Should I get single or joint life insurance?

We have joint bank accounts, joint medical insurance so why not joint life insurance too?

It may seem like the simpler option to combine everything when cohabiting with someone else but is joint life insurance really the best option? 

If you would both like cover for separate amounts and you do not mind having to make two separate applications and monthly payments then single insurance may be the best option.

Firstly let’s take a quick look at what life insurance is. 

When you have life insurance, if you pass away during the term of the insurance your family will receive a lump sum of money to help them financially. This could be used to pay off the mortgage, keep on top of the household bills or be used towards the cost of your funeral.

You can also choose to have this paid to them as a monthly payment or all in one go.

What is single life insurance? 

As the name suggests this is life insurance cover for one individual person that will pay out in the event of their death only.

Couples can have one individual plan each and can both select different amounts of cover. This can be ideal for couples where one person is the main earner and the other person would struggle without their income. 

Pros – 

  • Different levels of cover for each person. 
  • Two single policies will pay out separately for both policyholders.

Cons – 

  • Unable to combine two separate policies.
  • Two separate monthly premium payments.
  • Can only cover one person per policy. 

What is joint life insurance?

Joint life insurance can be popular amongst cohabiting couples and you do not need to be married to take advantage of this type of insurance.

With joint insurance you have one policy that covers two people for the same amount. This type of policy tends to be cheaper than single insurance as it will only pay out once, normally after the first person has passed away.

Of course this then means that the surviving partner is left uninsured as after the policy has paid out, it is then automatically cancelled. Often this means that for the remaining person to obtain single life insurance it can be expensive due to their age and any health conditions that they may suffer from. 

Pros – 

  • One monthly payment
  • You do not need to be married. 
  • The insurance will pay out no matter who passes away first. 

Cons –

  • If both policyholders pass away at the same time there is only one pay out.
  • Automatically ends after the first policyholder has died leaving the survivor uninsured. 

How do I know which type we should choose?

This is all down to personal preference and your own circumstances.

If you would both like cover for separate amounts and you do not mind having to make two separate applications and monthly payments then single insurance may be the best option.

However if you would like everything streamlined and tied together then joint insurance could be perfect for you.

What is the cost for both options? 

The cost of life insurance varies from person to person based on several factors – 

  • Age
  • Medical history
  • Family medical history
  • Lifestyle – Do they smoke? Do they take part in dangerous sports? 
  • Occupation
  • Alcohol & drug use

Average monthly cost for £100,000 cover  

AGE Under 25 SINGLE £5.89 JOINT £11

AGE 25-34 SINGLE £9.04 JOINT £14.39

AGE 35-44 SINGLE £13.35 JOINT £22.29

AGE 45-54 SINGLE £21.21 JOINT £34.14

AGE 55-64 SINGLE £33.89 JOINT £53.96

NOTE: You can clearly see that in most cases joint life insurance will work out cheaper but it is always important to remember that is because the insurance policy will only pay out once unlike with a single policy where it will pay out for each individual person even if they pass away at the same time. 

To obtain a quote quickly and easily for both single or joint insurance then this can be done online at one of the many comparison websites. 

Save Money on Life Insurance Today

Who is the cover for?

   Just Me Me & My Partner
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