What Kind of Insurance are You Lacking?

Spending money on something I don’t use is a huge pet peeve of mine. Insurance falls into that category, but I know it’s a necessary evil. This is something many people often neglect because they don’t think they can afford it. Or, they only purchase the bare minimum to comply with state laws or loan agreements. This is a mistake.

The sometimes tough reality to swallow is that you may pay on your insurance for years and never have to file a claim. However, it only takes one situation or tragedy to recoup everything you’ve been paying for years.

Renters insurance

One person falling asleep with a lit cigarette can destroy an entire apartment complex. If you live in an apartment or your rent a house, get yourself some type of renters insurance. If your apartment gets destroyed because of someone else’s negligence, you’re left with nothing – no clothes, no furniture, no food, no appliances, etc. Renters insurance is affordable and gives you the money to replace these items so you can start putting your life back together.

Auto Insurance

State law requires everyone to have auto insurance, but do you have enough? There’s coverage for bodily injury and property damage you cause to others and different coverage when someone else causes to same to you. There’s collision protection and coverage for expenses you incur by a driver who doesn’t have enough insurance to pay you back. And what if you need a rental car while your car is being fixed? All of these are separate line items in an insurance policy. You can pick and choose what you want to pay for, but don’t cut yourself short. If you lose a vehicle next week and don’t have the money to replace it, you need more insurance.

Health

Last year, my son ended up in Children’s Hospital for five days. It happened very suddenly for an illness that can be treated but not prevented. The hospital bill came to $41,000. We were only responsible for $500. If your company’s health insurance isn’t very good, consider supplemental health insurance. Google supplemental health insurance to find providers.

Homeowners insurance

If you have a mortgage, your loan company requires this. Be sure your policy covers your home’s replacement value and not the value you paid for your home.

Life insurance

If your spouse dies, how will you provide for family financially or even pay funeral expenses? Term life insurance is very affordable and is particularly important if you are a stay-at-home mom with no income. The loss of a spouse is devastating enough without worrying about how you’ll put food on the table or keep a roof over your head.

So many people are under insured because they don’t understand how one incident can completely change their lives. Find an insurance agent you trust and protect your family appropriately.