The Four Most Important Types of Insurance
Insurance is one thing that most folks would rather have and not need than need and not have. That's why it's important to remember these particular types of insurance. Investing wisely in a sound plan can ensure that your quality of life, everything you’ve worked for, will not be put in jeopardy by one life’s everyday occurrences. It’s your peace of mind and your safety net in the event that it is needed.
Providing for your family in the event of a catastrophe is your position as the primary bread winner of the household; or even if you supply the secondary income for your family, then too can your loss have far reaching effects. Most agents suggest that your life insurance should encompass eight to ten times your yearly income. This way after you pass on, your family can replace your income by investing a portion so they can continue to live as they've grown accustomed. This is not to be taken for granted. Nearly one-third of our nation's adult population don't have life insurance. More than half a million people die prematurely each year. People in the prime of their lives. Whenever your salary changes, whenever there is a change to your living situation - at each significant life event - you need to reevaluate your life insurance policy.
Long-Term Disability Insurance
If you're permanently injured, life insurance will not provide for you or your family in the event of such an occurrence. In this case, you need long-term disability insurance. This will provide as much as 70% of your income, usually until the age of 65. This is a solution best sought through your workplace; it will be far more affordable this way. However, this is a necessity. 49 people become disable every minute in the United States. 3 in 10 people in the workforce will be disabled before they retire.
Long-Term Care Insurance
At the age of 60, you should starting thinking about long-term care insurance. Remember 60, though because after the age of 60, it can be expensive. In the twilight years of our lives, though it is absolutely vital to your quality of life, a nursing home can cost around $50,000 each year. Talk to your wife or your husband about long-term care insurance. As a household this is what you'll need to ensure that your last years are made as pleasant as possible.
Homeowner’s / Renter’s Insurance
Your home is your most important primary asset. It is the single most expensive and valuable item most will own in their lifetime. Properly protecting it is your job as the owner of such an important asset. Even if you rent your home, you are still responsible for it.
It's important when shopping for homeowner's insurance that you invest in one that affords you guaranteed replacement costs. This way, if something happens to your home, you are sure to be covered. Otherwise you'll probably only be covered for the value of your home. That means if the value of your home increases you should update your policy.
Renter's insurance will protect you and your contents. The responsibility of an accident or mistakes is on you. Not to mention the various liabilities that may need to be taken care of during the time that you are renting. Renter's insurance will protect the value of your contents and is a must have for anyone renting a home or apartment.