You pay your insurance premiums every year, but nothing happens. After awhile, you may start wondering if it’s really worth it to keep paying them, especially when the money you’re spending could be going elsewhere. But, it’s important to be very cautious when it comes to taking a risk with insurance. The key is finding the perfect match for you and your family’s needs. To minimise risky behaviour, here are a few areas of cover that you shouldn’t take risks with any why.
Your home provides shelter for you and your family. It also contains all of your belongings. If your home was damaged by fire, a major theft, or the weather, most people would not be able to rebuild their home and replace their belongings out of pocket. Even so, it’s estimated that more than 83% of homeowners and renters in Australia do not have enough cover in place to adequately protect them. It’s incredibly risky to not have the right cover in place for your home.
In Australia, 3rd party insurance is required on every car. Third party insurance provides cover event that a claim is made against you by another drive. It’s designed to cover damage to their vehicles, themselves, bicyclists or pedestrians as a results of the accident. Even though this type of insurance is mandatory, what would happen if your car was damaged and not usable. How could you get to work and fulfill other obligations? You may want to consider comprehensive car cover so that it also protects you and your vehicle.
What would happen if you could no longer work due to an accident or illness? Day in and day out we take for granted that we can go to work and provide an income for ourselves and for our families. But the truth is, life is unexpected and anything can happen at any point. Life insurance is essential for everyone, but especially important for those who have a family who will still need an income in the event of an accident or illness. Unfortunately, 95% of Australians are also under protected when it comes to life insurance. This means that if something were to happen, the insurance in place (if any) would not be enough to adequately support living expenses and other needs.
If you’re starting to realise that you may be under insured, a good starting point would be to talk to a financial planner to help determine how much insurance cover is needed. Contact Camori Investments today.