"Divorce Insurance" Increasing in Popularity
The recent recession has brought money to the forefront of many subjects in which it was previously less of an issue. One place in which concerns about money have become more prevalent is marriage, namely, the possibility of divorce. During the past 5 years, divorce attorneys have reported a 75% increase in couples asking for prenuptial agreements in order to protect their finances. Middle class couples are a fastly growing group who are getting prenuptial agreements. They do not need to have millions or valuable assets to want to protect what they have or may earn.
The more affluent party may be concerned about his or her money, but the less affluent parties are increasingly saying that signing a prenuptial agreement is a way to prove that they are marrying for love instead of financial security.
Prenuptial agreements, however, are old news. More and more, couples are concerned about the high cost of divorce, especially if expensive litigation is involved. As economists say, there's a market in everything. Now, companies are offering "divorce insurance," which works similarly to life insurance in that there are different size packages and reimbursement caps. Policies are generally between $100 and $1,000 a month, and will cover the costs of the divorce, and some may cover the costs of alimony or child support.
Divorce insurance is not meant to promote divorce, just as a prenuptial agreement is not supposed to promote divorce. In fact, one company, WedLock Divorce Insurance, is planning on giving payouts to couples who reach their 25th anniversary. This company protects itself from abuse by adding in a rule that couples must have been enrolled in divorce insurance for at least 36 months before they are able to recover any money.
Contact a Raleigh Divorce Attorney at Hopper Law to learn more about the family law and divorce legal services offered.