SPOUSE SUPPLEMENTAL LIFE INSURANCE POLICY:
Insurance companies are basically salespeople. The mark of a very good salesman is that they like to slowly touch people’s pain points so that they would buy what you are selling. A supplemental life insurance policy is also the product of those salesmen’s minds that know what people want. Apart from the basic requirement of a roof over your head and food on the table what people crave the most is love. Love that will brighten their whole life, love that will make them whole, love that will take care of them. These salesmen know that and will try to play with your heartstrings by offering an insurance add-on that will also cover your spouse or domestic partner.
WHAT IS A SPOUSE SUPPLEMENTAL LIFE INSURANCE POLICY:
A supplemental spouse life insurance policy is basically a supplement to your existing life insurance policy where your spouse is also covered in your existing plan. This is one of the type of supplemental life insurance policy. You do of course have to pay for it every month.
SHOULD YOU GET A SPOUSE SUPPLEMENTAL LIFE INSURANCE POLICY:
Even though it might sound tempting to get a supplemental spouse life insurance policy, it is not recommended as the payout you will receive will not be enough to cover the potential earnings your spouse may have had, even if they are a stay at home parent. If you do go and bite the bullet on it is highly recommended you get any supplemental life insurance policy out of work in a private capacity so that in case you do lose your job, the premiums you have paid do not go to waste
WHAT SHOULD YOU DO INSTEAD?
Supplemental life insurance is mostly not recommended. Instead what we recommend is that you take out a proper life insurance policy on your spouse. This will ensure you get the fair payout. Supplemental spouse life insurance will only get you a small portion of your spouse expected lifetime earning while a proper life insurance policy will be able to get you at least 10 times that so do choose wisely.
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