This is a question most insurers don't answer clearly because it makes them uncomfortable.
An unmarried couple — live-in partners who've been together for 5 years, share a home, have intermingled finances, and are financially dependent on each other — wants the same basic financial protection any married couple takes for granted: if one of them dies, the other isn't left destitute.
Term insurance is the tool for this. A pure life cover — you pay a modest premium, and if you die, your beneficiary receives a significant sum assured. For a 30-year-old nonsmoker in India, ₹1 crore of cover costs ₹8,000-12,000 per year. It's the highest financial leverage available.
The problem: Indian insurance companies are primarily designed around family relationships that are legally defined. Spouse. Children. Parents. Siblings. Unmarried partners don't fit neatly into this framework — and the rules vary significantly by insurer and by the specific document trail you can establish.
Here's what actually works.
To understand what's possible for unmarried couples, you need to understand two concepts: insurable interest and nominee.
Insurable Interest:
Before issuing a life insurance policy, the insurer must be satisfied that the person being insured has a financial impact on the person buying the insurance — that is, their death would cause the policyholder financial loss. This is "insurable interest."
For a spouse, parents, children — insurable interest is assumed. For an unmarried partner, it must be demonstrated. But demonstrated is possible.
If you can show that your partner's income contributes to your shared home, shared EMIs, or that you're financially interdependent — insurable interest exists. The question is whether the insurer accepts this.
Nominee:
In India, the nominee on a life insurance policy receives the claim amount upon the policyholder's death. As per the Insurance Laws (Amendment) Act, 2015, nominees who are "beneficial nominees" (spouse, children, parents) receive the amount as beneficial owners. Other nominees receive it as trustees — meaning they hold it on behalf of legal heirs.
This distinction matters for unmarried couples: if you name your partner as nominee but you have parents or siblings as legal heirs, your partner may receive the money but could legally be challenged by those family members for it.
The workaround: A valid will specifically bequeathing the insurance proceeds to your partner, combined with the nomination, significantly strengthens the partner's legal position.
The short answer: Yes, at most insurers, with documentation.
Insurance regulation in India does not explicitly prohibit naming an unmarried partner as a nominee. The nominee can be anyone — there is no legal restriction that says only married partners or blood relatives can be nominees.
In practice, however, many insurance agents and customer service representatives will tell unmarried couples they cannot name their partner. This is often inaccurate — it reflects company policy or agent ignorance, not insurance law.
What most major insurers actually permit:
Insurers that have become more flexible with unmarried nominees include HDFC Life, ICICI Prudential Life, Bajaj Allianz Life, and several others. The requirement is typically documentation showing the relationship — cohabitation proof, shared financial obligations, a declaration.
What documentation helps:
Insurers that remain conservative: Several public sector insurers (LIC, for example) are considerably more conservative and may decline to accept an unmarried partner as nominee. For these policies, using parents as the nominee and creating a will directing the proceeds to your partner is the more reliable approach.
Honest caveat: Even with documentation, some underwriters may push back. Be persistent — ask for escalation to a senior underwriter if the initial response is a refusal. Bring the documentation.
There are two ways to structure life insurance for a couple:
Structure 1: Each person buys their own policy and names the partner as nominee.
This is simpler for single-income situations and for couples where each person wants independent control of their policy.
Structure 2: You buy a policy on your partner's life.
This requires demonstrating insurable interest — that your partner's death would cause you financial loss.
This structure is less commonly used by unmarried couples in India and requires more documentation, but it's not impossible.
The practical recommendation for most unmarried couples:
Each person buys their own term policy, names their partner as nominee, and backs this up with a will. This is the cleanest and most reliable structure.
This is the critical step that most unmarried couples skip — and it matters enormously.
A nominee on an insurance policy receives the claim amount. But as mentioned, for non-beneficial nominees (anyone who isn't a spouse, child, or parent), they hold the money as a trustee — meaning legal heirs can claim it from them.
If you're unmarried and name your partner as nominee, but your parents or siblings are your legal heirs under the Indian Succession Act, there is a theoretical (and sometimes actual) risk that your family could legally claim those funds from your partner.
A valid will resolves this. If your will specifically states that you bequeath all life insurance proceeds (and your other assets) to your partner, that instruction governs. Your family members would need to challenge the will itself, which is legally difficult if it's properly executed.
How to make a valid will in India:
A will doesn't expire and can be updated. If you get married later, update the will to reflect your married status.
The standard rule of thumb: 10-15x your annual income.
For an unmarried couple, calibrate to the actual financial dependency:
If both partners earn and are financially independent: Each needs enough cover to replace 5-7 years of their own income, to give the surviving partner time to grieve and rebuild without financial urgency. ₹50 lakh to ₹1 crore each is reasonable.
If one partner earns significantly more: The higher earner needs much more cover — enough to replace their income for 10+ years, cover all outstanding EMIs, and provide for any shared financial goals. The lower earner may need less.
If one partner doesn't earn (career break, startup, childcare): The non-earning partner still needs a policy — domestic labour has economic value, and their death creates real costs (childcare, household management). Also, they may resume earning — and it's much cheaper to buy insurance at 30 than at 40.
Specific items to cover:
What to NOT count: Don't reduce your cover estimate because "my family will help." They might. They might not. Insurance is the reliable safety net.
Coupl helps you track shared financial goals — including insurance coverage, nominees, and the things that protect both of you if life gets hard.
Written by the Coupl Team
Coupl is India's first zero-balance digital joint account for couples. This article was last reviewed on May 2026.