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7 Must Buy Insurance Policies for Millennials

7 Must Buy Insurance Policies for Millennials

Millennials are known to save pennies wherever they can, but because they have come of working age during a recession where jobs are scarce, they’re trying to save money more than ever before. This means that many millennials are skipping out on purchasing insurance to save money, as it’s not something they’ll see returns for right away. The problem is, insurance is vital for saving people money in the long run, should the worst happen. Here’s the seven types of insurance that you need to have as a millennial today.

Life Insurance

People in the millennial age group are getting married and starting families, so they will need a way to protect their families should the worst happen. This is where life insurance becomes essential.

There are two types of life insurance policies, “term” and “whole” life policies. A term policy is designed to cover a person for a set period of time of their life, while a whole life policy pays out a value to cover the person’s entire life. It’s best to talk to your insurance company to see what’s best for you.

Auto Insurance

Auto insurance is a type of insurance that you probably already have. After all, it is a legal requirement in order for you to drive your car, but the type of insurance you can get varies. It’s better to get a more comprehensive policy that covers you for more than just the basics.

Your car insurance company, like, can offer you things like under-insured motorist protection, liability protection, and medical expenses coverage. So, take a look at what your policy can cover you for to ensure you’re properly protected.

Pet Insurance

Millennials love their pets, and who can blame them? Nobody wants to be without their furry, scaly, or feathered friend, but just like you, they can get ill causing treatment cost to mount up. That’s where pet insurance comes in handy. The best policies will cover things like prescriptions, routine health checks, and emergency surgeries, but not all policies are built the same, so do your research before buying a policy.

Renters or Homeowners Insurance

Many millennials are renting for longer than their parents did, leading many think that they don’t need insurance for their home. That’s not true, though. While your landlord is responsible for insuring the building, you need to have insurance for the contents of your home.

If anything were to happen, such as a fire or flood, with renters or homeowners insurance, you would be covered for your losses. If you own your home, then you’ll need both building and contents insurance. This can often be bought as a bundle, so look for deals that include both.

Disability Insurance

Disability insurance may not be something you’ve thought about, but it’s a lifesaver should you need it. If anything happens in the future causing you to be disabled, this type of insurance helps cover medical and living costs if you’re unable to work. There’s short term coverage, which helps cover short term disability, and there’s also long-term coverage, which will help in the event of a permanent disability.

Travel Insurance

Travel is more accessible than ever before, and many millennials are jumping on the chance to see the world because of that fact. If you’re going to do this, you need to get travel insurance as it covers all kinds of risks associated with travel, such as lost baggage, trip cancellations, and medical emergencies. Not all travel insurance policies cover the same things though, so read the terms carefully before you pay. Also, note that you can buy coverage for different aspects of travel, such as delayed trips, on their own.

Tuition Insurance

Sometimes, in the course of receiving your higher education, you’ll be forced to drop out– maybe because of medical or family reasons. If this happens, and you are unable to finish your schooling, tuition insurance will cover the costs of your tuition, so you won’t pay out of pocket.

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by Dirk DeBie // Contributor to Businessing Magazine.

Opinions expressed by contributors are their own.