TYPES OF INSURANCE COVERAGE I OFFER
Life insurance
Life insurance is a contract between an insurer and a policy owner. A life insurance policy guarantees the insurer pays a sum of money to named beneficiaries when the insured dies in exchange for the premiums paid by the policyholder during their lifetime.
The life insurance application must accurately disclose the insured’s past and current health conditions and high-risk activities to enforce the contract.
Key Takeaways
- Life insurance is a legally binding contract that pays a death benefit to the policy owner when the insured dies.
- For a life insurance policy to remain in force, the policyholder must pay a single premium upfront or pay regular premiums over time.
- When the insured dies, the policy’s named beneficiaries will receive the policy’s face value, or death benefit.
- Term life insurance policies expire after a certain number of years. Permanent life insurance policies remain active until the insured dies, stops paying premiums, or surrenders the policy.
- A life insurance policy is only as good as the financial strength of the company that issues it. State guaranty funds may pay claims if the issuer can’t.
Auto Insurance
When you buy or lease a car, it’s important to protect that investment. Getting auto insurance can offer reassurance in case you’re involved in an accident or the vehicle is stolen, vandalized or damaged by a natural disaster. Instead of paying out-of-pocket for auto accidents, people pay annual premiums to an auto insurance company; the company then pays all or most of the costs associated with an auto accident or other vehicle damage.
Key Takeaways
- Car insurance is designed to protect you against financial losses if you’re involved in an accident or the vehicle is damaged in some way.
- Most states require you to have minimum amounts of liability insurance coverage; some also require you to have other coverage types, such as uninsured motorist coverage.
- Premiums are what you pay monthly, biannually or yearly to maintain a car insurance policy while deductibles are amounts you pay when you file a claim.
- It’s important to shop around for the best car insurance rates to find the right coverage for your vehicle at the right price.
Property insurance
Property insurance is a broad term for a series of policies that provide either property protection coverage or liability coverage for property owners. Property insurance provides financial reimbursement to the owner or renter of a structure and its contents in case there is damage or theft—and to a person other than the owner or renter if that person is injured on the property.
Property insurance can include a number of policies, such as homeowners insurance, renters insurance, flood insurance, and earthquake insurance. Personal property is usually covered by a homeowners or renters policy. The exception is personal property that is very high value and expensive—this is usually covered by purchasing an addition to the policy called a “rider.” If there’s a claim, the property insurance policy will either reimburse the policyholder for the actual value of the damage or the replacement cost to fix the problem.
Key Takeaways
- Property insurance refers to a series of policies that offer either property protection or liability coverage.
- Property insurance can include homeowners insurance, renters insurance, flood insurance, and earthquake insurance, among other policies.
- The three types of property insurance coverage include replacement cost, actual cash value, and extended replacement costs.
motorcycle insurance
Choosing the right insurance policy is much like choosing the right motorcycle. You want it to fit your needs and lifestyle—and to be within your budget. Here’s a guide to insurance coverage for your bike—and some tips to make your insurance ride more “easy” on your wallet.
In order to find out what coverage is best for you, it is important to understand all the options available.
Key Takeaways
- Motorcycle insurance is designed to protect you against financial losses if you’re involved in an accident or the vehicle is damaged in some way.
- Most states require you to have minimum amounts of liability insurance coverage; some also require you to have other coverage types, such as uninsured motorist coverage.
- It’s important to shop around for the best motorcycle insurance rates to find the right coverage for your vehicle at the right price.
Travel insurance
Travel insurance is a type of insurance that covers the costs and losses associated with traveling. It is useful protection for those traveling domestically or abroad.
According to a 2021 survey by insurance company Battleface, almost half of Americans have faced fees or had to absorb the cost of losses when traveling without travel insurance. Thirty-six percent of Americans say they’re more likely to purchase travel insurance for trips abroad following the COVID-19 pandemic while 34% said they’re more likely to do so for domestic trips.
Key Takeaways
- Many companies selling travel packages also offer travel insurance.
- Some travel policies cover damage to personal property, rented equipment, such as rental cars, and even ransom requests.
- The main categories of travel insurance include trip cancellation or interruption coverage, baggage and personal effects coverage, medical coverage, and accidental death or flight accident coverage.
- Coverage often includes 24/7 emergency services, such as replacing lost passports, cash wire assistance, and re-booking canceled flights.
Pet insurance
Pet insurance is an insurance policy bought by a pet owner which helps to lessen the overall costs of expensive veterinary bills. This coverage is similar to health insurance policies for humans. Pet insurance will cover, either entirely or in part, the often expensive veterinary procedures. Evaluating and comparing pet insurance plans is necessary in order to find the right plan for you.
As with human health insurance, there is usually a deductible, which is an out-of-pocket expense before the coverage begins. Most providers will base the amount of the insurance premium on the average cost of veterinary care in the owner’s region. Also, the policy may not cover all veterinary procedures.
Key Takeaways
- Pet insurance is a policy purchased by a pet owner to offset the overall cost of their animal’s medical bills.
- Similar to human health insurance, pet insurance relates specifically to pets and veterinary costs.
- There may be an out-of-pocket deductible payment before a plan pays a percentage of covered procedures.
- Cost and coverage vary based on many factors.