Today we’re talking about what Insurance is for.
Insurance covers a loss.
To keep this simple, there are 2 kinds of insurance: one covers people and the other covers things. Today, we’re going to talk about people.
Life Insurance is usually brought up when you buy your first house or start to grow your family. It’s the most common kind of personal insurance. When you pass away, it helps your family cover funeral expenses, end of life taxes, the mortgage, or just the fact that you won’t be bringing in money.
The lesser known personal insurance is Disability Insurance. I’m most passionate about this type because of my own experience(s) not having it. But, again, it helps with the loss of a paycheck. It’s used when you’re too sick or hurt to be able to go to work and pays a percentage of the money you would’ve received from a paycheck. It helps with bills that come up because you’ve been hurt, like medical expenses or child care. Disability Insurance is for covering your missed income because, most likely, your spouse isn’t going to be able to cover both their income and your missing income.
Of course, this isn’t everything you need to think about, but sitting down with a Life Insurance Broker will help with that. They’ll be able to help you make a plan and can’t charge for that time, so it’s FREE!