Types of Insurance Every Person Should Have
Having insurance is something that everyone should have. Some policies are required to have, such as auto insurance. But there are other non-obligatory insurance policies that you should consider having. You can find these policies online with various companies at different rates. Below, you will find the different policies that you can obtain to make your life more financially secure. You never know when an accident may occur, so it’s best to keep you and your family covered.
Life Insurance Policies
If you are the breadwinner in your family, you can secure your family’s financial well-being by obtaining a life insurance policy. The policy will cover expenses for your death (funeral, medical bills, etc.) and should allow your family to survive after you’re gone. Some life coverage policies will give your family enough money to live off of for the rest of their lives. It all depends on the amount of the policy that you purchase. It’s a rule of thumb to get a policy that is ten times you’re yearly income. Keep in mind any financial obligations that would be left behind, such as mortgage notes, car notes, children’s education, credit card debts, child care, taxes, etc.
Health Insurance Policies
Health insurance should be purchased for you and the members of your immediate family. If someone were to get hurt or ill, you will be able to afford medical services. You can attempt to obtain family health coverage through your employer or obtain it from a company. The costs for health policies vary depending on your age and pre-existing health conditions. When you are browsing through the available policies, make sure that you find one that has deductibles that you can afford. You should look for coverage that includes inpatient and outpatient care, hospital stays and prescription drugs. If someone in your family takes prescriptions regularly or if someone is prescribed a drug after an illness or injury, this coverage will come in handy.
Long-Term Disability Coverage
Few people think that they will ever become disabled, at least not in young age, and this is why many are unprepared financially. You can avoid getting kicked out of your home and losing the assets you worked so hard to get by obtaining long-term disability coverage. According to statistics, three in 10 workers sustain crippling injuries that render them disabled. This type of coverage is commonly put off because people believe that their health insurance is sufficient. Even if you have a short-term disability that spans over three to six months, would you have enough savings to cover all of your living expenses? If not, then you should consider getting long-term disability coverage.
Full Coverage and Liability Car Insurance
If you own a vehicle, it’s required by law to have auto coverage for it. You have the option of either obtaining a liability policy or full-coverage. Liability auto policies only offer coverage for the other driver that you collide with. So if you’re at fault and your car gets totaled, then you will be stuck without a car to drive. Full coverage policies cost more, but they have a lot more benefits. If you’re ever in an accident that is your fault, your vehicle will be fixed. Both types of policies come with personal injury coverage. You can choose how much benefits you want to receive in the event someone gets injured. You can also add special benefits to your policy, such as rental car reimbursement and roadside assistance. Having full coverage will also cover you if your car is vandalized or stolen.
When traveling abroad, your health insurance likely isn’t going to cover medical bills for hospital stays in another country. So if you’re planning to travel out of the country, you should obtain travelers insurance for everyone on the trip. It’s a good idea to get a policy that will offer emergency air transport in case you need to be evacuated from a location after an injury.
Having your things damaged or stolen can be devastating and the cost to replace the items could be too expensive for your budget. To prevent this, you can obtain property insurance. A policy can be taken out on your home, which is known as homeowners insurance. Or you can obtain renter’s insurance. You’ll be able to get benefits for damages done to your property and the items inside. So if a fire were to take place, your burnt belongings would be reimbursed for, along with the damages done to your home.
Although you may not need every type of insurance policy, you should make sure that you and your family has enough to be financially secure.