While the lawsuit that led the Supreme Court finding the Defense of Marriage Act unconstitutional, United States v. Windsor, largely regarded tax laws related to inheritance, there were a number of additional implications the ruling had on same-sex couples across the country.
Same-sex couples whose marital status changed under the historic United States v. Windsor Supreme Court ruling have had a lot to consider over the last year. Here are a few aspects of the financial planning landscape that have changed after the fall of the Defense of Marriage Act:
On June 26, 2013, the U.S. Supreme Court found that the Defense of Marriage Act was unconstitutional. With that single ruling, many doors opened for LGBT Americans across the country. Under the Supreme Court’s finding, the federal government can no longer discriminate against married lesbian and gay couples when determining federal benefits and protections.
When it comes to life insurance, agents are constantly on the lookout for new markets to tap. From child-free married couples to high net worth young professionals and the growing population of wealthy individuals from countries like Brazil and Russia, it’s essential for insurance agents to be on the lookout for the next great market in need of wealth or retirement planning services.
Insurance agents and financial planners would do well to work to meet the financial demands of the lesbian, gay, bisexual and transgender community, which typically has a higher median income than the general population but overwhelmingly rates their experience in the U.S. financial industry as poor. In fact, a recent Prudential survey found that 63 percent of LGBT Americans give the industry’s attention to their community a poor rating.