Divorce Insurance
Whilst not very romantic, to put it mildly, there is a certain logic to insurance products being available for divorce.
An entrepreneur in the US is offering divorce insurance and has been quite creative – his company will need to have some good financial modelling and good lawyers to draft the policy carefully, since, as we all know, divorce is statistically very common.
Whether the product turns out to be a gimmick or will take off remains to be seen but it seems that the cost for the insurance is calculated on quite a complicated formula incorporating :-
- units of coverage
- a unit will cost $16 per month and will equate to $1,250.00 in benefits
- additional units can be purchased up to an overall limit of $250,000.00
- a 4 year overall maturity
- a proportion of the payout based on legal separation as a prelude to divorce.
Ingeniously the website that has been set up for the product will also calculate your probability of getting divorced, incorporating factors including :-
- race
- religion
- Have your parents divorced
- If this marriage is the first, second, or a subsequent marriage.
Any opinions ?
