Friday Financial Check Up: Insurance Check

This weekend it is time to look at your insurance. You need to ask yourself if you have the right kinds of insurance, and the right amount of insurance. If you do not, you need to make some changes over the next week. You can talk to your insurance agent to make any adjustments that you need to.

First, look at your disability insurance. It is a good idea to have long-term disability insurance. As you determine how much to purchase, look at your budget, and see how much you would need to replace your current income. You may consider expenses that you would spend less on if you were disabled, and adjust accordingly. You need to insure your income, so that if you do become disabled, you can still live a comfortable life.

Health insurance is a necessity. Medical bills are one of the leading causes of bankruptcy. Health insurance can save you a lot of money. If you feel that you cannot afford a normal policy, you should get a high deductible policy. This would cover major medical bills such as surgery, accidents or cancer, but have a much lower monthly premium.

Of course your should have car insurance. If you rent you should have renter's insurance. If you own a home, you need home owner's insurance as well. These will protect your possessions and help you to be able to replace them if something were to happen to them.

Finally you can have too much insurance, cancer insurance, short-term disability insurance and other insurance policies may not be necessary. Carefully consider if you are receiving enough benefit for the monthly cost. Often dental insurance will pay out the same maximum amount that you pay into it each year.

• Protect Yourself from Common Insurance Mistakes
• What Types of Insurance Do I Need?
• How to Find Independent Health Insurance