves little underwriting. this means that the insurance company will not consider your health when deciding whether to give you a policy.
many companies will restrict the amount of coverage they are willing to pay to a multiple of your annual salary (1 or 2 times) depending on your seniority and position.
a conjugal clause
Usually, if you’re employed by a company, you can add your spouse to your life insurance policy for a discounted rate. this is called a spouse clause. most companies offer this benefit.
There are limitations on the amount of insurance you can have for your spouse. Generally, the additional insured must be married to the primary insured.
life insurance market
It often makes more sense to buy insurance on the open market than through an employer. Most group life insurance policies are non-transferable (you can’t take them with you if you leave your job).
If you want more life insurance than your employer offers, it may make financial sense for you and your spouse to buy a policy from a private insurance company. This is because private companies tend to offer more policies than employers.
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You can easily purchase an affordable life insurance policy online at annuityexpertadvice.com. You can also contact an insurance professional to help you shop for a life insurance policy. The Annuity Expert is an independent insurance agency that represents many different life insurance companies. can provide you with quotes from each company with a minimum of information required.
the annuity expert can offer life insurance policies in the united states. These policies can be traditional, without a medical exam or issued with a guarantee.
separate individual life insurance policies
many couples have chosen to have different life insurance policies. For example, some couples prefer to combine cash value policies with term policies to reduce the total cost of life insurance while building interest-bearing cash value.
Some couples prefer to have their life insurance policies instead of getting life insurance through a spousal clause. This is because they don’t want to accept the limitations of getting life insurance this way.
joint life insurance policies
Joint life insurance is a policy that covers two people and is popular with couples. however, it is not always the cheapest way to purchase coverage.
Joint life coverage is a type of permanent life insurance. this means the coverage will build up cash value slowly over time, and interest earned on this cash value is tax-deferred.
Most policies have optional riders that can be added for an additional fee. this allows the applicant to have more coverage and benefits.
there are two joint policies: die first and die second.
separate life insurance policies vs. joint
There are two main ways to get life insurance for your family. one is buying a policy for each spouse or partner. the other is to get a joint policy. a joint life insurance policy may be better in some cases.
Joint life insurance policies generally offer permanent coverage and, in some cases, can be cheaper than getting separate permanent policies.
Joint coverage is generally only offered to married or domestic partners.
Another thing to think about when choosing a life insurance policy is whether a first-to-die or second-to-die policy would be better for you.
A first to die product will be the best option if you want your spouse or domestic partner to receive the money when you die. on the other hand, a second-to-deceased policy will be better if you want the death benefit to go to someone else, like your children.
When shopping for insurance, talk to one of our agents about your needs and situation. this will help you get the best advice on which policy would be best for you.
what type of life insurance policy is best for you and your spouse?
term life insurance
Term life insurance is likely to be more affordable than permanent insurance. permanent insurance usually has a higher monthly premium.
accidental death insurance
No life insurance costs less than term insurance. the only exception is an accidental death policy, which provides limited coverage.
whole life insurance
A whole life insurance policy is permanent, which means the insurance company cannot cancel the policy as long as you continue to pay your premiums. premiums also help build a cash value account, which earns tax-deferred interest.
You can access the money in the cash value account through policy loans, cash withdrawals, or policy delivery for cash.
key steps to buying life insurance for spouse
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Buying life insurance for your spouse is like buying life insurance. There are four important things to think about:
calculate how much insurance you need
You should find out how much life insurance coverage you need before you buy it. this will depend on your circumstances and budget.
You have to think about what you need in case something happens. For example, you and your spouse may not have enough money if something bad happens if you don’t plan.
decide on the type of spousal insurance.
Remember, term insurance is temporary. they don’t give you your money back when you’re done with it.
Whole life insurance is more expensive than other types, but it lasts a lifetime. you can also access the cash value you have saved if you need it. therefore, whole life insurance can be viewed as an asset.
determine if a medical exam is needed
Nowadays, many insurance companies offer life insurance without a medical exam. however, this does not mean that they are accepting a risk because technology has made it possible to know their current and historical health by accessing a national database known as mib.
many life insurance policies do not require a medical exam.
choose a beneficiary
There are many people you can choose to receive your money when you die. for example, you can choose your spouse, your children, or a charity.
You should choose your beneficiary based on your insurance needs and update as needed. you can choose as many beneficiaries as you like, and you can also choose contingent beneficiaries in case your primary beneficiaries die before you.
life insurance for stay-at-home spouses
people who don’t work still provide important work. this includes taking care of their children and doing housework. this would normally have to be done if they were not present.
Even if someone doesn’t work, they still need life insurance.
Different couples need different life insurance policies. experienced professionals can help you find the best policy for you and your spouse. They’ll discuss your individual needs and come up with a plan that works for both of you.
spouse life insurance companies
need help getting life insurance coverage?
Contact us if you need help buying a life insurance policy. the service is free.
frequently asked questions
what kind of life insurance should married couples get?
The type of life insurance you should get depends on what you need it for. For example, if you want affordable life insurance to help replace your income or pay someone to do things for you if you die, we recommend term life insurance.
If you want to buy permanent insurance, which will gradually build cash value that you can access if you need it, we recommend permanent or universal life insurance. These policies are a good option for people who have more money to spend each month.
How much life insurance do married couples need to protect their families?
If you’re married, it’s a good idea to have life insurance. This will help the surviving spouse continue to pay living expenses, pay off debts, and pay for their children’s college education. Also, you might be better off considering investing in your surviving spouse’s retirement.
can you insure your spouse’s life?
Since you have a close relationship with your spouse, and your spouse agrees, you can purchase life insurance on them. This type of insurance is called life insurance, and it will help protect your loved ones financially if something happens to your spouse.
Do spouses need the same life insurance?
The right life insurance for each spouse depends on what the surviving spouse needs. Generally, each spouse’s life insurance should cover the financial losses the survivor would face.