Divorce insurance

[lbourg]

Hello,

I'm a freelance journalist based in Toronto, and I'm currently working on an article about the newly-available divorce insurance: Divorce Insurance: Getting a Payout After Marriage Ends - TIME

Basically, this insurance pays out just like any other insurance - you contribute a monthly fee, and if you get divorced after four years of marriage you earn a premium.

I'm trying to gauge interest in Canada, where it is now also available. Do you wish you had divorce insurance? Would it have made things easier? Or do you think it would have been a waste of time?

Thanks!

[blinkandimgone]

No I wouldn't have been interested in it before, during or after my marriage. Waste of time, energy and money. I'd pay the money into my childrens' education before paying into something ridulous like divorce insurance. Another bright idea on how to take people's money from them - no thanks.

[rwm1273]

If people are willing to buy this, then how committed are they to marriage in the first place?

It may be a good idea, and would have helped me, but I would never have been able to pay for it out of a moral objection.

What would be the premiums and the payouts? I was married for 10 months to my difficult ex, and have wasted over $200K in legal expenses in the past 7 years.

Are the funds valid for criminal as well as family law issues? How about just a lump sum to pay for debt or equalization payments?

[InterprovincialParents]

I tend to think it is a good idea, depending on the cost...if it is like my life insurance, for which I pay under $25/month, that is affordable...as long as payout rates are enough to cover ALL legal and other fees and costs included with the divorce, and provide an immediate access to funds for costs from date of separation.

[InterprovincialParents]

It is a bit like life insurance for children...you hope you never need it, but it is there if you do

[InterprovincialParents]

Prenup costs less though

[InterprovincialParents]

I just got screwed over by my insurance company on a break-in though, so I think it'd be pricey as hell, and a lot of rigamarole and hoop-jumping to settle a claim!!

[rwm1273]

So long as the prenup is accepted by the courts. Recent court action is showing that the prenup may not be binding.

[dinkyface]

OK really, so the insurance underwriter agrees that
You give me $X/month.
I'll give you $Y if you get divorced.

Then you 'cause' the divorce. Could be adultery, or could be choosing poker with buds over watching SoYouThinkYouCanDance with wife (just making a point on what means 'cause').

You think the underwriter is willing to pay out $Y?

[blinkandimgone]

Originally Posted by InterprovincialParents

It is a bit like life insurance for children...you hope you never need it, but it is there if you do

Perhaps, but many life insurance policies for children have the option to roll the funds over to their post secondary education when they get there.