A divorcee, John Logan, knows all too well that divorces bring out the worst in people. Logan is the founder of “WedLock,” a company providing divorce insurance to couples. He described his own divorce as “world-class ugly.” Most couples do not plan on getting a divorce in the same way as they plan their wedding day. However, divorces are prevalent in today’s world. In addition, a divorce often causes immense financial and emotional strain on the divorcing parties. But the question remains, is divorce insurance the answer?
WedLock provides divorce insurance to individuals for as little as $16 per month for one “unit” of $1,250 in divorce coverage. For greater coverage, you can increase your “units” of coverage at the same rate per month. In addition, as long as you pay your premiums, the company will increase your coverage $250 per year. If you meet the eligibility requirements upon a later divorce, the insurance company pays out the current value of the policy. This money can then be used to help you defray the costs associated with your divorce.
A prenuptial agreement can also provide you with protection in the event of a subsequent dissolution of your marriage. A prenup is a contract between the two prospective spouses. The agreement can cover issues relating to division of assets upon divorce and your marital property rights and financial responsibilities during your upcoming marriage.
For more information on how a well drafted prenuptial agreement can help protect your assets, please contact us. Please remember that each individual situation is unique and results discussed in this post are not a guarantee of future results. While this post may include legal issues, it is not legal advice. Use of this site does not create an attorney-client relationship.