Join Waitlist We will inform you when this product arrives. Just leave your valid email address below.
Email Quantity We won't share your address with anybody else.

7 Types of Insurance The Wealthy Have

Insurance can be a tricky topic to navigate without the help of a financial coach. Between the jargon and the numerous policy options, it’s easy to see why folks don’t understand what is necessary and what is just extra.

Nobody knows when an emergency will happen, however, when faced with one, we can only hope to be as prepared for them as possible. This is where insurance can step in. The purpose of insurance is to transfer the risk associated with those potential mishaps away from you.

There are only 7 types of insurance that we recommend as these tend to cover every area of your life. Anything outside of these are generally extras and can be avoided.

Life Insurance. Everyone in your household needs quality life insurance. This includes stay-at-home parents as well. Our recommendation is to have term life insurance with a payout equivalent to 8-10 years of your annual income. Make sure you have a long enough term and that you review your policy often.

Health Insurance. Did you know that roughly 3 in 5 bankruptcies are the result of unpaid medical expenses? Having health insurance can go a long way towards alleviating some of the cost associated with getting or remaining healthy. Don’t skip out on this necessary expense.

Homeowners/Renters. You must protect your residence. Get enough to cover your belongings, and homeowners should also ensure that they have guaranteed replacement cost. Make sure you’re covered in case of fires, floods, burglaries, and other misfortunes.

Auto. Never drive around without adequate liability insurance! Liability insurance is generally mandatory and covers damages to another persons vehicle in an accident that you cause. For those with car payments, collision coverage is generally required as it covers damage to your own vehicle. If your vehicle is older, run the numbers to see if it is worth it to drop the collision coverage.

Long-Term Disability. Many companies provide great rates to their employees for this. You will want 65% of your current income to be covered and should ensure that the insurance pays if you can’t perform the basic functions of your job.

Long-Term Care. This is one that is often forgotten about. The majority of Americans will need long-term care as they get into their mid to late 60s. While you may not be there just yet, it may be worth the time to discuss this option with parents and/or grandparents. We recommend a purchase age of 60, however, each personal situation is different and should be treated as such. For example, if your family history shows the development of disease at an early age, it may be worth looking into at 50.

Identity Theft Protection. As more and more people fall victim to identity theft, the need for identity theft protection grows. You’ll want to have identity theft restoration also. This feature is a little more expensive than identity theft resolution, however, the value makes this a worthy purchase.

Insurance should be a regular part of your budget. For assistance with guaranteeing that you have proper levels of coverage in all of the areas listed above, you can book a 1-hour session with a certified financial trainer at the link below.

[setmoreplus button]

1 thought on “7 Types of Insurance The Wealthy Have

Leave a Reply

Your email address will not be published. Required fields are marked *