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Four Types of Insurance Everyone Should Have

While insurance can be a costly monthly addition, insurance is there for a reason. Despite the hope of never being put in a situation where insurance is needed, no one is invincible, and insurance is used everyday by thousands of people.

Insurance protects your assets—your family, your home, your car, etc.—and by extension, your finances. Being placed in a situation without insurance can cost you hundreds of thousands of dollars, placing your well-being and financial stability at risk.

Here are four types of insurance policies you should have:

Most states require anyone with a vehicle to have car insurance. However, for the areas that do not require auto insurance, if you get into an accident, you could be sued. Additionally, for those who do have insurance, but have a low-coverage plan, in the event of an accident, your insurance may not be of much help. Insurance is only as good as the coverage it provides, thus it is important to find a reliable, quality auto insurance company, like Excalibur Insurance in Ontario. Should the worst happen, good auto insurance companies will provide you with the coverage and peace of mind you need in the situation.

Because your home is usually one of your most valuable assets, it is important you keep it protected. Natural disasters and accidents ruin homes and lives every single day, and losing both your memories, your security, and your biggest financial asset in one fail swoop can lead to financial turmoil if you are not insured.

Homeowners insurance can help replace your home lest an accident happens. Similarly to auto insurance, make sure your home includes the right type of coverage. For instance, if you live in a tropical area where hurricanes happen frequently, make sure your house is protected from hurricane damage. Many believe they have the right coverage, later finding out their company does not protect them under certain circumstances.

This is an important insurance, as it gives those who depend upon you a chance at survival should you unexpectedly pass away. While no one hopes they need to use their life insurance plan, it can offer you and your family a great deal of peace of mind to know that if the worst were to happen, they would be able to take care of themselves.

Many do not know disability insurance exists, or assumes that disability insurance is covered in their health care insurance plan. However, in many cases, disabilities are not covered and need a separate insurance plan. While no one necessarily expects to develop a disability, paying for coverage can be a wise idea, for care for a disability can be extremely costly. From an unexpected trauma, such as a car accident injury, to an unexpected illness, such as malaria, disabilities can manifest themselves in many forms, and can cause you quite a bit out of pocket if you are not prepared.

These four insurances are essential to keeping you financially safe and secure throughout your life.

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