Insurance has become one of the most profitable markets in the United States. Almost anything can be insured these days. A recent article in CNBC.com discusses wedding insurance, which is a policy that engaged couples and other invested parties can purchase to protect their investment in a wedding – an investment that costs $33,000 on average, according to the article.
Although the wedding is a tremendous financial investment for two people about to get married, there is an even greater investment they will make, and a greater risk to be insured: the marriage itself. How can this investment be insured?
Prenuptial Agreements
When two people get married, they are throwing in everything together. In many cases, people want to make sure they are protected from the potential for financial loss in the possible event of a divorce down the road.
For people wanting to protect themselves financially, a prenuptial agreement is the time-honored, most effective tool. A prenuptial agreement is, as the name suggests, an agreement made before the marriage vows. The agreement stipulates the division of assets if a divorce should occur in the future.
Multiple Benefits of a Prenuptial Agreement
In addition to protecting each party’s financial interests, a prenuptial agreement also:
- Streamlines the divorce proceedings by deciding things in advance, before the emotions of a divorce are in play
- Solves other marital issues in addition to financial issues, like child custody and visitation and related issues
There are numerous benefits to using prenuptial agreements to protect yourself financially and personally. The most important thing to do is talk to a family lawyer you can trust right away to discuss your prenuptial agreement. Just like an insurance policy, a prenuptial agreement can protect your financial and personal investment, but you need to acquire this insurance policy before the damage happens, so act fast.
