Insurance gets a bad rep for a multitude of reasons. It’s not as tangible as buying a physical product but it is just as important if not more important than buying physical products. For example, you purchase a house or a vehicle. Those are tangible products. What if someone breaks into your new vehicle or home and steals something? Since you just bought them, you cannot afford to buy a new one so what are you going to do?
This is where insurance comes into play. Insurance helps you mend the damage done to your expensive or “priceless” items.
You need insurance. It is mandatory to have car insurance mainly because of the liability and if you take a mortgage out on your home, you are required to have insurance.
Here’s where I make you feel better about not-required insurance. Replacing expensive products or even something priceless like your life is next to impossible. An analogy for insurance is a safety net. It serves as a protection against any expensive accident and helps cover the cost of the accident. Keep your valuables safe with this net of protection and protect your loved ones from the burden of unexpected expenses.
Even if you do not have some life changing accident, you cannot avoid the unavoidable: aging. No matter how healthy you are and how much you exercise, the older you get, the more medical attention you will need. Long term healthcare is a necessary, yet expensive, service with an unknown ending. Most people do not expect they will need long term medical treatment and if they do, it’s extremely hard to gauge how long and how much the care will cost.
How about Medicare?
While Medicare covers some medical expenses, it is extremely limited and only covers a small portion of treatment. Secondly, Medicare fails to cover long term care and custodial care thus even if individuals are relying on only this program, they will still have to pay out of pocket. Because of the lack of coverage on Medicare’s behalf, individuals still have to set money aside for medical expenses.
If you are still not convinced that non-required insurance is necessary, here is where you change your mind. Say you or your spouse other pass away unexpectedly. Your family, who relied on that second form of income, no longer has that extra money coming in. Would you want to leave your loved ones with no financial support in the chance of your demise? Never. That is why you prepare for the event that if you pass away, your children have funding for their education, your spouse cannot afford to pay the mortgage, or even general care for your family. Protect your family’s future and get life insurance.
Because many programs like Medicare are partial coverage, it is crucial to have your own form of coverage to protect you against expensive life bills such as car accidents, medical accidents, and home incidents. There are many different styles of insurance that fit a wide variety of individuals needs and finding the right protection plan takes time. Meet with an advisor to discuss different insurance options to find the right insurance plan for you and your family. Yes, insurance can be pricey but paying in small increments over time is easier than one giant medical bill.
This material contains only general descriptions and is not a solicitation to sell any insurance product or security, nor is it intended as any financial or tax advice. For information about specific insurance needs or situations, contact your insurance agent. Guarantees are based on the claims paying ability of the issuing company. State insurance laws and insurance underwriting may affect your available coverage and its costs. You may also visit your state’s insurance department for more information.