#1 Your situation

Insurance 101-Couples

As a couple, your insurance needs may be quite unique. Whether you’ve just moved in together or have been living together a while, there’s a lot to think about to make sure both of you are covered.

Couples Insurance

The first step in establishing your financial security is to confront the biggest threats by asking yourself some tough questions: What would happen if you, or your partner, became sick, injured or died? All of those situations can be devastating to your financial ‘health’. That’s where insurance comes in.

Could you afford it?

If either one of you became terminally ill or passed away, could you or your partner afford to stay in your home without the others income? Could you afford to pay your partner’s share of any outstanding debt? Would you have the financial resources to cover sudden medical costs, or funeral expenses? 

Life Insurance

Life insurance can provide the cover you need for all these situations. It’s a simple, well priced and would pay out a lump sum if you die or become terminally ill.

Trauma and Disability

Trauma and or/Disability Income insurance are also important considerations. Everyone knows someone who has suffered with cancer, heart disease or a stroke and as a couple, a traumatic event like this can be financially devastating. Could you afford to pay your, or your partner’s, rehabilitation? Trauma Cover provides cover for many common, yet serious conditions (not necessarily terminal) by providing a lump sum payout to pay for those unfunded medical costs, assist recovery, offset lost income, pay off sundry debt, etc.

Disability Income insurance will replace a portion of your income if you are unable to work due to a disabling illness or injury. Why is that important? Could either of you cope with paying the day-to-day bills alone? Could you still pay the home loan, or rent, on one income? Would you still be financially able to keep doing the things you love to do?

Medical Insurance

Many couples also consider Health Insurance an important investment in peace of mind – giving you the confidence to handle the medical life’s ups and downs or unhappy surprises together. Whether you’re planning to start a family, or face short or long term illness of your partner, having private couples health cover is knowing you’ll be covered to take on any health issue that may come your way.

There are many reasons why couples take out private health insurance. Typically, they are seeking peace of mind – the security of knowing they can get immediate access to the right level of care and treatment that they require, while being financially protected.

The focus should be on quality hospital cover, rather than the ‘extras’ like obstetrics, fertility treatment, prosthetics, hearing aids, GP and prescription costs, etc. 

Insurance from your employer

Many larger employers and some smaller ones also offer various types of insurance under a Group Plan. If you think you need more, it may be worth buying additional coverage through your employer, if available

Unlike group coverage, privately owned insurance stays with you even when you change jobs, but most group insurance plans allow you to “convert” your cover within 30 or 60 days if you leave your employer.

Emergency Fund

 Regardless of whether you decide it’s best to have insurance or not, you’ll want to create an emergency fund equal to 3-6 months worth of basic living expenses. For help with building an emergency fund, visit the Sorted website.