A warning has been issued to unmarried couples living together in the UK.
People who are not married or are in a civil partnership with life insurance could be at risk of not receiving a payout if one of the partners dies, a survey suggests. Just over half (52%) of unmarried people know if their partner has a life insurance policy, while 43% said their other half has no plans to ensure they are legally entitled to their payout, Scottish Widows found.
Just over a quarter (27%) of those aware of their partner's life insurance do not know the policy's value. Around a third (34%) of couples rarely discuss long-term financial planning because they see it as unnecessary, awkward or simply too difficult, the survey of 2,000 people across the UK found. This increases to 40% among the over-55s.
READ MORE: I visited Matta's for the first time and this is what £10 got me
Scottish Widows is encouraging couples to take a fresh look at their finances in 2023. It said many people may not automatically be entitled to their partner's life insurance payout in the event of their death, so failing to discuss finances could jeopardise financial security in the long term.
Rose St Louis, protection director at Scottish Widows, said: "We know people find it difficult to talk about what would happen if their partner became ill or died suddenly, but unmarried couples often do not have the same protection as those who are married, which makes having those honest and frank conversations even more important.
"Breaking that taboo of talking about planning for the worst is an ideal new year's resolution for couples because you can achieve it with just one open conversation.
"Seeking impartial, professional financial advice is also an option to help you understand the implications of your relationship on your and your family's financial future. Financial advisers can help you tackle the subject sensitively and sensibly."
Receive newsletters with the latest news, sport and what's on updates from the Liverpool ECHO by signing up here
READ NEXT:
57 tributes, death and funeral notices from across Merseyside
Man dies and two seriously injured in New Year's Day smash
Elle Edwards sister's tribute to 'best friend' and 'soul mate'
Liverpool's rat league - the parts of the city with the worst rodent problems
12 of the most high profile trials due to take place in 2023