The common-law marriage myth

Although the number of cohabiting couples in the UK is increasing, there is a lack of awareness regarding the legal and financial rights of couples living without the formality of a marriage or civil partnership. Confusion surrounding the concept of common-law marriage still exists with the assumption that by living together, couples acquire the same legal status as a married couple.

However, if you are one of the estimated 3.3 million couples living together who are not married or in a civil partnership you should be aware that you do not have the same rights. In fact, your affairs need more careful planning to make sure your family is protected.

MAKE A WILL

For unmarried couples, making a Will is vital for ensuring that assets go to those you wish to receive them. If one of you dies and doesn’t leave a Will, under the laws of intestacy the unmarried partner is only entitled to jointly owned assets. So, if you have children, the estate of the deceased partner will pass to them when they are 18. If there are no children, the estate will go to the deceased partner’s closest relatives, not to the surviving partner.

LIFE INSURANCE

The issue of protecting finances is also important for cohabiting couples. It makes sense to work out how much cash your family would need if they lost your financial support. This could include paying off a mortgage and clearing debts as well as regular household bills. In the event of your death a life insurance policy would help them maintain the lifestyle they enjoyed whilst you were there to provide for them.

Life insurance provides a valuable safety net, so if you’d like to know more about how it could protect your family, do get in touch.