Financial Consumer Agency of Canada
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Financial Consumer Agency of Canada

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Couples and Insurance

As you and your partner get married or move in together, your insurance needs may change.

Life insurance

If you have made long-term financial commitments together such as having children or purchasing a house, consider what might happen if one of you were to die.  Would the surviving partner be able to pay for these long-term commitments all by him or herself? Many couples purchase life insurance as a way of protecting their surviving loved ones from the possibility of financial distress.

When considering buying life insurance as a couple, first look at what coverage you may already have. For example, some people have coverage through their benefit package at work.

If you decide to purchase insurance, there are two common policy options you should know about: joint first-to-die term policies and single term policies. Before purchasing either, make sure you’ve fully considered the potential benefits and drawbacks of each:


  Joint first-to-die term insurance

  • insures two people under one joint policy
  • gives each partner the same coverage
  • is usually less expensive than two identical single policies
  • is sometimes less flexible than single policies if the couple separates or gets divorced—often this type of policy can’t be divided
  • usually pays only one death benefit— if one partner dies, the other needs to apply for a new policy if they want continuing coverage.

  Single term insurance

  • provides each partner with their own policy with their own coverage amount
  • is usually more expensive in total than a joint first-to-die policy
  • makes it relatively easy to change the beneficiary if the couple separates or gets divorced.

Property and casualty insurance (home and automobile)

As your living arrangements change and your relationship develops, re-evaluate your property and casualty insurance coverage to make certain that it reflects your needs. For example, if you and your partner will now be sharing your automobile, make sure your auto insurance policy has your partner listed as an alternate driver. If your partner is moving into your apartment, check with your tenant (renter’s) insurance provider to be sure that your partner’s belongings will be covered by your plan.

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Date Modified:
2012-03-21