What ” types of insurance ” do we really need terms in our lives? Nowadays, you can hire insurance for almost everything . Did you know, for example, that Julia Roberts, an American actress, has insurance for her teeth. Incredible, that’s right, you probably do not need to cover insurance from any part of your body, especially for having to pay thousands of dollars annually.
The most common question among people is, ” Why should I hire car insurance, travel insurance or life insurance? “Well, to protect yourself and also protect the people you love in case there is a more serious problem with health, unemployment or even death. You could spend hours researching and reading about life insurance and car insurance to find out which one suits your needs, there are dozens of company websites and blogs that talk about this subject.
In this post we will share with you three (3) insurance options that you really need (in addition to, of course, health insurance). Your time is very precious and no one would like to spend hours and hours reading about such matters, but this is essential for making smart financial choices. What’s more, being informed can make the total difference between acquiring excellent insurance policies and paying a lot for the wrong plan. So keep reading …
1. Life insurance
If you look at the commercials for life insurance plans you will see that, for the most part, the protagonists are advanced seniors playing tennis and warning of the importance of securing their own funeral expenses, however life insurance is significantly more than just financing a turnaround. Life insurance there are terms that allow your spouse and your children to continue paying bills if something happens to you.
Usually we believe that if we do not have dependents and do not need life insurance, but if you have debts, cash finance contract, housing loan or student credit or were the guarantor of some business, your life insurance can be used to repay your personal loans. It really will be worth it, since your life insurance that your company provides may be inadequate, especially in case you have dependents. Preferably to the coverages of your own life insurance policy.
2. Secure protected income or secure salary
The odds of contracting an illness or trauma that become permanent or temporarily disabled are 25%, clearly, this is a very frightening prospect, but instead of focusing on it, you could simply take proactive action to ensure that you are your family are covered and safe. Invalidity income insurance can pay up to 60% of your salary in case of disability.
Disability income insurance goes into effect when the person becomes partially, totally, temporarily or permanently disabled – but there is a waiting period before the benefits begin, ranging from 30 to 120 days. The longer the waiting period in your plan, the cheaper your premiums are. Note that the disability insurance plan is high priced, often between 1% and 5% of salary, some private companies offer this as a benefit to the employee.
3. Car or automobile insurance
If you have a car or rent one, car insurance is not negotiable, in the Brazilian market there are different types that should be considered. A comprehensive and collision insurance will cover damage to your car and can help replace it if it is stolen. Liability insurance covers you if you are sued after causing an accident.
In today’s litigious world, this possibility is greater than ever, and if it does, your financial life can be derailed by a few tens of thousands of dollars at a cost. For civil liability insurance , there are three maximum liability limits that you can get on a car insurance policy: personal injury per person in a particular accident, personal injury to all injured in a particular accident and personal injury in a particular accident.
However, you may want higher limits than the minimum required. The recommendation is that you find an optimal coverage limit for each type of insurance , plus get additional umbrella coverage (in another article we’ll talk about it).