Insurance is one of those things you only really see the value of when you need it. The majority of the time, you’re spending money on something you don’t really use, and it can seem like a huge waste. In fact, if you were to cancel all of the insurances you currently pay every year, you’d probably end up with a much larger disposable income. However, if something were to go wrong and you weren’t covered, you’d surely regret it. Here are the five most important insurances you shouldn’t go without.
Firstly, driving on the road without insurance is illegal, so you’re forced to have car insurance no matter what your view on it is. You could be the safest driver in the world and still be involved in a car accident. No matter how cautious you are, there will always be other drivers who aren’t cautious at all, and have no problem putting the lives of others at risk. There are also times when car accidents happen that are no-one’s fault. For example, you may crash into another car because of black ice on the road or terrible driving conditions because of torrential rain. Don’t risk driving without the proper insurance.
There are many people who have risked on going on holiday without insurance and lived to regret it. You’re on holiday, relaxing and having a good time. What could possibly go wrong? Well, the same number of things that can go wrong while you’re at home. You may fall over after drinking one too many sangrias or slip on a wet hotel floor. You may even have to contact injury lawyers if the accident wasn’t your fault. Whatever happens, if you haven’t got insurance, you could be looking at paying a large medical bill if you have to make use of hospital services while you’re away. That isn’t something you want to return home to.
It’s important to have home insurance when you own a home. In fact, it’s a necessity for many people wanting a mortgage because lenders want to know that their investment is protected. Think about how much money you’ve put into your home. Do you really want to risk losing everything in the event of a flood or fire damage? It’s important to check and double check what your insurance policy covers you for. Countless people have assumed they’ll be covered for flood damage only to find out they have to pay for repairs by themselves.
No-one expects to have their lives cut short. Sadly, it happens to people every day. If you have a spouse or children that rely on your income, it’s important to have a life insurance policy. If something were to happen to you, it means that your family will be provided for to a certain extent. It often means that families can pay off debt, including a mortgage, in full. You may also want to write a will, so your family know your wishes should the worst happen.