One in ten divorcees have forgotten to remove their former partner as a beneficiary on their life insurance policy according to research by Legal & General.
The research also says just 7% of couples discussed life insurance during separation, while only 6% formally waived rights to joint cover. Failing to update financial arrangements can lead to costly errors, including ex-partners inheriting unintended assets. The research noted just 11% of divorcees reviewed their Wills, only 4% took out critical illness cover and 3% took out income protection policies post-divorce.
It’s really important for anyone going through a separation to be fully aware of the financial implications of divorce and to consider who they want to benefit from any life insurance.
As with all insurance policies, conditions and exclusions will apply.
