4 Must Have Insurance Policies For Everyone

By Author: harshamaitra maitra
Total Articles: 1
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Unforeseen crises drop in and jeopardize all our plans or even the kind of life we have been leading. The life we are leading is fast-paced and highly stressful and this has taken a toll on the overall health of modern man. With passing times however, man has realized that it is very necessary to manage his risks, thus emphasizing on the need of insuring life, property, and other useful resources.

Insurance is an effective risk management means. In case of insurance the risk of some loss for which you are insured is transferred equitably against a premium. A risk which is quantifiable in nature has the potential of being insured. When you decide to get yourself insured on something, you have to pay certain specified sums of money called premiums to the insurance company. The premiums denote risk transfer. You can pay premiums either on a monthly or on a yearly basis. If the loss for which you are insured unfortunately takes place, then the insurance company is bound to compensate you with all your claims.

Here are the 4 must-have insurance policies for everyone:

1. Life insurance-Life insurance insures your ...
... life. It is a must because life is uncertain and anything can happen tomorrow. But if someone has a life insurance policy, the insurance company will offer financial help or will give his family members a good sum of money even after the policy holder’s demise. Thus his death though grieves them does not place them in the midst of financial whirlpool. Life insurance is an example of long-term insurance.
2. Health insurance-Health insurance safeguards health. Such policies offer coverage to medical treatment expenditures such as doctor visits, ICUs, emergency rooms, medicines, surgery, hospitalizations etc. Disability insurance meant for physically handicapped people and casualty insurance meant for accident cases are also sub-types of health insurance.
3. Property insurance-Property insurance safeguards property or rather insures its loss from things like fire, theft or burglary, natural disasters like earthquake, flood, volcanic explosion, typhoon etc. The Standard Fire and Special Perils Policy India covers some of the following perils for an Indian property to be insured: lightening, fire, inundation, bush fire, flood, storm, explosion, implosion, strike, terrorism, riot, missile testing procedures, landslide, subsidence, spilling of tanks, aircraft damage, impact damage, malicious damage, etc.
4. Credit insurance-If someone has credit insurance, the terms and conditions of the credit insurance policy guarantees repaying of the loans in case the borrower dies unfortunately or turns disabled or becomes unemployed whatever may be the case.

So these are the 4 insurances everyone should have in their lives to live a peaceful tension-free life. The trick is to transfer all the risk to the insurance company and yourself enjoy life to the fullest!

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