In our practice, it is rare that we really look up to innovation by an insurance company. But we are actually pleasantly surprised what our business partner Scildon (formerly known as Legal & General) has just brought to the market. And it affects everyone who rents and does so together with a partner, roommate or family. We have many clients owning their homes. But we also have those who rent. Or with older, having already left the nest, children renting. So if they depend on you, or if it also concerns you, do read on.
You live with your partner or family to your liking in a rented house. But what if your partner dies unexpectedly? Can you still pay the rent and continue to live there? Or vice versa: can your partner continue to pay the rent if you die?
A monthly financial security for your next of kin
You live with your partner (and perhaps also children) in a rented house. And of course you prefer not to think about it. But have you ever thought about whether you, or your partner, can still pay the monthly rent if one of you two dies?
Continue to live in your rented home
Because how do you ensure that you or your partner, with the children, can continue to live in this rental house? You can arrange that very easily and cheaply. With a term life insurance (ORV), you can prevent many financial problems. An ORV pays out the insured amount in the event of a death. That is of course a good solution for people in an owner-occupied home with a mortgage. For you, as a tenant, that is less convenient, because you simply have to pay the rent every month. That is why insurer Scildon has devised the Rental Insurance. With this, you (or your partner) receive a benefit every month in order to be able to continue to pay (part of) the rent.
You choose the amount of the monthly benefit and for how long
Together with your adviser you look at what best suits your situation. Based on of the amount of the monthly rent, you determine the amount of the monthly benefit. And you look at how long that benefit is needed, for example 3, 5 or 10 years. This gives the survivors the financial space and time to get used to the new (financial) situation. And also the time to possibly find another home. If the survivor moves house, the benefit will continue as a supplement to the new monthly costs.
For the price of a Netflix subscription
This financial security does not have to cost you much. Of course, the price depends on the choices you make (such as the amount of the monthly benefit and how long you want it to continue). But for the price of, for example, a monthly subscription to Netflix, you often have this well arranged!