Insurance Company Begins Offering Divorce InsuranceMarybeth Sampsel
A recent New York Times article discusses what appears to be the World’s 1st Divorce Insurance Program. SafeGuard Guarantee Corp. is now selling “WedLock Divorce Insurance” designed to cover the costs associated with divorce, such as attorney’s fees or costs associated with setting up a new household.
The New York Times article brings up an interesting point: if marital funds are used to purchase the policy, is your ex-spouse entitled to a portion of the insurance benefit? Since this is the first divorce insurance program in the world, courts have likely not encountered this scenario.
The cost is approximately $15.99 per unit per month and each unit results in $1,250 of coverage, provided the policy has matured. Not necessarily a bad payout if you divorce shortly after the 48 month maturity period. It will be interesting to see if other insurance companies follow suite or if WedLock will fold sometime soon.
Read the New York Times Article here or go straight to WedLock’s website here.