Just Married? A Guide to Combining Your Insurance

Car Insurance

If you are, for example, a single 25-year-old man, insurance companies look at you differently once you walk down the aisle. Married men and women are typically offered 4–10 percent lower premiums than single ones, and many insurers discount rates when you combine your cars under the same policy.²

If you and your spouse have different insurance companies, you may want to ask both companies how much you can save by combining your policies. Even better, you might consider shopping around for multi-car discounts and comparing the quotes to see which company offers the best rates for the coverage you want.

Life Insurance

Life insurance can be an important element of your financial planning strategy. If you already have a life insurance policy in place, you should remember to update your beneficiaries to include your wife or husband.

If you don’t have life insurance or wish to review your policy, there are several factors to take into consideration. Once you’re married, chances are you will be combining your finances. With that in mind, many couples meet with a financial professional to discuss how to build life insurance into their financial planning strategy.

While reviewing your current or new policy, you should make sure that your life insurance covers the loss of income if one of you passes away. If something happens to you, your spouse may find it difficult to meet monthly expenses based on one income. For example, if you move from two separate apartments into a home that you own together, the mortgage could be much higher than you could afford on your own. Taking out life insurance gives you and your spouse a cushion in case the unthinkable happens.

In most cases, the change in marital status positively impacts your life insurance premiums. This means that you may save money when you renew your policy.

Once you have children, it’s time to review your life insurance policy again. At this time, you should add in your kids as beneficiaries and consider increasing your policy amount to cover other costs, such as college tuition.

Health Insurance

Health insurance presents another opportunity to save by combining policies. In some instances, both you and your spouse may have group coverage through your employers. You should consider both the coverage and premium you would pay as a married couple under each policy. Then, it would be wise to choose the most advantageous one and update the coverage to reflect your marital status.

You typically have up to 60 days to make these changes, as determined by the Special Enrollment Period for major life events, like getting married, having a baby, and so on. Check with each insurer to make sure that you make the change within the allowable time frame. It’s almost always cheaper to combine your coverage than to keep separate policies, especially if you already have children.³

For self-employed spouses, it’s typically cheaper to join the policy of a spouse covered by an employer’s group policy. You should consider factors like deductibles and co-pays to help you make the best decision for your new family status.

Homeowners or Renters Insurance

If you don’t already live together, there are a few things to take care of after you combine households. First, it’s important to remember to cancel any home or renters insurance that you won’t need.

Second, homeowners insurance consists of the physical structure—your home, fences, sheds, and unattached garages—and your personal items within the property. New couples should be sure to increase any existing policy limits to cover both spouses’ valuables. In addition, you should make sure to add or include your spouse on the policy that you end up choosing.

Multiline Discounts

Property and casualty insurance companies typically offer more than one type of insurance. For example, consider ABC Insurance, which sells both home and auto insurance. If you and your spouse need home insurance and would like to save money on coverage for your two vehicles, the insurer may offer a multiline discount. To increase your chance of saving, you may want to comparison shop with at least three different providers.