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Insurance – Protection and Peace of Mind
Insurance is something the almost every person has. There are many types of insurance, from homeowners, to renters insurance, car insurance, life insurance, accident insurance and so much more.
The best insurance coverage is never going to be enough if you can’t afford to pay for it. To minimize your expenses in paying for insurance, you really need to take a step back and think about what you need in life.
Talking with an insurance agent is not going to really get you where you want to be involving any type of insurance, because every agent is going to tell you that you need xxx no matter what someone else might tell you.
Therefore, you will have to sit down with a pen and paper to make your decisions without being forced into buying something you might not need.
To determine if you have the right types of insurance, or possibly if you are forgetting some types of insurance for the best possible protection of your assets and for your family here are a few tips and ideas.
There are four main portions to having the basic coverage involving insurance. Your home, your stuff in your home, your liability to others and your living expenses. House insurance, content insurance, liability is personal liability or vehicle liability, and living expense is disability insurance in the case you have no income what so ever.
One thing that is important to remember in the content and house insurance that you have or that you need to get is that you should have replacement cost insurance. It can be a little more expensive, but if disaster would strike, or if you were to lose everything, it is the best money on insurance that you ever spent.
Otherwise, if you don’t have replacement cost you are only going to get enough money to replace what the depreciated value of your items or your home was.
Learn more about your insurance company.
Sometimes you might not think this is important, but when you find out where their claims offices are, how the process works, how soon you can get a check, what happens if your house caught fire, how soon you can get a check to get a new car or how soon you can get a check if your spouse were to die, you might consider changing companies.
Some companies have only one or two offices, and it takes months to get a check, sometimes even years before payments have to be made to you – how will you get by in the meantime? Do you receive your entire claim upfront, or just a fraction? Does the company pay you for all the things you've lost, or only those things that you replace?
Not many people actually do this yet, but it is really important – take inventory of what you have in your home, in your office, or in your car. Use a video camera, or a camera of your choice.
About once a year, going from room to room and just taking photos is going to help if you were robbed, or if your home were to burn down, be swept away in a flood, or if lightening were to strike. Some insurance companies have a policy that they only replace what you can prove that you had, and this is the perfect way to do it!
Keep your photos, receipts or your listing of what you have somewhere else. Keep it at your parents, your children’s, or even in your safety deposit box. If something were to happen to your home or your rental property, you have a complete listing and inventory of what you had.
The more assets and things that you own, the higher your policy limits should be. For example, if you have four computers, and you do not have special coverage in your insurance policy you will not be able to get four new computers.
Check out the ‘things’ in your home, in your life, and what your family has or collects, and make sure these things are totally covered on your insurance policy. Some of the terms you might want to learn are floater or endorsement; these are terms about the higher limits of coverage for such things.
Every five years you should review your insurance policies, more often if you are getting married, if you are buying a home, moving or if you have a new baby, you should review your insurance coverage to ensure you have enough in case something would happen and your family would still be ‘taken care of’ financially.
It is important to remember that all the insurance in the world is not going to ‘do much’ for your family if you are unable to keep up on the payments or the insurance premiums. Keep your expectations low and your budgets low when first starting a family or a plan for building up your insurance plans so you can afford the payments for your own protection.