Things to Consider when shopping for Insurance Policies
Insurance is a topic which is continuously growing in popularity, due to reasons such as the current economy or the natural desire of protection and security common in all people. Here’s a list of insurance policies you ought to know about and, eventually, purchase.
- Whole life insurance. Whole life insurance is probably the most popular type of insurance. It offers unlimited protection and it accumulates cash value over time, while guaranteeing a pay-out. The insured makes period payments called premiums in order for the beneficiary to receive a lump sum amount of money when the insured passes away (the lump sum is called the “death benefit”). In order to qualify for life insurance, you may be required to undergo a medical examination.
- Term life insurance is the alternative to whole life in terms of life insurance and it offers protection for a specified “term” of years, set from the beginning. Simply put, the insured has to pass away during the period of time in which the contract is available in order for the beneficiary to receive the death benefit. It comes at cheaper rates and it doesn’t accumulate cash value over time. Also, you can opt for universal insurance which combines whole life with term life insurance.
- Liability insurance is a form of insurance which helps you avoid being held completely liable in case something unfortunate happens. For example, if you were involved in a car accident and a third party suffered injuries which resulted from your actions, your liability insurance will cover for certain expenses and taxes.
- Medical coverage. Additional medical coverage won’t do any harm – on the contrary, to be honest. If you’re not satisfied with your current health insurance, opt for an insurance policy which will enhance the current services and provide you with decent medical protection.
Doing your research is essential, therefore if you decided to go for one of the above mentioned insurance policies make sure you find out all there is to know about what they imply before signing with the insurance company.