Every family needs to be safe. Essentially, that is what insurance does. And while it can cost a pretty penny, it makes sure that unexpected and tragic circumstances don’t financially destroy you. Here are some insurance products that every family needs.
Basically, disability insurance protects you from a worst-case scenario. If you are in an accident that renders you unable to work for whatever reason, disability insurance will keep you afloat. It doesn’t pay for medical bills (hopefully, you already have basic medical insurance for that), but it does provide a safety net for afterward. Different kinds of disability insurance with different parameters and coverage will be good or bad for certain situations. Try and figure out if long-term or short-term disability insurance would be the best option for you. While disability is not a likelihood, when it does happen it can be crippling.
Similar to disability insurance, life insurance is about the worst-case scenario. It may not be pleasant to think about – but it is important to plan for any possibility. Life insurance guarantees money in the case of your death, usually to your family. This is especially important if you have kids and are the primary breadwinner. Your spouse and children will need immediate financial support while struggling emotionally in the wake of your death. Life insurance provides this, and the funds can be used for many different purposes (including funeral and therapy services). Have a financial plan and know your different options in just such a scenario; memorial services don’t involve a casket whereas a funeral does, for example.
The last insurance you should know about is not technically essential… but might as well be. The many different kinds of homeowners insurance can protect you from the many different kinds of disasters that can befall you and your property. You need to protect against weather and damage from the elements, like storms, floods, fires, and the like – not to mention vandalism. You can also insure your belongings in your home against theft and damage. Every policy is going to have some variation in coverage, so make sure you know what you’re getting into. And if you don’t own a home yet – don’t worry! Renters insurance does much of the same.
Your family is the singular most important part of your life. Your lives need to be protected against the worst-case scenarios. You never think it can happen to you until it does. So, make the investments necessary to be prepared.
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