About a year or so ago, a major consumer protection magazine reviewed books about personal finance written by the well-known gurus on the subject. The magazine found that the subject of insurance was hardly covered at all.
If you think about it, this is a strange failure on the authors’ parts. Without insurance the best laid financial plans can disappear in a moment of inattention or a puff of smoke. All you saved and invested can be gone in seconds.
Insurance is here to make sure an accident does not destroy you. It protects against fire, flood, theft and collision.
It will defend you if you injure someone in an accident.
It will allow your surviving family to carry on for a time without the income you produce and it will even replace that income if you become disabled.
Many people don’t believe that a disaster will befall them. Or they want to spend the money on something that’s more fun.
But as expensive as insurance may seem, and certain policies, like disability insurance can be quite costly, it is substantially cheaper than the alternative.
If you home burns down and you lose it and its contents, the premium you pay now will seem like peanuts.
If you run someone over with your car and cause them serious injuries, the cost of your legal defense alone is many times what you pay for the policy.
Insurance is the difference between picking yourself up and carrying on after a disaster or facing bankruptcy and financial ruin.
In my opinion every wage earner should have term life and a disability income replacement policy.
If you own a home or rent, you need homeowners or renters insurance.
If you have a car, auto insurance is mandatory in most states – and don’t think the legal minimums required by most states will protect you in a serious accident.
Finally you need good health insurance coverage, preferably backed up by a high limit major medical policy.
Prepare for life’s risks so you don’t become one of its victims.
For more information on insurance and financial planning, visit http://www.credit-yourself.com/insurance.html
By: Christopher Cooper
Posts Tagged ‘Renters Insurance’
Why Is Insurance Important?
March 24th, 2010Top 10 Money-saving Auto Insurance Tips
January 28th, 2010Looking to get a cheap insurance rate? Here are the top 10 money-saving auto insurance tips that will save you a bundle on your auto insurance.
1. Consolidate Your Policies
Placing your homeowners or renters insurance and your auto insurance with the same insurance company can save you 5% to 15% on you insurance premium. Plus, you’ll only have one company to deal with.
2. Increase Your Deductible
The deductible is the amount of money you have to pay toward a claim before your insurance company will pay. By increasing your deductible you’ll lower your insurance premium. Increasing it from $200 to just $500 can save you up to 30% on your auto insurance.
3. Get Safety Discounts
Most insurance companies will give you a discount for having safety features like air bags, anti-lock brakes, and automatic seat belts.
4. Get Security Discounts
You can get a good-sized discount for having a car alarm, anti-theft device, or electronic disabler installed on your car.
5. Get Low Mileage Discounts
Most insurance companies will give you a low mileage discount if you drive your car less than the average driver.
6. Ask About Other Discounts
Insurance companies offer all kinds of discounts – senior discounts, safe driver discounts, driver education discounts, good student discounts, military discounts, and law enforcement discounts. Ask your insurer about all the discounts that are available to you and have them included in your policy.
7. Buy a Low-Profile Car
Cars that cost a lot to repair, like high-end sports cars, and cars that are targeted by thieves, cost a lot more to insure than less expensive late model sedans.
8. Maintain a Good Credit Rating
Believe it or not, your credit rating is now used by some companies to rate your insurance premium. To lower your premium, take a look at your credit rating and see if you can improve it, or choose a credit company that doesn’t use credit ratings to judge insurance risk.
9. Drop Collision and Comprehensive Coverage
Collision coverage pays to repair your car when you’re in an accident, and comprehensive coverage pays for repairs caused by fire, vandalism, and severe weather. If your car is worth less than your premium plus your deductible, it’s probably not worth carrying collision and comprehensive coverage.
10. Compare Rate Quotes
Because insurance rates can vary by hundreds of dollars from one company to another, comparing quotes and choosing the cheapest one is the best way to save money on your auto insurance. Rather than spending hours of your time calling companies on the phone or going to their websites, go to an insurance comparison website where you can get quotes from a number of companies in a matter of minutes.
Visit http://www.LowerRateQuotes.com or click on the following link to get auto insurance rate quotes from top-rated companies and see how much you can save. You can get more auto insurance tips in their Articles section, and get answers to your questions from an insurance expert by using their online chat service.
By: ryan@thesatellitetvguide.com
