Insurance has become a necessity today. Most of our financial decisions involve buying or getting insurance policies. Before we can drive, we need to look for the best car insurance. Before we can buy a new house, we need to avail a home insurance and the list goes on.
We need insurance to protect ourselves against unforeseen events in the future. However, you need to know a lot of things with regards to each insurance policy. There are hundreds of different types of insurance available in the market. Choosing the best one can be really tough sometimes.
Here are 5 insurance policies you must have:
1. MEDICAL INSURANCE
The most important insurance policy for our self and our family that gives us protection against hospitalization costs. Depending on where you are, medical costs can be a huge burden. There are several types of health insurance available in the market and you may choose the best one that suits your needs.
2. CRITICAL ILLNESS INSURANCE
It is a must to have critical illness policy on top of your medical insurance because medical insurance only pays your hospital bills but won’t give you any allowance throughout the hospitalization. In case of a critical illness, you might find yourself unemployed or taking rest for an uncertain period. Having a critical illness plan can give lump sum payout to help you tide the recovery period.
3. ACCIDENT INSURANCE
Accidents can happen anytime and having an accident plan helps to minimize related risks. Medical policies often do not cover outpatient treatment due to accident. Accidental insurance also gives lump sum payout in the event of accidental death or accidental dismemberment.
4. DEATH/DISABILITY INSURANCE
Being the bread owner of a family, you need to have this policy. It’s a legacy you leave to them in case of untimely demise. Such a policy usually covers both death and total disability.
5. INVESTMENT/RETIREMENT INSURANCE
Once you have all the other insurance policies to protect yourself, you may now plan for your future. Invest to grow your money and plan for your retirement with a lot of investment policies offered by most insurance companies. Visit websites to check past performances of different companies to help you decide which investment funds can give you the best return for your money.
Buying insurance is a long term commitment, so you need to research and choose the best insurance policies for yourself.