There’s a significant age difference between you and your partner
Either of you suffer from health issues
Either of you have children from a previous relationship
In short: Joint life insurance policies tend to be more affordable. Separate policies are more flexible if you and your partner have different needs or want robust coverage for your situation.
This chart can help you decide whether single or joint life insurance is better for you.
What is joint life insurance?
Joint life insurance is a policy that covers two people and pays upon the death of one.
With this kind of policy, the coverage amount and length are the same for both you and your partner.
Pros:
Can be more affordable.
Easier to apply for.
Cons:
Joint life insurance is typically a first-to-die policy.
So while the surviving partner will receive the death benefit if they’re listed as a beneficiary, they will no longer be covered after their partner’s passing.
This first-to-die clause is more likely to be an issue if there's a big difference in ages or health.
The problem for the surviving partner: buying a new policy when you are older will cost more. It's more likely you'll have health issues and this increased risk for the life insurance company means higher premiums for you.
The same problem can apply if you split up with your partner or spouse later in life.
What is single (individual) life insurance?
Individual life insurance is a policy that covers one person and is paid by one person. You're the only one who can cancel your policy.
It's different than joint life insurance, which covers two people with one policy.
It's also different from group life insurance, in which you're part of a group contract and your coverage ends if you leave your job or the group plan.
if you're part of a couple, you can apply for two policies separately or do it together and have your insurer combine the two life insurance policies for you.
This is called combined life insurance.
PolicyMe offers a simple joint life insurance application process. You apply jointly for separate policies; it takes about 20 minutes for each partner to apply online. Customize your individual coverage, then benefit together from special savings in your first year.
What's the difference between single vs joint life insurance?
Here's the difference between single (individual) and joint life insurance, in a nutshell:
A single life insurance policy covers one person, while a joint life insurance policy covers two under the same terms
You and your partner can obtain single life insurance separately, or at the same time through the same company, and have your policies combined
Each single life insurance policy is eligible for one payout
You can also opt for a joint life insurance policy for more affordable coverage
Even though it covers two people, a joint policy only pays out once
Next Steps
Use the criteria above to decide if you and your partner need single or joint life insurance.
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