Although times are changing and it is easier than it used to be, obtaining life insurance for same-sex couples can still sometimes seem like an uphill battle. This process can be more complicated than it is for heterosexual couples. Being prepared and finding the right insurance agent will help.
Eligibility Requirements
Life insurance benefits for same-sex couples require certain components to qualify as a domestic partnership. Each of the partners must be 18 years of age or older, not blood relations, independent financially and are together in an exclusive relationship.
Insurance May Be Unavailable
Since employers are not required to cover life insurance for same-sex couples, this benefit may not be an option where you work. If your employer does not offer life insurance for your partner, you will need to apply directly to an insurance company for coverage. However, not all insurance agencies will cover same-sex couples for this insurance.
Special Forms to Complete
Your employer may require you to complete a domestic partnership affidavit or your insurance company may require their own form be completed for partnership verification. Texas insurance agents can explain more about how these forms need to be filled out.
Required Documentation
More employers are providing benefits for same sex couples, but some may have specific requirements. These may include proof you and your partner have cohabitated for a specific length of time, proof of residence, home ownership documents or rental agreements.
Same-Sex Couples Require More Coverage
Same-sex couples will typically need more coverage than heterosexual couples. As all couples do, you’ll want to purchase enough insurance to cover your mortgage, funeral expenses, outstanding obligations you owe, any college expenses for your children and possibly allow for some funds to leave your partner to make up for any lost income. However, unlike LGBT couples, you’ll want additional coverage for items like taxes on your estate, social security benefits and child survivor benefits. The process of getting your property transferred to your partner after your death can be complicated, and estate taxes may be assessed at both a state and federal level. When a person who is part of a legally married couple dies, the surviving spouse can obtain Social Security death, survivor and spouse benefits. A same-sex couple isn’t able to apply for these benefits, and you will need to plan for these costs in your coverage. For same-sex couples, if the surviving partner is not a parent to your child biologically or through adoption, the child will not receive survivor benefits and you will need to allow for this expense as well. Reaching out to an LGBT-friendly insurance company for your life insurance quotes will ensure you get the best deal for your coverage. If you are looking for affordable life insurance for you and your same-sex partner, contact us at ABCO Home Plus Insurance Agency, where one of our agents is ready to assist you.