The Most Important Types of Insurance

The Most Important Types of Insurance

Nothing is certain – this is one of the fundamental truths of life, and it is the reason that the insurance industry exists. There is no way to prevent the unexpected from happening, so the only option is to protect ourselves and our assets against it. Insurance is designed to offer that protection, and thus to provide peace of mind, even if the unexpected never happens and we never have to claim. In order to make sure that you are covered against the most common hazards, there are four essential types of insurance you should always have.

Life Insurance

Life insurance is not intended for your personal benefit, but rather, for that of your surviving loved ones after you have passed away. When you die, your loved can claim the financial benefits from your life insurance policy, which would then be paid out, either as a lump sum, or as a series of fixed payments, depending on the options you have selected. There are two basic types of life insurance.

Whole-life policies can provide cash value benefits for yourself during your lifetime, as well as a death benefit for your survivors. You can, if you choose, end the policy and take the cash value. Term life covers you for a set amount of time with stable premiums. This is generally the most affordable type of life cover. 

Home Insurance

Home insurance is designed to cover your property and/or its contents, to protect you against such hazards as fires, floods and other natural disasters, as well as burglary and theft, malicious damage and so on. There are many different types of home insurance policies, offered at a wide range of rates. You could choose to cover only your property and not its contents, for example, or you could have separate policies for each. You may decide only to cover certain valuable items in your home, rather than its entire contents.

Auto Insurance 

Traffic accidents can happen at any time, resulting in personal injury as well as damage to your vehicle. Auto insurance is a range of products intended to provide financial cover if you should meet an accident on the road. Among the options in the arena of auto insurance are:

  • Liability coverage, which pays for property damage you cause to others in an auto accident.
  • Comprehensive and collision coverage. Comprehensive insurance covers damage caused by road accidents, as well as floods, hail, fire, vandalism and other causes. Collision coverage only provides cover in the event of a road accident.
  • Uninsured/ underinsured motorist coverage provides protection for you if a motorist without sufficient insurance coverage should strike your vehicle.
  • Personal injury protection (PIP) helps cover you and your passengers against medical costs and lost income that may result from the accident.

Health Insurance

Health insurance keeps you covered when you incur medical costs, either as a result of an accident, serious illness or even for more routine medical considerations. You may acquire health insurance through your employer or you can purchase a policy on your own initiative. The need for health insurance is highly variable and depends on an individual’s or a family’s needs and budget. In some countries, consumers rely heavily on private health insurance. Here in Canada, people mostly buy supplemental policies to cover those costs not provided for by our national health care system.

Zippo Insurance will find you the lowest rates on home insurance, auto insurance and more. Contact us and complete our questionnaire so we can find you the best quotes on all types of insurance.