Every American Should Carry These 4 Types of Insurance


There are at least four types of insurance that every person should carry. Insurance is a process that allows you to pay monthly to prevent costly expenses. It protects you from having to pay thousands of dollars for an emergency, something that many Americans cannot afford. Failing to carry insurance can result in legal lawsuits, financial troubles, and is, in many states, illegal. Ensure that you do your research and that you know how to get insurance and which types of insurance policies you should cover at all times.

Auto insurance
If you own a vehicle, you should carry auto insurance. Many states across the country actually legally require auto insurance. If you are caught operating a vehicle without auto insurance, you can be subject to high fines and even jail time. If you are involved in an auto accident, and do not have auto insurance, you can be sued for your personal belongings. Learning how to get insurance for your vehicles is simple. The prices have dropped over the years and many states require minimal coverages for those with lower budgets.

In fact, the average auto insurance expenditure dropped from $799 in 2007 to $797 in 2011, according to a December 2013 report from the National Association of Insurance Commissioners. Additionally, many auto insurance providers will offer discounts for good driving records, extended period of no insurance claims, and multi vehicle coverages. Some auto insurance providers will provide steep discounts when you combine your other insurance policies with them.

Health insurance
There has been a lot of discussion and debates surrounding health insurance. Currently, health insurance is required and individuals will be fined if they do not carry it for all months of the year. Full time employers provide reduced costs of health insurance policies. Those who are self employed or unemployed can find government health insurance policies. Some individuals or families who are low income can qualify for health insurance subsidies. Learning how to get insurance for health requires some amount of research and comparison of insurance packages, deductibles, and inclusions.

Life insurance
Life insurance is probably the least utilized of all the types of insurance. This may be the result of a few reasons. Some people simply do not want to plan for their end of life, and put off purchasing life insurance. Others, are unaware of how to get insurance for their life. Life insurance is important to protect your loved ones, should something happen to you. It will allow them to continue on with their life?s, without having to worry about the mortgage payments, debts, or education costs.

The process for obtaining life insurance is easier than ever. You used to have to go through many preliminary steps, many that included numerous medical visits. Today, however, you can easily obtain a life insurance quote, even without visiting with a physician. Life insurance also tends to be a very affordable insurance, with some people paying just a couple of dollars a month.

Homeowners insurance
Homeowner insurance or property insurance protects you in the event that something happens to your property. This could be from a natural disaster, a flood, or a fire. Many mortgage companies actually require that you carry some type of home insurance. Insurance companies, however, provide very affordable insurance plans on properties, considering claims are minimal. In 2012, 7.2% of insured homes had a claim.

Although many property owners carry a home insurance policy, a large percentage of renters do not. A 2014 Insurance Information Institute Poll conducted by ORC International found that 95% of homeowners had homeowner?s insurance, but only 37% of renters had renter?s insurance. Renter?s insurance is just as important in protecting the belongings of your house.

Every American should carry the following types of insurance, life, health, automobile, and property. Insurance protects you from unexpected events that could harm you financially and emotionally. In most cases, one single claim of your insurance policy is enough to make up for all of the insurance payments you have ever made.

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