The sudden disappearance of the main breadwinner will leave a huge gap in the family budget.
FIVE REASONS FOR CHOOSING TERM LIFE INSURANCE
1. It ensures your children's future
2. It lets you provide for your spouse
3. Cohabiting partners
4. It protects your home
5. It provides stability for your business
Term life insurance: a simple process.
However, we recommend discussing your situation with an expert and having them determine your needs. That way, you will provide for the right people and choose the right insurance coverage so your loved ones can still afford things such as living expenses, mortgage payments, buy-outs for business partners, ongoing education expenses and funeral costs.
Are you dependent on someone else's income? You can insure another person and name yourself as the beneficiary – ask an expert for advice. You remain flexible too. If your life circumstances change, you can adjust your insurance coverage to suit them.
In addition to financial provisions, you can also help your family with a clear will. Clear instructions on the disposal of your estate will spare them any uncertainty regarding potential claims.
Tips: last will
When should I draw up a will?
People draw up wills for various reasons. Wills are particularly advisable for families and cohabiting couples.
Under Swiss law, spouses and descendants inherit equal shares of a decedent's estate. Widows or widowers may have to sell the house in order to pay the children their legally entitled shares of the estate. To prevent this, you can have a notary draw up a prenuptial agreement or contract of inheritance that bequeaths certain assets to your spouse and distributes other assets among your heirs.
Cohabiting partners, unlike legal heirs, have no right to demand a certificate of death or inheritance from the registrar's office. Without a certificate, however, they cannot claim benefits under term life insurance.
Cohabiting partners should therefore definitely be listed as heirs in the will and know where the policy is filed. Only then will your surviving partner be able to claim the lump-sum death benefit.
Since controlled divisions of estates tend to be rather complex, we recommend discussing estate planning with an expert such as a lawyer, notary or fiduciary.
How should I draw up my will?
- Written in your own hand
It is important for the entire will, including the date, to be handwritten and signed by the testator. Alternatively you may prefer to have a notary draw up and record the will if, for example, you cannot physically write (any more) or your estate is very complex.
- Clear statements
Remember to make your will as clear and simple as possible to eliminate any uncertainty. An example: "All my heirs will receive their statutory share of my estate. My spouse will receive the remainder of my estate."
How can I ensure that my will can be found?
- Steer clear of dresser drawers and safe deposit boxes.
Who knows how many wills disappear because they were stored in a drawer, never to be found? Experts advise against keeping handwritten wills at home or in a safe-deposit box at the bank. There is a chance that they may never be found – or end up in the wrong hands.
- A better option: notary or municipality
A notary will keep your will for you if you have him or her draw it up and record it for you. Another option is to ask your local municipality about public options for depositing your will. Each canton has one government agency tasked with keeping wills for the public. In most cases, it is the municipality for the place where the testator resides.