Can I Buy Life Insurance On My Partner If We’re Not Married?
Millennials are waiting longer than previous generations to get married. A Pew Research survey reports in 1963, the average age a woman got married was 21, and the average age for man did was 23. Today, a millennial woman gets married at 27, and men at 29. As society changes, life insurance companies work to keep up with adapting demands. For men and women who wish to take out life insurance policies on partners to whom they are not legally married, many life insurance companies do offer options.
Proof of Insurable Interest
Unmarried couples in long-term relationships may want to have life insurance policies on one another, especially if they share a home and expenses. In order to gain policies, each partner will likely need to show proof of insurable interest to the life insurance carrier. Insurable interest can be verified through documents like:
A lease with both individual’s names
Jointly owning a home or business
Debts naming both individuals (such as a car loan)
Shared children
When Partners Are Denied Life Insurance
While it is certainly easier for unmarried couples to get life insurance than it once was, there are situations where a couple may find it difficult or even impossible to get life insurance policies on each other. Insurance carriers may deny your application if:
You’ve recently started dating
You live in separate homes
You’re not financially dependent on each other
Other Life Insurance Options
In some cases, it is easier to name your partner as a beneficiary than it is to own a policy on the person. When you fill out your application, name your beneficiary as “partner” or “significant other,” rather than “boyfriend” or “girlfriend”.
There’s also an option to name your estate as the beneficiary. In taking this option, write a will that divides your assets to those you want to include, naming your life insurance benefits to your partner. It will take longer, however, for your boyfriend or girlfriend to receive the money as the benefits must go through probate.
Life Insurance When You’re Engaged
For engaged couples, the level of commitment is conserved more serious and is typically not a challenge to buy a policy on each other. Some companies may ask for a wedding date, but it isn’t mandatory.
If you want to buy life insurance on your significant other, speak with a qualified life insurance agent who can explain your options for your current life situation.
