The 5 Basic Insurance Policies Everyone Should Have

Date :2/6/2013 12:00:00 AM When it comes to buying insurance, there are so many options on the market today that you might not know what’s necessary and what’s superfluous. It’s important to be covered, but you can also be too covered. Paying for too much insurance takes money away from other areas, such as your emergency fund and your retirement savings. When it comes to insurance, there are basically five types that everyone needs. Health Insurance This is the big one. In 2009, over 60 percent of all personal bankruptcies were related to health insurance costs. When purchasing health insurance, consider the following: Needs: Young and healthy single people require less coverage than those with young families, the elderly, or those with chronic health issues. Do you plan on using your insurance a lot? If so, you’re going to want a low deductible and copays. Doctors: One of the first questions you should ask about a plan is if it allows you to keep your current physician. Cost: You can obviously only afford so much, so know what you can afford. Shopping for plans with higher copays and deductibles will save you money on your premium.