life insurance on your exAccording to the Department of Works and Pensions, the number of arrangements using the Child Maintenance Service to pay Child Maintenance in Great Britain has increased from 463,300 in December 2018 to 475,400 in March 2019. 

The Child Maintenance Service is for separated parents who can’t arrange child maintenance between themselves. The Child Maintenance Service can calculate the amount of maintenance to be paid and parents can then arrange the payments between themselves. This is called Direct Pay.

From this we can easily assume that there are well over half a million parents in the UK reliant on a monthly income in the form of child maintenance from their ex-partners. If you’re one of these co-parents then you should consider taking out life insurance to cover your ex-partner’s life.

What is life insurance on your ex?

You can take out an insurance policy that pays a lump sum, or one that pays you an income for a specific length of time. The recommended length of time would be until your child maintenance payments were due to end. This is when your child leaves full-time education (up to and including A Level) or reaches the age of 20.

Life insurance that pays an income rather than a lump sum is called ‘family income benefit’ insurance.

It is important to recognise however that premium costs are vary significantly between insurers.

You can compare family income benefit quotes free of charge using FCA registered broker; Reassured.

What if you don’t get a regular child maintenance payment?

Even if you’re not in receipt of child maintenance but there are things you informally share the cost of such as school fees, childcare costs or even if it is likely that you would share the cost of driving lessons or the purchase of a first car in the future, then you can demonstrate “insurable interest”. This means that should your ex pass away, you would bear 100% of the financial burden for the children you share with you ex partner unless you took out a policy on their life.

How to get cooperation from your ex:

  1. Let your ex know that it isn’t going to cost them anything.
  2. Make it as hassle free as possible. You can do this by getting a policy that doesn’t require your ex to complete a medical. Obviously this may not provide as much financial cover as one which does require an exam though.
  3. You could put the children as the named beneficiaries. Only do this if your ex really is going to be that petty that they don’t want YOUR money, going to YOU in the event of THEIR death *rolls eyes*.

If you’re still going through the divorce process, make sure your read my post on how to do this on a budget.

life insurance on your ex