Although we may never be able to prevent the unexpected from happening, there are ways we can protect ourselves and our families from its most severe monetary fallout. There are various types of insurance policies available and no matter the cost savings may result, no excess expenditure should ever occur.
Assuming you know the particulars of your situation, selecting and purchasing an adequate type and level of insurance should always depend on personal factors like children, age, lifestyle and business benefits as a basis.
Financial experts often recommend everyone have four kinds of coverage: life, health, auto and long term disability insurance.
- Life Insurance
Life insurance provides your loved ones with financial security should something unexpectedly arise that causes your death. This is especially important if they rely on you for support or need your compensation in some form.
Industry specialists often recommend purchasing an insurance policy that offers 10 times your yearly income in benefits.
Not everyone can bear the cost of life insurance premiums. When considering your desired life coverage needs, make an estimate of funeral and burial costs before considering other costs that arise daily for you and your family – such as home loan payments, special advances, credit card obligations, charges, child care fees or future school costs.
Never discount alternative sources of family income. LIMRA (Life Insurance and Market Research Association), in a recent report, discovered that most U.S. families rely on two incomes. Furthermore, nearly one fourth of families would experience financial difficulty within one month after the loss of a breadwinner.
- Health care coverage
Health Care Coverage In 2021, roughly 9.2% of the American populace did not have health care coverage, as reported by the Centers for Infectious Prevention (CDC)’s Public Community for Wellbeing Measures. Over 60% sourced their health coverage through private businesses or in the private insurance marketplace, while the remainder received assistance through government programs including Federal health insurance/Medicaid/veterans’ benefit programs and “Obamacare”.
With medical insurance in place, there’s no clear reason to skip out on annual health visits or visit a specialist for any unexpected illnesses or accidents that arise; furthermore, any bills generated due to an injury sustained will not become unmanageable or incur a huge financial strain in case something unexpected should arise requiring attention or you or a member of your household become chronically ill.
If your finances are tight, any insurance policy, no matter how small, is better than none. With 80 million Americans eligible for Medicaid eligibility alone, having even one policy might just help cover costs in case they fall on hard times.
If your income falls within a reasonable range, but not quite enough to afford insurance, then you could qualify for sponsored coverage under the government Reasonable Consideration Act.
As salaried representatives, participating in your manager’s insurance plan may be the most economical and prudent solution. According to research conducted by Kaiser Family Foundation,
- Long haul Handicap Coverage
Long term handicap insurance is something many of us believe we will never need, yet according to measurements by the Government Managed Retirement Organization, one out of every four newcomers to the labor force will become incapacitated before reaching retirement age and become unworkable.
Even laborers with comprehensive health care coverage, adequate savings accounts, and life insurance don’t always prepare for a day when they might no longer have access to work for weeks, months, or at any point in the future. While medical costs such as hospitalization or doctor’s visits might be covered, you will still have all of your costs taken care of by checks taken out of their paychecks.
Many companies provide short and long-term inability insurance as part of their benefits package, making this the optimal method to secure reasonable disability coverage.
- Collision protection
Crash Protection Despite ongoing improvements to automobile security, according to the Public Thruway Traffic Wellbeing Organization an estimated 31,720 individuals died from auto crashes on U.S. streets and expressways between January 1 and September of 2021, as reported by the organization.
Practically all states mandate drivers carry accident protection, and those that don’t hold drivers financially liable for any harm caused.
Collision coverage will not only cover costs associated with an accident but can also protect you against potential lawsuits that might arise as a result of it. Furthermore, this insurance protects against theft, vandalism or catastrophic events like hurricanes.
As with any insurance policy, your individual circumstances will ultimately dictate its cost. Review several rate statements and coverage offerings periodically to check if you meet criteria for a lower premium rate due to age, driving record or location.