Having insurance is a cushion against financial ruin. It provides certain protection to recover when a disaster happens. Even if annual premiums take a chunk out of one’s budget, having insurance is a better choice compared to not having any protection at all when financial-crippling situations happen.
One can obtain several quotes from different insurance carriers in order to know which one is the best for him. He can also look for agents who may be able to give discounts once more than one type of coverage are availed. Today there are many options online to search and find the best coverage for you.
Life Insurance
Having life insurance is a way for a consumer to make certain that his family can still thrive despite his death. If he is the bread winner and the primary source of income in a family, it is a must for him to have life insurance coverage. This takes care of funeral costs, mortgage costs and whatnot in order to give a family enough time to regroup and achieve financial stability.
In estimating the amount of lifetime insurance one must purchase, a good rule of thumb would be buying coverage that is ten times one’s annual income. There are a lot of factors to consider too such as age, profession, no. of dependents, etc. One should consult with an expert on this matter, as well as on the type of life insurance to use; traditional whole life or term life.
Health Insurance
Health insurance is another major type of insurance which one must have. When illness is a major cause for bankruptcy, it would always be better to prepare for such adversary. Although it may be difficult to find an affordable health insurance, especially if one does not have an employer-sponsored program, the benefits of having to pay more for health insurance always outweigh the disadvantages. The rising medical costs today also mark for the urgency of getting a reliable health insurance policy.
Auto Insurance
Auto insurance carries the same weight as life or health insurance. It is truly a must have when unexpected events happen like accidents and theft. Reliable vehicle insurance also covers for the holder for any litigation that may arise from an accident. Simply put: when you do not have enough savings and his car gets wrecked, it is almost impossible to get your car repaired or replaced in a reasonable amount of time.