In a 2019 Caring.com survey, most Americans said that having a will was important, but only 40 percent actually had one. While about half of those surveyed without a will merely “haven’t gotten around to it yet,” the rest stated reasons such as “I don’t have enough assets to leave to anyone,” “It’s too expensive” and “I don’t know how.”
Even for those who do not have much to leave a potential heir, legal professionals recommend setting up a will, especially since “a well-considered will might answer questions that your heirs might otherwise have.”
“Wills are not only for the elderly or the rich and famous,” a professional explained in the survey. “If you own so much as a car, or you have any kind of life insurance policy, you need a will. Period. Lack of a will or a trust will all but certainly result in legal and financial entanglements afterward—and that is something that no one should leave behind for their loved ones.”
Startups such as Fabric want to make that process easier. The app, which was founded by former employees at online bank Simple, aims to be a one-stop-shop for parents to figure out challenging financial matters.
“Money can be especially stressful when you’re trying to build a family and a career,” co-founder and CEO Adam Erlebacher told TechCrunch. “In one survey by Everyday Health, 52 percent of respondents said financial issues regularly stress them out, and people between the ages of 38 to 53 were the most stressed out financially. Parents want to have more control over their families’ long-term financial well-being and today’s dusty old products and tools are failing them.”
Users can create a free will, apply for term life insurance from the app and organise important documents or financial accounts with a partner or spouse. They can also collaborate with other key figures in their children’s financial future, such as guardians, beneficiaries, lawyers and financial advisors. After creating a will, users can share it with key people in their lives.
After downloading the iOS app, users are given a questionnaire to express more about their financial situation. Fabric then provides a personalised checklist with recommendations to get their finances in order, such as life insurance, a will and other matters. The platform’s life insurance policies are all offered through Vantis Life and are the way Fabric generates revenue.