Combining Your Insurance Benefits When You Marry

Marriage brings together two people’s families, furniture, finances and more — and all of that can be a bit overwhelming. As you approach the big day, you’re probably not thinking about merging your investment portfolios, adding your spouse to your health insurance after marriage or melding your car insurance policies. 

But research and work through these important financial decisions sooner than later so you can take advantage of the best options at the lowest cost. Figuring out how changing health insurance after marriage and which health insurance options are available to you is especially important. 

Financial Benefits: Things to Do After Getting Married

Whether or not you combine bank accounts, it’s critical to have a thorough overview of each other’s employer-sponsored health insurance and other financial benefits. 

So, here’s a checklist for where to start — and what questions to ask — as you contemplate your joint insurance policies together.

1. Review Employer-Sponsored Benefits

Start your married financial journey by studying your employer-sponsored (or self-employed) retirement options. Look at the plans’ performance since you’ve contributed, investment types and loan options. Figure out whether one partner wants to join the other’s health insurance, so you know whether you want to add a spouse to health insurance after marriage, then find out the process for doing so.

2. Compare Employer 401(k) Matching

Some employers will match employees’ 401(k) contributions up to a certain percent. Ideally, both spouses should make the maximum matched contribution. However, if necessary, always prioritize the spouse’s plan that has a higher percentage employer contribution match — that will help maximize your savings in the long run.

3. Update Your Beneficiaries

If you haven’t already, add your spouse as a beneficiary for any employer-provided benefits, like retirement plans and life insurance.

4. Sort Out Your Health Insurance

You might be wondering if you’ll lose your insurance if you get married. Thankfully, the answer is no: Your health insurance after marriage won’t suddenly disappear, and because marriage is considering a qualifying life event, you may now qualify for a special enrollment period. However, there are some financial considerations to think about.

In many cases, being on the same policy, whether for car insurance or health insurance, offers substantial cost savings. Let’s look at three important scenarios you’ll want to consider combining insurance policies after marriage.

Combining Health Insurance as a Couple

You can usually only change your health insurance plan during the 45-day open enrollment period at the end of the year. However, marriage counts as a “qualifying life event” — and that gives you the option to add a spouse on your current plan within a certain time frame (generally 60 days after the wedding).

Use that time to weigh plan options, coverage differences and potential savings. Having two people on the same plan tends to be cheaper than maintaining two individual plans, and will probably be less confusing, too.

Combining Life Insurance for Married Couples

It’s possible you have a basic life insurance policy through work. Or maybe you have an additional term life insurance or whole life insurance policy. Couples, married or not, can have individual life insurance policies, but you might want to consider a joint life insurance policy. This coverage is generally less expensive because there’s only one benefit payout. It’s also harder to find, and considered a niche product, so talk to your financial advisor if you’re interested.

Combining Car Insurance After Marriage

Married people typically pay slightly less for car insurance than single people. And you’ll likely earn a better rate and save money with two people on your policy if you both have good driving records — reach out to your Farm Bureau agent about multi-car discounts. Bonus: You’ll have one fewer bill to keep track of.

The Perfect Partner for Your Partnership

As you navigate the newlywed world, your Farm Bureau financial advisor can help you build a solid financial future. Reach out or find a financial advisor today.