Five types of insurance you must have
Before your last trip you likely debated if you should even pay for insurance. Nobody wants to spend any additional money because we already have enough bills to deal with. We all want to try to save money on insurance because it feels like just another expense to struggle with. However, there are types of insurance you should never avoid.
What are types of insurance you must have?
Auto insurance
Don’t even think about getting on the road without being properly insured. The first major issue is that you’re not covered if anything were to happen. This means that if you get into an accident, you’re responsible for your own damage and all of the damage that’s caused to anyone else involved. You could be buying someone a new car or paying their bills while they recover from the injury. On top of this, the penalties for being caught without auto insurance are very strict. In Ontario, you could be fined anywhere from $5,000 to $25,000. It’s simply not worth the risk to not get insured.
Disability insurance
You want to get this type of insurance because you want to ensure that you’re going to have money coming in if something where to ever happen to you. You’re protecting your future income with this insurance coverage.
Travel insurance
If you’re planning on travelling in the near future, it’s important to pay the few extra bucks to protect yourself. There are different degrees of travel insurance. You don’t have to spend the big bucks for the highest form of insurance here. You can get the basic plan just to be protected when it comes to basic medical bills.
Homeowner’s insurance
I couldn’t sign my last mortgage until I was able to prove that I had insurance. Some lawyers will not sign off on your mortgage until they know that you’re insured. Not only do you protect your own personal belongings, but insurance will cover you if anything were to happen to a visitor to your home. Otherwise, you’re on the hook for anything that happens to anyone when visiting you.
If you’re renting it may be in your clause that you need to get tenants insurance to protect your own personal belongings and for liability.
Life insurance
This is another must because you need to take care of those around you. Life insurance will not only cover your funeral costs but it can financially take care of your dependents when you pass away.
Nobody ever wants to think about death. The problem is that we’re never guaranteed tomorrow.
I know that you’re likely worrying about the costs, but insurance will save you when you least expect it. These are the types of insurance that you absolutely can’t avoid.