Do You Really Need Insurance?

Insurance is something that you hear about every day, whether by word of mouth at work, commercials on TV, or listening to adverts on the radio. There are so many different things that sound like necessities, such as car insurance, life insurance and health insurance, that it makes you think: do I really need this kind of insurance? With this guide to which insurance is mandatory, and those which are just a good idea to have, you’ll be able to make quick, well informed decisions on what kind of insurance you should go for.

Car Insurance

The short answer to this question is: yes, you really do need car insurance. Although the penalties of driving an uninsured vehicle vary by state, it is in fact illegal to drive an uninsured vehicle – and for very good reason. Car insurance can provide financial protection for you if you get into an accident, but it can also cover any injuries that may happen to the other driver involved in the accident, any passengers in your car, or any pedestrians that may be nearby. A thing to be aware of, however, is if someone else drives your car, they must be added onto the insurance policy, or it will count as illegal driving. 

Life Insurance

The answer to this question is: not necessarily, but it would be a good idea to get it. Life insurance doesn’t really benefit you personally, but it will greatly benefit your loved ones after you pass away. For a monthly payment, your family will receive a payout after you die which can help them pay for your funeral costs and help them to afford their usual living which you may usually provide. It’s important that you do your research as there are multiple types of life insurance, like term life and whole life insurance. Make sure that you read about the differences and pros and cons between term life vs. whole life insurance on Insurance Geek to ensure that the insurance plan you choose is right for you. 

Health Insurance

Like life insurance, the answer to this question is: technically no, but it would benefit you greatly to get it. Just like car and life insurance, you pay a monthly bill to make sure that your medical expenses, including doctor’s visits, surgeries and after care are covered. It’s no secret that health care today is ridiculously expensive with a constant increase in health care costs. Without health insurance, the cost for a common and easily attainable injury such as a broken arm can be around $2500 or possibly even more. Depending on the hospital and surgeries you use, an x-ray can cost anywhere from $190 to $1000. If you have health insurance however, these costs are not important, as your monthly bill will cover the cost and save you thousands of dollars. Whether you have a long-term illness or a one-time injury, health insurance is a brilliant way to save you money while simultaneously caring for your health. 

Insurance is mandatory or highly advertised for a reason; it helps you to protect things that are vitally important, such as your car, your family and even your life. While it may seem like insurance is expensive at the time you are buying it, try to remember the bigger picture and think how much money you will save in the long run. 

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