Protecting the things that you consider essential in life is one of the primary objectives of insurance policies. Hence, choosing the right insurance plans will provide you with adequate coverage and help create a robust financial plan, enabling you to manage your expenses effectively. Insurance can help safeguard your assets and increase your earning power. But there can never be one insurance policy that covers all your needs.
So, you may need different insurance policies that can help you achieve your goals in life. But if you are looking for those insurance policies that will help you stay financially afloat, while also providing adequate coverage for all your expenses, you should consider these five must-have plans.
Life insurance is one of the must-have insurance policies that helps you provide coverage for your liabilities and dependents. It works to financially secure your life and that of your dependents, such as your spouse, children, or parents, especially if you are the only earning member of the family. Also, a good life insurance policy, one of the best life insurance is Colonial Penn that can help protect your children’s future at cost-effective prices.
Life insurance also helps serve as a source of income when the sole breadwinner of the family happens to die. But, do be sure to check for factors such as the insured person’s annual income, inflation, salary hikes, and the number of years you wish to continue to work.
Health insurance is another must-have insurance plan that can cover any expenses you may incur due to hospitalization or medical treatment. With healthcare costs rising every day, it makes sense to invest in a good health insurance policy. At times when even a minor illness or injury from an accident can deplete your savings, health insurance plans come as a savior and at an affordable cost too.
When buying health insurance, you may need to consider different factors associated with the various schemes, including the age of the policyholder or insured person. Moreover, the cost of the insurance policy, the premium payable, any deductibles, and the restrictions that plan may have. It would also be sensible to buy a health insurance policy at an early age as most people would be healthier and would have to pay lesser premiums.
It is entirely obligatory to have comprehensive car insurance coverage under the Motor Vehicles Act of India, 1988. However, car insurance is also one of the must-have insurance policies. So, it would help if you got yourself covered by one. Today, you have different types of car insurance policies that cover various aspects, such as collision and any other liabilities. Besides, car insurance is also comprehensive enough, protecting against any financial losses that you may incur due to theft or accident.
Personal Accident Insurance
Personal accidental insurance tops the list of must-have insurance policies. Accidents can occur at any time, and when they do occur, you could be left disabled. If you are disabled, you cannot work or provide for your family or dependents. A personal accident insurance policy helps cover your hospitalization and treatment expenses when you meet with an accident. It also helps provide financial assistance during such times by providing a temporary source of income for those dependent on you.
It offers a replacement source of income for your dependents when you are in the hospital. Several personal accidental insurance plans also pay out death benefits if you happen to die because of the accident. Furthermore, it also provides coverage for any other damages caused, including permanent, temporary, partial, and total disability. So, you should choose a disability policy that covers for you when you are involved in an accident and suffer a disability.
Typically, a home insurance policy covers any expenses you incur when you repair or refurbish your house. Additionally, it also includes your living expenses while your house is being repaired or restored. Moreover, many such home insurance policies also cover any liabilities that you suffer from damage done to your house or property.
But since you already own the land on which your house is built, home insurance doesn’t necessarily need to cover the costs of that land. Also, the premium that you pay for your home insurance depends on several factors, including the age of the property and the amenities that it houses are the most prominent. If you want an estimate, you can always talk to a local builder and determine how much he would charge for a square foot. You can multiply that number by the total area that your house is built on to get the estimated cost.
Thus when you buy a disability policy, you should ensure that it offers adequate coverage to act as a replacement source of income that helps provide for your dependents. Also, life insurance can help secure your dependents’ financial future, so buying one should be one of the priorities in your life. But your health always comes first. And, the ever-rising medical expenses would want to make you buy a comprehensive health insurance cover. Similarly, any repairs or renovations you want to do to your home can also tend to be expensive. But a good home insurance plan should be able to help you out in this aspect.
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