Insurance
Need Insurance for the Trip?
Some companies are now marketing a trip insurance policy designed specifically for the nation’s 3 million time-share owners. The policy usually includes standard trip insurance features such as coverage for trip interruptions, emergency medical treatment, medical evacuations, and lost or delayed baggage. But the policy also includes special coverage for time-share exchange fees, annual maintenance fees, roadside assistance and even accidental damage to furnishings in the unit.
Why You May Need a Million Dollar Insurance Policy
It turns out that rich people may need life insurance more than you and I. Many people who are worth millions take out a policy to pay inheritance taxes. Life insurance proceeds to heirs are not taxed. Having the policy will allow the heirs to pay the inheritance taxes and keep the assets bequeathed to them.
Insufficient Auto Insurance Coverage Common
How can you keep a collision from becoming a financial disaster? If you own a home or have a lot of assets they could be at risk if you’re underinsured. For bodily-injury and uninsured motorist coverage, you should be covered for $250,000 per person and $500,000 per accident. It will raise your premiums, but it’s worth it if it means saving your home. Another area where people are commonly underinsured is property damage coverage. States generally recommend $10,000-$20,000 worth of coverage, but you should consider up $100,000 worth of coverage in case you hit an expensive car.
Uninsured Add $900 to Health Premiums
Health insurance premiums will cost families and employers an extra $922 on average this year to cover the costs of caring for the uninsured according to a recent report. With the added cost, the yearly premiums for a family with coverage through an employer will average $10,979. The study shows the problem is not restricted to the tens of millions of uninsured Americans. Rather, the problem affects everyone, because the insured subsidize the cost of care given the uninsured.
Is Insurance a Waste of Money?
Many consumers think having insurance is a waste of money, but that’s really only the case if you have enough money stashed away to pay for a potential unexpected situation. In reality, if you can’t afford to pay for the potential risk, you end up going into debt and paying even more than the principal because interest on the debt adds up.
