This is a collaborative post.
You will be shocked to learn about the different types of things you can insure. Did you know that Tom Jones insured his chest hair? Back in the day, he was considered a bit of a sex symbol and he didn’t want anything to get in the way of this – such as damage to his precious chest hair. Weird, right? He’s not the only celebrity to go down this route though. Jennifer Lopez has a $27 million insurance policy on her bum!
Of course, it’s unlikely that you are going to want to insure your body parts, but you should be aware of the different types of insurance that are available.
- Car Insurance – You can’t drive on the road in the UK without car insurance. For first time drivers, this can be very expensive. But once you prove that you are reliable on the roads, the price of your insurance should go down. There are different types of cover, but a comprehensive policy is always advisable as it will cover all eventualities.
- Payment Protection – You should have this insurance if you have taken out a loan or equity release. It ensures you are protected,
- Income Protection – With this policy, if you find that you are unable to work, you will receive a percentage of your wages to cover you. This is usually anything from 55 per cent and above. This is ideal for those who are self-employed and are not covered by sick pay.
- Building Insurance – This insurance is a legal requirement for home owners. It covers the cost of repairing your home if there is damage caused by the likes of a fire, floods, or a storm.
- Travel Insurance – This covers cancelled flights, lost baggage, medical expenses and flight delays. It is advisable to take this out whenever you are going abroad.
- Health Insurance – Health insurance will give you access to private medical care. This is something a lot of people are turning to in the UK because the NHS is overstretched at the moment. If you opt for private medical care, you won’t have to wait as long to see a doctor or to get tests done. You can also benefit from a private room if you need to have an operation. In some countries, health insurance is actually a requirement. If you move abroad, you may not be able to access their healthcare system, like you can in the UK, so you would need medical insurance.
- Contents insurance – This insurance covers your possessions if they are lost or damaged. You will often get a new item in return. This is suited to situations when your home has become damaged or you’ve been the victim of a burglary.
- Life insurance – Life insurance is probably not something you think about until you have children or you get married. When this occurs, you start to consider what would happen if you passed away and left your loved ones behind. Would they have enough money to survive? When a family goes from having two incomes to one it can be very difficult. Life insurance protects your family in the event you do pass away, ensuring they have enough money for funeral expenses and to cover everyday costs.
The earlier you take out insurance the better in a lot of cases, especially when it comes to life and health insurance. You are seen as a greater risk the older you get, meaning premiums will go up.