Do You Have the Right Types of Insurance?

An important part of financial health is planning for future protection of yourself, your family, and your assets with various types of insurance. While the types of insurance and amount that you should be covered for are unique to you and your family, we have some recommendations for the essential types of insurance that most Americans need to protect yourself from a costly financial shock:

• Health Insurance – Health insurance is crucial to cover medical expenses, doctor visits, hospitalization, prescription drugs, and other healthcare services. It helps protect you from significant financial burdens in case of illness or injury.
• Dental and Vision Insurance: While not as essential as health insurance, dental and vision insurance can help offset the costs of routine dental check-ups, eye exams, and glasses and/or contacts.
• Auto Insurance – Auto insurance is required by law in most states and is essential for all vehicle owners. It provides coverage for accidents, property damage, and injuries resulting from car accidents.
• Homeowners or Renters Insurance – Homeowners insurance is necessary for homeowners, while renters insurance is essential for renters. These policies protect against damages to the home or personal belongings due to incidents like theft, fire, or natural disasters.
• Life Insurance – Life insurance provides financial protection for your loved ones in the event of your death. It can help cover funeral expenses, outstanding debts, and provide financial support for your dependents.
• Disability Insurance – Disability insurance replaces a portion of your income if you are unable to work due to an illness or injury. It provides financial support during a period of temporary or permanent disability.
• Long-Term Care Insurance – Long-term care insurance helps cover the costs of extended medical care, such as nursing home care or in-home assistance, which is not typically covered by health insurance or Medicare.

The specific insurance needs of individuals will vary based on factors such as age, health status, family situation, and property ownership. Some people may also need additional insurance, such as business insurance if they run a business or travel insurance for frequent travelers.

It’s important to review your insurance needs regularly and make adjustments as necessary to ensure adequate coverage and protection for your circumstances. Consider consulting with an insurance agent or financial advisor to help you understand your insurance needs and find the most appropriate coverage for your situation.

Though our Member Advocate Specialists are not licensed financial advisors, we are always available for a financial coaching to help you set and achieve financial goals for you and your family. Give us a call or stop by any time to get the conversation started!