The threat of redundancy is still looming over many people as the UK struggles through the current economic downturn. Another 250,000 redundancies are forecast by the CIPD for 2010 which is proving to be a real worry for couples planning their weddings.
No one likes to consider the possibility that they may lose their job at anytime, however, weddings cost a large sum of money (around £15,000 on average) and losing your income when you have thousands of pounds to find can be disastrous.
If one of the couple is made redundant in the run up to the wedding then the wedding might need to be called off, with deposits lost and the couple left in a worse position financially. Or they may decide to keep the wedding on, but deplete their savings/credit cards to do so, putting them in a risky financial position.
One ray of light on this scenario is wedding insurance and some policies will pay out if redundancy occurs. Do bear in mind though that if you do cancel your wedding as a result of redundancy, you’re usually only covered for deposits you’ve already paid. It’s a common misconception that if you’re made redundant wedding insurance will pay off any outstanding balances to enable the wedding to still go ahead.
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Please see the full comparison table for all levels of cover available from these insurers.
Also remember that wedding insurance will generally exclude “known risks” – situations you knew about when you took the policy out. So if you’ve been told there’s a chance you may be made redundant, it’s probably not worth rushing out to buy a policy just to cover that scenario as it’s unlikely a claim would be honoured.
Of course you may not have to cancel the wedding altogether, but maybe have to postpone it, and a typical wedding insurance policy will cover rearrangement of the wedding too. Just because you lose your job to redundancy, it does not mean that you have to worry about the wedding you have been planning for years. Hopefully you will never have to claim for cancellation or rearrangement due to losing your job, but at least you have peace of mind.
You can look at our wedding insurance comparison table to see information about the policies, premiums and cover of leading wedding insurance providers.