What Type Of Insurance Should You Buy?

Insurance umbrella

Having insurance can be crucial to preserving your peace of mind and quality of life. There are a few types of policies that can insure you and your family against loss that are important, but may get over-looked.

Health Insurance

In a study done at Harvard University, medical expenses were the main reported cause of bankruptcy in the United States. That should be alarming for those who go without it. People who are healthy frequently try to shun the necessity for health insurance since they rarely go to the doctor. In an emergency situation, that could leave them in quite a bind.

If they were to break a bone they could expect to pay at least around a thousand dollars a night for the hospital stay and two hundred dollars for an x-ray. That doesn’t include the emergency room visit, possible surgery, resetting of the bone, cast, and follow-up appointments. Imagine the cost for things like appendectomies or heart attacks. Health insurance should be at the top of every adult’s list of necessary insurance plans, beside the Affordable Care Act (ACA)┬ánow requires everyone to have health insurance.

Homeowner’s Insurance

A home is more than just a shelter from the elements, for the majority of adults their home is the most valuable asset they own. Homeowner’s insurance is designed to cover any damage caused by wind, fire, and rain. Homeowner’s insurance also covers valuables contained inside the home should they be harmed or stolen.

Another benefit to homeowner’s insurance is that it protects the homeowners from law suits if someone got hurt anywhere on their property. Look for a policy that offers a large scale of protection. For example if your home were to be destroyed by a tornado, make sure that the homeowner’s insurance would cover a rental home while yours is being rebuilt and check to see if your policy will honor the value of your home at the time of loss, as it may have been worth more or cost more to rebuild than when you initially bought it.

Life Insurance

Life insurance protects those dependent on you from financial loss in the event of your death. It is helpful to prepare a list that includes your annual earnings, financial saving, debts, and potential debts prior to meeting with an agent, so that he can better understand your needs.

In the list you’ll want to note your average salary so together you can have a good understanding of how many paychecks your family will miss over the years if you were to die expectantly.

You’ll also need to factor in funeral costs and potential medical bills into your assessment. There are three main types of life insurance and based on your age, necessity,and budget an experienced life insurance agent should be able to point you in the right direction.

Long-Term Disability Insurance

Long-Term Disability Insurance will pay out a percentage of your income to you in the case that you become injured or sick and are unable to work for an extended period of time. The cost of this type of insurance sometimes derails potential customers from buying it, simply because they don’t have a fair idea in their head of how likely it could be for them to become disabled for a period of three months or longer.

Its estimated that this scenario will happen to 25% of the population during their working years. Shop for policies that meet your budget and also meet the level of protection you need.

Automobile Insurance

car crash

Even though its the law to at least carry liability insurance on vehicles, people are often to tempted to skip out on paying for full coverage and sometimes any coverage at all if their car is old. Even if your car has seen its better days, accidents happen everyday and you could lose everything you own or spend time in prison if you were to cause a serious or fatal accident. It’s better to pay the $25 a month, than to take the risk of going without it.

By purchasing insurance, customers can feel protected against the unknown as well as the inevitable. Before purchasing any sort of plan, do your research and talk to an agent to discuss your best strategy to insure the well-being of both you and your loved ones. Read your policy as soon as you get it and contact your agent if you have questions or need to make changes.

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