(Image: Getty)

After years of dating, Miami Heat guard LeBron James finally proposed to the mother of his two sons, and high school sweetheart, Savannah Brinson. The NBA all-star popped the question at SL Nightclub in Miami during a New Year’s Eve celebration, which doubled as his 27th birthday party, with a ring reportedly worth $300,000. While news of the engagement is certainly reason to celebrate, given the growing trend of high profile NBA divorces and just as a rule of thumb for anyone with a lot of assets, some suggest James should also err in the side of caution.

According to Forbes.com, three out of the top five most hated NBA players—Kris Humphries, Kobe Bryant and Tony Parker—have gone through very public and costly divorces. Coincidentally, following his controversial move from Cleveland to Miami, James is second on that list of despised basketball stars. If his marriage where to fail due to infidelity or any other public disgrace, his image and brand could go from bad to worse. Furthermore, James’ wallet could get hit just as hard. Bryant will be digging deep into his pockets as his ex-wife is reported to be getting $75 million of his earnings, since a prenuptial agreement was not signed.

Celebrity divorce attorney, Raoul Felder, who’s also known as “the Duke of Divorce,” gives three simple pieces of advice to superstar athletes like James embarking on the road to marriage. “Prenup, prenup, prenup,” says Felder, who has handled the divorce cases of World Heavyweight Champions Mike Tyson and Riddick Bowe, NBA legend Patrick Ewing and former New York City Mayor Rudolph Giuliani. “I’ve had athletes come into my office saying they didn’t want to create a prenup for fear of hurting their spouse. But I promise it will hurt more when she’s taking half.”

According to Felder, though, divorce doesn’t always have to ruin an athlete’s image. Public perception tends to sway towards the negative when there is an oddity or extreme case of infidelity like Tiger Woods and his ex-wife, Elin Nordegren.

If an athlete still doesn’t want to heed Felder’s advice, he suggests a post-nuptial agreement, which is generally harder to implement because the wife (or dependent spouse) generally has most of the negotiating power. If she doesn’t agree with the terms, the only thing left is divorce where she could receive the bulk of the reward. Another option is for an athlete is to create separate bank accounts for funds acquired before and after marriage. Therefore, if the union does end in divorce it’s easier to distinguish which funds the spouse has a right to. “Athlete divorce cases are interesting because many times their worth is represented by future earnings and endorsements,” Felder says. “A player could stop playing tomorrow but still be worth millions and his spouse could have access to that money.”

According to Forbes.com, James made $14.5 million in salary and an additional $30 million in endorsements last year. Sports Illustrated also listed him as the third highest earning athlete in the United States in 2011, right behind golfers Tiger Woods and Phil Mickelson. With that in mind, the seven-time NBA All-Star would be wise to protect himself as Brinson would be in for a huge pay day if the marriage ended without a prenup in place.

However, marriage doesn’t have to be all doom and gloom for the two-time NBA MVP. Marvet Britto, President and CEO of The Britto Agency, a public relations firm, says the impending nuptials could actually boosts James’ image, which took a nosedive after his “decision” to leave his hometown Cleveland Cavaliers in favor of the Miami Heat in 2010. “Marriage helps players because it positions them as a more responsible, more structured athlete and in turn makes them more desirable to consumers and endorsers,” says Britto, who has represented a host of athletes including NBA stars Latrell Sprewell, Stephon Marbury and Tyson Chandler. “Staying unmarried to Savannah and having multiple children doesn’t help LeBron, who is trying to recreate his image after leaving Cleveland. It benefits him more to make the commitment.”

Although marriage can improve an athlete’s brand, Britto doesn’t advise James to take the leap just for the sake of his image. She says a single man can build just as lucrative of a brand as a married one, the key is remaining true to who you are. Twelve-time MLB All-Star, five-time World Series champion and lifetime bachelor, Derek Jeter is a prime example of this. If James isn’t mature enough to be married, one public slip up in his marriage could send him right back into the role of villain that he fell into in the summer of 2010.

As a safety net, marriage expert and author of Before You Wed… Read This Darryl Cobbin advises James and any other individual looking to protect his/her assets to sit down with their partner and write down their expectations for each other, determine what is important and discuss them together. For James and Brinson, this may mean discussing participation in impromptu decision-making shows or preseason championship-like celebrations and most importantly a prenuptial agreement.

Using his NBA buddies as cautionary tales, James should contemplate what he wants his brand to be and how he will secure his hard-earned fortune before he walks down the aisle. “LeBron James’ life can either be a warning or an example,” Cobbin. “It’s up to him to make the decision.”

But when Jaxson flat-out suggested in media interviews that the Kardashian-Humphries nuptials were a “staged” event, Kim K. immediately struck back and announced she was suing her ex publicist for at least $200,000.

According to Kardashian’s attorney, Jaxson’s allegations damaged Kim K.’s reputation and violated a confidentiality agreement.

The ongoing Kardashian drama is sure to take a few more twists and turns before it’s all hashed out one way or another. In the meantime, the Kardashian situation holds lessons for the rest of us: While you might not be a high-profile person whose every move is tracked by the paparazzi, you may one day have to consider suing someone.

In fact, if an individual or organization has wronged you and caused you physical, professional, emotional or financial harm or damage, you may be entitled to legal recourse that could net you a significant amount of money.

Suing someone can be a fairly lengthy process depending on the situation. Still, if you have a good case and are comfortable with the idea of filing a court lawsuit, the compensation for damages or losses you’ve incurred may make your efforts worthwhile.

Here are just a few situations where you might need to sue an individual, corporation or another entity, and lessons to heed in each scenario.

BREACH OF CONTRACT

If you hired a contractor or vendor to perform a specific job or task and they failed to perform as specified in your agreement, you may have the right to sue them. A breach of contract occurs when one party in a contract fails to follow through on the terms or conditions previously agreed upon.

You will need to show proof of a written agreement or show that you have some type of enforceable oral contract to the courts. Without this proof, your claim will not hold any weight and you will not be able to pursue legal action. Depending on the nature of your claim, many breach-of-contract cases can be settled in small claims court, where you can represent yourself. In other instances, however, you’d be wise to seek out the help of a skilled lawyer.

In the Kardashian case, Jaxson is accused of violating a confidentiality agreement. But his defense—so far at least—is that while he was sent such a confidentiality agreement, he never actually signed the agreement.

Lesson: A contract isn’t legally binding until it’s fully executed (i.e. legally signed) by both parties.

PERSONAL INJURY SITUATION

If you or a family member were harmed by a defective product or service by a corporation, or someone was hurt on the premises of a store, business facility, or even someone else’s home, you may be able to sue on the grounds of negligence that led to personal injury.

In this type of situation, your best bet is to retain a personal injury attorney and work on a building a solid case. Personal injury cases can range from being quite straight-forward to quite complicated.

For example, if you are walking in a retail store and a worker who is stocking inventory causes an entire row of heavy metal shelves to collapse on you, there may be little doubt that you got injured. But to what extent? Expect to have to provide medical proof of specific injuries and proof that the individual or corporation caused your injuries.

Damages to your reputation, as Kim Kardashian may find, can be more of a gray area. If Kardashian’s efforts to muzzle her former PR agent wind up in court, I wouldn’t be surprised to see Jaxson argue that he didn’t damage Kardashian’s reputation, but that she did that all on her own – via her quickie divorce filing, her previous sex tape, etc.

Lesson: Any time you want to claim injuries of any kind, document everything and be prepared to show a judge how you were “before” an incident (physically, reputation-wise, etc.) and “after” the incident in question.

LOSS OF INCOME FROM FAILURE TO PERFORM

If you hired a specialist to complete a job so that you could generate income through your business, and they are guilty of a breach of contract, you can also sue them to recover you lost income.

As a case in point, assume a company or individual promised to provide 24/7 tech support and website services to keep your business website up and running online. But then the system crashed and no one bothered to return your frantic calls and emails for five straight business days. Such a disaster could cost you untold amounts of money and make you consider suing.

Again, it’s important to work with an experienced attorney to go through all of the details of the situation and calculate the extent of losses and financial distress you’ve experienced.

Lesson: Paperwork, a strong timeline documenting the events, and past financial records can help establish to a court whether or not you have a bona fide claim for loss of income.

COPYRIGHT INFRINGEMENT

When an individual or corporation copies your work or infringes on a copyright you own in any way, you have the right to sue. This can be a complicated situation in the creative field because so many people are able to create derivatives of your work without your knowledge. Still, if you come across blatant copyright infringement, you can pursue a lawsuit with the help of a copyright lawyer.

Other types of lawsuits might be based on employment discrimination, medical malpractice or deceptive advertising.

Lesson: In all circumstances, you have to think about whether the cost, the time, the effort and the emotional toll of a lawsuit are worth it. If you think it is, then a lawsuit may be in your best interest – no matter how difficult the case appears in the beginning.

“Ask The Money Coach” is a syndicated column written by personal finance expert Lynnette Khalfani-Cox, co-founder of the free financial advice blog, AskTheMoneyCoach.com. Follow Lynnette on Twitter at @themoneycoach.

For “Cheaper to Keep Her” you reunite with executive producers and founders of I’m Ready Productions, Inc., Je’Caryous Johnson and Gary Guidry, after costarring an co-producing their 2008 play “Whatever She Wants,” alongside Boris Kodjoe and Richard Roundtree. What makes them great collaborators?

Je’Caryous’ writing is excellent and he touches on what’s going on with you as an actor and as a female. He also takes the time to think about what the best role is for me. The first play was based off of my film, Two Can Play that Game. This time around my character, Morgan Mays, is a slight departure from my other roles in that she’s like the Stepford Wife—cooking, cleaning and trying to be perfect for her husband Raymond Mays [played by Brian McKnight] because she loves and trusts him.

Your character Morgan goes through a painful divorce because her husband wants to trade her in for a “better model.” As a divorcee, do you think most married couples outgrow one another and if so, why?

Absolutely, because people get comfortable and take each other for granted, forgetting how special that person is that you decided to share vows with before God and once felt like you couldn’t live without. My character loses herself in her marriage and her husband ends up cheating on her, so there’s a message there and a lesson to be learned. In my personal life, my first husband and I did outgrow each other mainly because I needed to not be the only one carrying the load. You can’t depend on one person so much that you start to take them for granted because eventually one of you becomes resentful of the other.

Do you have any advice for single, married or divorced women trying to secure their financial futures?

Take time to get to know your partner. I believe in prenups and had one for my first marriage. Save and invest in your future because if you don’t take care of yourself, who will? Don’t get caught up in spending all your money on bling, shoes and purses. Get a pension plan and a secured, money-generating interest account that is insured. As a member of SAG, I contribute to mine. Lastly, keep your life simple. I don’t like a lot of different people in my business, so I keep it tight and right with a small team that I trust.

Often when established actresses star in off-Broadway plays, they are deemed relevant. What do you say to those naysayers?

Of course, I hear it: “Her career is over!” What people don’t understand is that I’m a co-producer of this play. I don’t get involved with anything unless it’s quality. It’s not chitlin’ circuit entertainment like some might think. Tyler Perry stepped up the game about what to expect and what to deliver on stage. Besides, I’m a woman in my 40s and I’m not happy with many of the roles that have been offered to me. I’m not waiting for Hollywood to throw me a Grandma Suzy role, and I don’t want to become a bitter-b—- actress. I’m entering into the next chapter of my career and branding my name with my Vivica Fox wig collection, DVDs produced by Foxy Brown Productions, plays and movies. People say, “Oh, Vivica only does those straight-to-DVD movies now,” but if you don’t understand the business you shouldn’t comment. Each time those DVDs sell well, we get a bigger budget to do a better movie. I mean, I have to start somewhere, don’t I?

Fox & co-star Brian McKnight in Cheaper to Keep Her (Source: Getty)

So how lucrative has branding proven for you?

I can make anywhere between a half a million to over a million per year doing my DVDs, stage plays and other projects like television work. Also, real estate has been good to me. I just sold my second home.

Your tenacity, business savvy, and staying power in this fickle industry is one of the things we’ve always admired. How essential is reinvention to your survival and relevance in Hollywood?

Again, it’s not even about Hollywood, but about branding my name. For the last 20 years, I’ve made sacrifices for my career so that I could do just this so when I was approached with this opportunity to create my own wig collection I jumped on it. The thing is, I make my haters congratulaters. People don’t understand the hair industry is a $1 billion-a-year industry, so why wouldn’t I want a percentage of it? I want my wigs to be used in stage plays, movies, and television shows.

So do you plan to market your wig collection to other cultures or ethnicities?

No, my wig line is for African American women. That’s not to say that Latinas might not be interested, but I know my core audience. The community has been very good to me and while I’ve crossed over, my main crew is Black women.

We appreciate your loyalty. So what’s on the horizon for you?

I costar in The Discarded Boys, an indie film directed by Robert Townsend, which is a coming-of-age story for young Black men. It’s a great story because so many of our young Black boys’ futures are bleak and they are being raised in households without fathers. My character, Billy, is dark and extremely dysfunctional and was fun for me to play. I also shot a pilot for a talk show on the Style Network, and I am the voice for the Cartoon Network’s new Scooby Doo’s Angel Dynamite, a cool DJ who leads a double life an was a former member of the show’s original Mystery Inc. When it comes to my career, I don’t get caught up in what people think I should be and do. You have to find your own way and make your own destiny. Trust me, if you try to put me in a box, I’m going to bust out of it. Therefore, I don’t fit into one genre and won’t ever limit myself, so I’m gong to continue to make my own path.

LisaRaye McCoy: Making her comeback (Image: File)

Let’s call it a comeback—and a strong one at that. BlackEnterprise.com caught up with actress and former First Lady of Turks & Caicos LisaRaye McCoy, who dishes on her determination to succeed at doing what she loves — acting and entertaining.

In this extended interview, McCoy tells of her fight to regain the spotlight after taking a break from show business and picking up the pieces following a highly publicized and scandalous divorce. With a smile and wit as crisp as her signature white ensembles, the actress details her return for a second season of TV One’s LisaRaye: The Real McCoy, the network’s highest-rated show, (debuting in April), and to sitcom TV in VH1′s first scripted series, Single Ladies, which will debut in May.

“I am every woman, I am superwoman, I am all of that, as all of us are,” McCoy says. “And I want to be that person to say, ‘Hey, me too, you too, we too.”

Videography and editing by Melissa Johnson

He put a ring on it, but for how long? (Image: Thinkstock)

America’s No. 1. Unfortunately, it’s for a troubling trend. According to statistics, the U.S. has the highest divorce rate, with 45-50% of first marriages ending in dissolution. The numbers only get worse for those who choose to exchange vows multiple times, with a 60-67% failure rate for second marriages and a 70-73% failure rate for third marriages. With the average divorce proceedings in the U.S. lasting about a year and lawyer’s fees ranging anywhere from $250 to $500 (if not higher) an hour, getting a divorce can be quite a costly process. More times than not, the hardest financial blow hits men, who, in the event the couple has kids, rarely get custody and—traditionally earning more than women—have to pay alimony, hence the old saying, “It’s cheaper to keep her.”

“About 84% of all alimony and/or child support awards go to the wife,” says Palanda A. Brownlow, Esq., a California-based lawyer who specializes in child and family issues. “Unsurprisingly, it’s generally the woman who drops out of the workforce to give birth, raise the children, and maintain the household. And a woman should never be penalized for making that decision simply because the marriage dissolves at some point.”

While the general perception is that men get the short end of the stick in a divorce, the courts actually follow a non-gender specific formula that varies from state to state to determine post-marriage payments to the lower earning spouse, which could be the husband or wife. In determining child support, presiding judges take into account a number of factors, including each parent’s individual earning capacity, the number of children they have together, and how much time each parent spends with the child or children. Spousal support, however, is a bit different. “In many states, including California, there’s no uniform formula used to determine spousal support,” says Brownlow. “This means that judges have wide latitude when awarding alimony.”

Despite the room for leeway, the courts still make their decisions based on specific factors, such as length of marriage, earning capacity of each spouse, the standard of living established by the marriage, and whether or not one spouse sacrificed his or her career to advance the career of their partner. In the event someone feels the ruling is too high or there’s a major financial change, he or she can put in a request to have the payments reduced that will then be reviewed by the judge overseeing the case.

Take a celebrity like rapper Nasir “Nas” Jones, for example, whose monthly child and spousal support to ex-wife and singer Kelis Rogers-Jones originally totaled $50,000 a month, before being reduced to $25,000 in early January. Although those numbers may seem high to some, Lori A. Colbert, a family law attorney based in Anchorage, Alaska (which averages 4.4 divorces per 1,000 people) believes it’s all relative.

“With all divorce/custody cases, everything is dependent on the facts and circumstances of the individual case,” says Colbert. “$50,000 per month may seem high for child and spousal support, but it’s not outrageous [for someone in a higher tax bracket]. I’ve seen cases where one party is an average doctor, dentist or lawyer and is paying $10,000 per month in child and spousal support.”

Some have more to lose than others when they say "I do" (Image: Thinkstock)

Colbert adds: “Child support and spousal support can almost always be lowered or raised because it’s based on the paying party’s income. Generally, the state has a built-in indicator to determine when child support can be changed. In Alaska, the threshold is a 15% change up or down to change child support. In states that have spousal support guidelines, there are probably similar threshold numbers.”

Regardless of the potential of payment deductions and caps, the expenditures associated with a divorce are massive. An average divorce can easily cost $30,000 to $50,000 a piece. As a result, some estranged couples find themselves struggling through a rocky marriage or unofficially separating because they simply can’t afford to go through the process of a legal split.

“What we see as attorneys are two different groups of people,” says Colbert. “One group is living in poverty and cannot afford the $150 filing fee and definitely not the services of a lawyer. The second group has not made it a priority to direct their money toward getting a divorce, but once a divorce becomes a priority for group No. 2, we see them because they have found the money to pay for the divorce.”

That’s actually what Paul Carrick Brunson, a professional matchmaker and life coach from Washington, DC, suggests, especially if there are children involved. “The worst thing you can do is to remain in a relationship that is unhealthy and then to grow your child in that unhealthy relationship,” he says. “I understand the financial concerns with the recession and the limited funds families have, and of course the lawyer fees; but the cost to stay in a relationship where it’s emotionally broken is much larger—it’s way more expensive to keep her.”

“Rarely does the decision to divorce come down to something as black and white as finances,” adds Brownlow. “The reasons behind a divorce are often complex and intensely emotional. But, when one or both parties are unhappy in the marriage, someone’s going to start looking for the exit sign, and it won’t matter that the exit costs them a substantial amount of money.”

• What are your thoughts on the finances of divorce? Is it cheaper to stay in a bad marriage or worth the price of freedom? Share your thoughts in the comments section.

Be sure to check out these related articles…

• 5 Ways to Save Money in a Divorce
• The Single Life: Getting Your Finances in Order After Divorce
• Love & Money: How to Bring up a Prenup
• Love & Money: Divorce Insurance? Really?

It's a touchy subject (Source: Thinkstock)

When love is in the air, the topic of prenuptial agreements is far from comfortable. Some view them as selfish and unromantic, while others see them as a necessary evil. Consequently, this may cause you to delay bringing up the prenup because you don’t want your future spouse to have a poor view of you or your intentions.

Still, if you have assets that need to be protected in the event that happily ever after isn’t that long after all, it’s a talk that needs to happen. Here are a few tips on making the conversation flow a little easier.

BE DIRECT. Don’t beat around the bush. Say what you want and ask your future spouse if he or she is willing to sign a prenuptial agreement. It’s best to put your cards on the table and be honest.

CONSIDER TIMING. Ideally, you should bring up the topic before you get engaged. When you do have the talk, avoid times when one or both of you is tired, distracted or in the  midst of a debate. Clear minds are key.

DISCUSS WHY IT’S IMPORTANT. The first question from your future spouse is likely to be “why?” Explain that it’s necessary for you to protect certain assets. For example, you might have an inheritance that’s coming to you, you have family members that need to be cared for, or you own a business.

EXPLAIN ITS PURPOSE. Your future spouse may have heard of a prenuptial agreement, but may not  understand all the details or its purpose. For example, a prenuptial agreement does more than just protect a spouse’s assets. It can also be set up to make sure that children from a previous marriage receive their rightful inheritance. In addition, your loved one may be interested to know that a prenuptial agreement may also be used to limit your liability for each other’s debts.

ADDRESS ANY MISUNDERSTANDINGS. Your future spouse might think that you want a prenuptial agreement because you don’t truly love or trust him or her. If this isn’t the case, make that clear.

GO WITH YOUR GUT. What is your primary reason for getting a prenuptial agreement? Have you seen behavior in your future spouse that leads you to believe he or she may only be marrying for money? If so, you might want to re-evaluate your relationship. Take time for reflection. After reflecting, you may find that you don’t need to have this conversation after all. Or maybe, it’s more important than ever.

Sheiresa Ngo is the multimedia content producer for consumer affairs at Black Enterprise.

For more articles on love and money, see…

• 6 Important Questions to Ask Your Honey
• Divorce Insurance? Really?
• Guarding Against a Spendthrift Spouse

Get what's yours and keep cash in your pocket, too

Divorce isn’t something that anyone hopes for, but life happens. When it does, there are steps you can take to protect yourself and potentially save a lot of money during an already difficult process. Here are five cost-cutting moves you might want to consider if you ever find yourself in this situation:

1. Photocopy your own documents. Lawyers bill you for the time their staff spends copying important paperwork. Instead of footing the bill for this simple task, do it yourself. Don’t forget to make a copy for your own files, too.

2. Consider divorce mediation. Depending on how complicated your situation is, you might be able to benefit from the services of a divorce mediator. Divorce mediation is an alternative to going through the formal process of divorce court. A mediator is a third party who, along with the divorcing couple’s lawyers, assists with negotiating a resolution to the divorce. Divorce mediation is usually quicker than litigation (which saves you money), and some courts offer low-cost mediation services.

3. Work with a divorce financial planner or tax accountant. A financial planner specializing in divorce or a qualified tax accountant can assist you with reducing any taxes that you and your former spouse might owe. You and your former spouse will be responsible if taxes are owed after filing a joint return, so make sure you save cash where you can.

4. Communicate via e-mail when appropriate.  Most lawyers charge by the hour and phone calls add up. If you have a simple question, send an e-mail instead of calling your attorney. This is also a good way to keep documentation of your conversations should you have to refer to it at any point.

5. Stay married—at least for 10 years. If you were married for 10 years or more and you are 62 years of age or older, you’re eligible for half your former spouse’s Social Security benefits (but only if the benefit that you would receive based on your work history would be less than the benefits received based on your spouse’s work history). If not for love, keep in mind that hanging in there just a little bit longer will ensure a larger cushion for your retirement fund. However, if you re-marry, you won’t be entitled to your former spouse’s benefits.

For more on this topic, come back each week for a new Love and Money post.

Sheiresa Ngo is the consumer affairs editor at Black Enterprise.

Tisdale offers advice for the newly single.

Divorce can be a drain on not only your emotions, but your finances as well. Whether it’s the housewife who had very little to do with paying bills or the husband who now has to pay support to a former wife and kids, a split from a spouse can mean major lifestyle changes.

Stacey F. Tisdale, money expert  and author of The True Cost of Happiness:  The Real Story Behind Managing Your Money ($25.95; John Wiley & Sons) offers these tips to get your financial house in order after becoming newly single:

• Be sure you’re single. If you have your name on shared accounts, get them adjusted. Contact your financial institutions, such as your bank and credit card companies, about separating the accounts or getting single accounts. You and your spouse are going to have to get on same page with this, Tisdale says. A divorce lawyer or financial adviser should be able to help guide you in this process.

• Identify your ex’s money role and prepare yourself to assume it. For example, if your now ex was the breadwinner and sole provider, you will now have to make arrangements to become the sole provider for yourself and your household.

• Be aware of how your financial situation is changing. Is there a settlement that you are paying or receiving that will change your monthly income? Are you paying additional money in child support or alimony? Determine how these changes affect your bottom line and adjust your budget accordingly.

• Go back to the basics of budgeting. Connect with your values and what’s important to you when it comes to your spending. Create a spending plan based on your money coming in, your priority expenses, and track how you’ve been spending your money.

• Ask yourself the following questions when examining your spending:

• Can I afford this?

• Is it in line with my goals?

• If not, why am I doing it?

• Change your beneficiary for your will, trust, and other estate documents if it was a spouse. “Many people forget this once they become newly single,” Tisdale says. “Probably the last thing you’d want is for your ex to get everything you’ve saved for the future.”

• Look into your health insurance coverage options. If you have coverage available through your job, utilize it. Under COBRA, you’re guaranteed 18 months of health coverage. Research on the Internet on how your coverage is affected as a now single person.

• Get a copy of your credit report. Even while the divorce is finalizing, get a copy to make sure there are no inaccuracies.

• Make sure that child support and education contributions are planned. Be sure you and your ex have a plan for how things will be paid for. That should be part of your divorce settlementAlways remember: You’re divorcing your spouse, not your children. Separate your financial lives, with the exception of children, says Tisdale, who is a proponent of joint financial responsibility for covering childcare expenses.

SafeGuard Guaranty Corp. is offering divorce insurance that can cover costs such as legal fees.

It’s a part of life–many marriages end in divorce. And often one of the former spouses is left in dire financial straits in the aftermath. This is especially true for women, who can expect a decline in household income of about 37%.

One company, North Carolina-based SafeGuard Guaranty Corp., has a solution: divorce insurance.  The corporation, who partnered with Prime Insurance Co., claims to be the first in the world to offer divorce insurance. The product has been named WedLock and is meant to decrease the costs associated with divorce, such as legal fees. In order to avoid fraud, the company has a four-year waiting period before a claim can be made.

Coverage is sold through “units of protection,” that cost $15.99 per month. The Website describes divorce insurance as “an annually renewable, premium guaranteed form of casualty insurance that provides a lump sum of cash (based on initial claim value units of $1,200 per unit purchased up to $250,000) that is paid if your marriage ends in divorce.” Each unit increases in value by $250 each year after the policy’s maturity period ends and the premium stays fixed.

Why not just put $15.99 in a savings account each month instead of purchasing divorce insurance? Well, the folks at WedLock have already answered that question. They assert that most people don’t have the discipline to save on a regular basis. They also argue that if you live in a community property state, the money you’ve saved up could be split between you and your former spouse.

If you’d like to measure your risk for divorce, WedLock has a handy Divorce Probability Calculator. If you find that you have a high chance of divorce, WedLock also has a Divorce Cost Calculator to help you determine how much insurance you should purchase.

What are your thoughts on divorce insurance? Would you buy it?  Let’s hear your opinion on this one.