Focus on Wealth Planning #2: Protection of a surviving spouse
PROTECTION OF A SURVIVING SPOUSE
Spousal protection is a major concern
With more than 70% of couples living in wedlock in France, the protection of the surviving spouse is a major concern.
To provide clear answers, it is also necessary to identify precisely the issues at stake. However, the concept of protection resonates differently from one person to another.
For some, protection is about ensuring a source of income sufficient to maintain a certain lifestyle. For others, it may involve removing the family’s assets from the pledge of the creditors in the context of carrying out a professional project . Finally, suitable protective measures may assist in limiting the risk of conflicts between heirs, particularly in the context of a blended family.
Marriage, a strong regime
Marriage provides spouses with a solid basis of protection during their union, but also in the event of death that allows them to cover a certain number of needs, regardless of the spouses’ matrimonial regime:
Temporary or life-long right to the residence occupied by the spouses .
Inheritance. The latter is the heir, without having to make any special provision.
Survivor's pension.
But sometimes these elements may prove insufficient or unsuited to the family dynamic and needs.
The benefits of giving
Different solutions can be used in isolation or combined to provide the expected level of protection.
An example is the deployment of legal tools, including matrimonial property planning or change of matrimonial regime.
Is the system of separation of property always adapted to my family situation? my professional situation? my life project? I may wish, for example, to retain my separation regime, but also to create a community “bubble” within that property separation regime by adding an acquiring company.
In order to increase the rights of the surviving spouse, the introduction of matrimonial advantages may, under certain conditions, prove appropriate, or the appropriate drafting of a gift to the last living spouse.
Another scenario, if one wishes to avoid a situation of division, a potential source of conflict, to deflect all or part of one's assets through a will in favor of one or more other persons, may be a good solution. However, beware of the presence of other heirs and any statutory provisions.
Complementary financial instruments
For example, the purchase of life assurance to insure an amount of capital for the benefit of family members and in particular for their spouse.
Or the adapted and careful drafting of the beneficiary clause of a life insurance contract. It makes it possible to pass on, under good legal and tax conditions, death benefits, subject, however, to manifestly excessive premiums.
Our support
As you will have gathered, the range of possibilities is extremely wide, but it suggests the possibility of finding an answer adapted to your needs.
It is of course appropriate to discuss these matters with your Notary. Societe Generale Private Banking’s wealth planners are also at your side to provide their perspective and feed these thoughts alongside your usual advice.
Would you like to discuss this subject further with us?
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