3/24/2014 - Newlywed discrepancies regarding insurance
Though the summer may be well known for being wedding season, it's usually right around now that prospective husbands and wives begin to make arrangements for their big day, according to experts on the topic. And, while the decision to marry may be among the most important that a man or woman will make in their life, couples often fail to bring up key financial aspects that will affect their day-to-day dealings.
For instance, according to survey data compiled by the National Association of Insurance Commissioners, while six in 10 young newlyweds discuss combining their auto insurance policies prior to exchanging vows, just 30% of them chat about one another's driving records. This can be an important issue to address, as it's one of the factors that insurers use to determine premiums.
Additionally, at 85%, the vast majority of 18-to-24-year-old husbands think knowing about their spouses' pre-existing health conditions is important. Yet when it comes time to determine which person's health plan to assume, only three-quarters broach the topic.
"This survey captures a sentiment we often encounter - that consumers want insurance education, but often don't know where to begin," said Jim Donelson, president of the NAIC.
With this in mind, the NAIC developed a downloadable tip sheet called "Insurance Survival Guide for Newlyweds." It addresses many of the insurance issues that couples will face in the course of their relationships, and how to best approach them.
Of course, married people aren't the only ones who need to put a priority on insurance matters - the same holds true for singles. The Insurance Information Institute released a how-to guide of its own last September on what coverage details singles need to take care of, like homeowners insurance and renters insurance.