3 Important Insurance Policies you need to buy to build a wall around your assets
A lot of people still brush off the idea of buying insurance. To them, it appears to be a waste of money paying for something that might never be needed. The reality of it is that you don’t want to get caught unawares – without insurance. Think about it, nobody plans for their car to crash. And yet, there are over 5 million car crashes in the U.S every year, resulting in over 30,000 fatalities, and more than 2 million injuries. Towards safeguarding your hard-earned savings from depletion, below are some 3 key types of insurance that you should buy while you’re still young.
Long Term Care is ongoing assistance that’s provided when an individual is unable to handle some of the basic activities of daily living, either due to injury or old age. According to Caregiver.org, over 8 million American citizens receive long-term care services every year. Given that there are over 10,000 seniors retiring every day in this country, this might not sound surprising. But 37% of those who receive long term care are individuals below the age of 65 years. The average cost of nursing home care is over $80,000. That means somebody who ends up needing long term care for 3 years in a nursing home has to pay at least $240,000. This extreme cost has the potential to ruin your hard-earned savings. To safeguard your nest egg and savings from this kind of damage, it’s wise to purchase an affordable Long Term Care plan. If you purchase this kind of insurance while very young, you end up paying minimal premiums and still have the assurance that you’ll get top-quality services in the case you need long-term care.
2) Life Insurance
When you purchase life insurance, you do it to protect your assets on behalf of your loved ones, not for yourself. In the event that you pass on, your family might face financial hard times. Life insurance pays so that your family can pay off debts, replenish their income and accomplish many other goals. This is a great way to protect your loved ones from destitution in the case you pass on.
3) Home Insurance
If you’re a homeowner already, your property is perhaps the priciest asset you own. Many people borrow money just to pay for their home. If a natural disaster destroys this property, you’d have an impossible situation where you no longer have your home, but still, owe money on it. Given that most homes in this country cost over $190,000, this isn’t something you can just replace at the snap of a finger. Home insurance protects your property from harm or loss so that you can keep your peace of mind.
In addition to these 3, there are other types of insurance that can help safeguard your assets. These include disability, auto, and liability insurance. Your needs are different from everyone else’s. Simply evaluate your requirement for insurance coverage and purchase policies that make the most sense for you.