From Auto To Life Insurance The Basics Of Getting Insured
There are certain hallmarks of growing up in America that nobody can mistake. One is perhaps moving out on your own, but even then you can be fairly reliant on your parents. When you move on to paying for things like rent or a mortgage, doing your taxes each year — that’s when you really start to feel like a mature adult. Perhaps one of the most significant markers of growing up is paying for your own insurance. Insurance comes in many forms — from auto insurance to life insurance, and even renters insurance if you choose to rent. Many are understandably unfamiliar with the ins and outs of basic insurance. For that matter, lots of people don’t even know that some types of insurance are legally necessary. The more you understand insurance, the better you’ll be able to understand what is a good deal and what is a bad one. It’s all too easy for those inexperienced with insurance to be “taken in” by a bad deal; an indeed, many are. But you don’t have to be completely inexperienced with insurance to have a bad deal. Many people familiar with auto insurance and home owners insurance are not familiar with what’s required of life insurance. Below, we’ll discuss the basics of a few different types of insurance, and in particular what you should expect to pay and what you should expect to receive in return.
Auto insurance is generally considered a necessity for getting on the road — and for many reasons. The fact is that the damage sustained to a vehicle in even a minor fender bender is not easily paid by most people. For that matter, auto accidents can occur at any point in time. No matter how safe you are as a driver, someone else could easily be a poor driver and thus severely endanger others. It’s no wonder that about 1.2 million people die in car accidents yearly. Even if you’re lucky enough to get out of an accident alive, however, you may have to deal with not only medical bills, but the high costs associated with car damage. Furthermore, there are regular costs that come with maintaining a car. A 2016 study by Your Driving Costs revealed that the average yearly cost to own and operate a typical sedan was $8,558. This was actually down from $8,698. So, what kind of expenses can you expect from auto insurance? It’s been reported that the average auto insurance expenditures rose to $841.23 in 2013, up 3.3% from the 2012 expenditures. Auto insurance certainly helps with your vehicular expenses. Remember, however, that auto insurance is not the same thing as motorcycle insurance, which will have to be sought out separately.
Home Owners Insurance
Home owners insurance, like auto insurance, is really more of a necessity than an option. Any number of bad things can happen to a home. Some involve humans, as do burglaries. Some are unavoidable natural disasters. One thing to expect if you’re seeking out home owners insurance is the inventory process. This involves taking inventory of what is in your home and relying that to your insurers. Over the past nine years, it’s estimated that half of home owners reported taking inventory of their belongings for their insurers. Home owners insurance does come in handy, with 5.3% of homes owners in 2014 having a claim. 97.3% of these claims was made up of property damage, including theft.
It should be said that life insurance is not something that’s easy for anyone to think about. It’s often something associated with older people. With that being said, any adult should consider life insurance, especially if they have children. Remarkably, it’s said that about 1/3 of people without life insurance don’t have it in part because they don’t want to think about death. As difficult as these thoughts can be, it’s undeniably going to happen — life insurance simply makes the grieving process easier for the loved ones of those who’ve passed. They take money off the mind, and that’s an important factor in moving on.