So far we’ve covered health, life and disability insurance and shown how having these types of coverage can protect your family from financial disaster. Today, we’ll learn about a few other insurance products you can invest in to protect your assets.
Homeowner: A policy that protects your dwelling, other structures (sheds, buildings, fences, etc), and contents or personal property in case of a loss. Many homeowner policies also include Liability coverage to protect you in the instance of someone getting hurt on your property and you’re found liable.
Flood: Separate from homeowner coverage. Many people get frustrated and upset when their damages are not covered because they do not understand the difference. If you learn nothing else from these posts on Insurance, PLEASE learn this: Homeowner insurance DOES NOT cover flood loss and Flood insurance DOES NOT cover homeowner loss.
What’s the difference? You ask: Homeowner policies do not cover RISING water…if it’s coming up from the ground and into your home that is a Flood loss. Also, Flood insurance does not cover falling water…if the roof blows off or windows are broken out and the rain comes INTO the house that is a homeowner loss.
Auto Insurance: Most states require automobile coverage of minimum Liability limits that include BI (bodily injury) and PD (property damage). However, an automobile policy can be made up of several types of coverage all rolled up into one package.
Liability insurance takes care of the person you hit. Comprehensive and Collision, on the other hand, takes care of your vehicle in the instance of an “at fault” accident. Then there’s Uninsured Motorist Coverage (Liability and/or Property Damage) to protect you and your vehicle if you’re involved with a un (or in some cases under) insured motorist.
Many auto policies can also cover Towing, Rental reimbursement, Death benefits (should you die in an automobile accident), Disability income (should you be disabled due to an automobile accident), and Special insurance to cover sound systems, and other features “added” to your vehicle.
Though there are policies to cover nearly every aspect of your property (ATV, Boats, etc) one other kind of protection I’d like to mention is a PUP (personal umbrella policy). This is a Liability policy that covers over and above all other policies you have and helps to protect your assets.
Well, I hope I’ve helped you to understand the basics of Insurance and how important it is to protect your family and your assets. Any questions or comment, please contact me and we’ll address those in another post.
Remember: The Bible talks of “putting your house in order” having insurance to protect your family and your assets is one way to do this.
Award-winning author, Pamela S. Thibodeaux is the Co-Founder and a lifetime member of Bayou Writers Group in Lake Charles, Louisiana. She has over twenty years experience in bookkeeping, insurance and tax preparation. Multi-published in romantic fiction as well as creative non-fiction, her writing has been tagged as, “Inspirational with an Edge!” ™ and reviewed as “steamier and grittier than the typical Christian novel without decreasing the message.”
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