How much insurable interest does Stuart's wife have in his life?

Stuart's wife has an unlimited amount of insurable interest in his life due to their joint mortgage. Insurable interest in the context of life insurance refers to the financial stake an individual has in the continued life of the insured party.

In the case of spouses, the relationship inherently carries a significant amount of insurable interest. The existence of a joint mortgage exemplifies this, as both individuals are financially liable for the debt. If something were to happen to Stuart, his wife would not only suffer emotional loss but also a financial burden in repaying the mortgage, which could lead to serious economic consequences for her.

This concept is crucial in life insurance because it ensures that the policyholder has a legitimate reason to take out a policy on someone else's life, safeguarding the insurer from fraudulent claims. Therefore, the relationship between spouses, combined with shared financial responsibilities such as a joint mortgage, establishes that the wife's insurable interest is not just limited, but effectively unlimited in this context.