Insurance is a way of managing risks. When you buy insurance, you transfer the cost of a potential loss to the insurance company in exchange for a fee, known as the premium. Insurance companies invest the funds securely, so they can grow and pay out when there’s a claim.
Insurance can help you to do things like; own a home, a vehicle, maintain your current standard of living if you become disabled or have a critical illness, cover health care costs like prescription drugs, dental care, vision care and other health-related items, provide for your family in the event of a death, start and run your own business and even take vacations without worrying about how you’re going to afford them.
So you see, insurance does many things and there’s even more than we’ve already mentioned. Disaster comes in many forms; vehicle break down, roof leak, home fire, an automobile accident that leads to a legal action and even someone in the family becoming ill.
Insurance is there to provide protection for yourself, your investment and your business. It gives you peace of mind and you know that if anything happens to you, your family or your business, you will be financially secure. The best course of action is always to prepare for the worst and hope for the best!
Knowing all of that, why then do so many of us not look for insurance coverage in the right ways? Starting tomorrow we’re going to look at 18 of the most common mistakes people make when shopping for insurance. Until then!