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Ask the insurance expert

Life insurance if we are living together?

Thursday, 27 Mar 2008 16:19
A reader from London wants to know if she should get life insurance after moving in with her boyfriend.

Our team of experts at insurance company LV= offers a helping hand.

Carolyn from London asks:

Is it worth getting life insurance if you're not married but cohabit?

Lucy at LV= responds:

If you cohabit with a partner and have a mortgage in joint names, it is certainly worth getting some life insurance cover.

Should the worst happen, life insurance cover will pay out either a lump sum or a regular annual income to cover financial liabilities and commitments, the major one usually being your mortgage, so that your partner will be able to continue to make the repayments, as well as being able to afford to cover any other financial costs.

You may get a form of life insurance through you employer, sometimes called ‘death in service benefit’, which can pay out a certain amount depending on annual salary.

However, this may not be enough to cover all financial commitments, and one thing to consider is whether your partner would benefit from funds to cover any lost income, or dependent children to ensure their standard of living is maintained.

Often people don’t realise just how affordable life insurance is, as well as accessible.

You can buy life insurance online, over the phone, or with the help of a financial adviser, and choose to pay a guaranteed premium each month, which means that the amount you pay will never increase during the lifetime of the policy.

If you have a question for LV=, go to the myfinances.co.uk Ask the Expert section.

For more information on the issues discussed here, go to LV=.

Liverpool Victoria Insurance Company Limited is authorised and regulated by the Financial Services Authority and is a member of the Association of British Insurers (ABI).



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