Protecting Your Financial Future: The Complete Guide to Insurance

No matter how long or hard you work, your financial future can be affected by circumstances that you can’t control or predict. No one expects to get sick, go through a major car accident or lose their home to a fire, but unfortunately, these things happen every day. If you’re uninsured, they can be financially devastating on top of everything else. Arming yourself with knowledge about the types of insurance you’re required to have, and additional available policies can help protect you and your family’s financial security in the event of property damage, asset losses, health issues, loss of income or even death.

THIS EBOOK WILL HELP YOU:
  • Protect yourself from legal action and financial loss
  • Determine what kind of coverage you need for health, auto, property and life insurance
  • Understand the hidden costs of some policies, and what they actually cover
  • Find steps you can take to lower your insurance rates

 

Table of Contents:

HEALTH INSURANCE

Terms You Need to Know ………………………………………………………………………….. 6
Who Can Be on My Insurance Plan …………………………………………………………… 7
Costs for the Typical Adult ………………………………………………………………………… 9
Comparing Plans …………………………………………………………………………………… 11
Dental Plans …………………………………………………………………………………………… 13
Vision Plans ……………………………………………………………………………………………. 15

AUTO INSURANCE

Terms You Need to Know …………………………………………………………………………. 19
Who Can Be on My Insurance Plan …………………………………………………………. 20
Liability and Comprehensive Coverage ……………………………………………………. 20
How Rates are Set ………………………………………………………………………………….. 22
Policy Lapses & Cancellations …………………………………………………………………. 24
High-Risk Drivers ……………………………………………………………………………………. 25

PROPERTY INSURANCE

Terms You Need to Know …………………………………………………………………………. 29
Renter’s Insurance …………………………………………………………………………………. 30
Fires & Floods …………………………………………………………………………………………. 31
When to File a Claim ………………………………………………………………………………. 34

LIFE INSURANCE

Terms You Need to Know ………………………………………………………………………… 38
Term vs. Whole Life Insurance ……………………………………………………………….. 39
How Much Do You Need? ……………………………………………………………………….. 41
Average Costs ………………………………………………………………………………………… 42
Common Tax Questions …………………………………………………………………………. 46

A Look Inside: Chapter 2

 

 

While auto insurance is mandatory in most states, there are still a fair number of drivers who choose to forgo this coverage — often to their financial detriment. There are millions of car accidents in the United States each year, and according to the National Safety Council, the average property damage resulting from those accidents is $9,3001. If there were non-fatal, but disabling injuries as a result of the accident, that average figure goes up to more than $78,000.

 

 

To get the most out of a policy, read on to find out:

  • What to look for in a policy, and why the minimum required coverage may not be enough
  • Tips for younger drivers to dramatically reduce car insurance costs
  • How to get and keep a low rate at any age
  • What steps to take if your insurance lapses or your policy is canceled

 

AUTO INSURANCE TERMS YOU NEED TO KNOW

Auto Liability Insurance – The minimum car insurance required in most states provides set coverage limits for

bodily injury (per person injured, and a maximum per accident) and property damage incurred by others in the event of an accident the insured driver caused.

Collision Policy – The most common form of optional coverage. It covers the cost (minus your deductible)

of repairing damage to a vehicle when the insured driver is at fault or the at-fault driver is unknown.

Comprehensive Auto Insurance – Optional insurance that covers damage as a result of non-collision factors, such weather and theft.

Medical Payment Coverage – Optional insurance that will cover costs above the liability limit for some of the medical and funeral expenses incurred by an insured individual as the result of an accident.

Uninsured Motorist Coverage – Pays for damages to your car and bodily injury to occupants of the car in the event of an accident caused by a driver without insurance.

 

WHAT IS AUTO LIABILITY INSURANCE AND WHAT DOES IT COVER?

Liability car insurance covers vehicle damages and bodily injury to others resulting from an accident that the insured individual caused. Auto liability insurance does not cover the cost of repairs done to the personal car of the insured. Liability car insurance is also one of the few mandatory coverage requirements in nearly every state. The minimum limits of coverage vary and depend on state laws.