Financial Checklist Plan Part 3:
Insuring We're Properly Insured
The Financial Checklist Plan: Insurance Checklist
Insurance You Need
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Insurance You Don't Need
Life Insurance that is not Term Insurance
Disease Care Insurance (Cancer, Heart Attack, etc) Private Mortgage Insurance Extended Warranties Water Line Coverage Credit Card Insurance Mortgage Life Insurance Accidental Death Insurance |
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Homeowner's Insurance:
It is recommended that homeowners get Guaranteed Replacement Cost homeowner's insurance. This type of homeowners insurance can be harder to find, but not impossible. This will cover the cost to replace your home (regardless of increased value) in the event of a loss. Most newer Homeowner's Insurance policies offer what is called "Extended Replacement Coverage." This coverage will cover a loss up to a pre-determined amount, but may not in time be enough to completely replace your home as its value increases. Guaranteed Replacement Cost homeowner's is a rare find, but if the day comes you find you need your homeowner's insurance, you'll be glad you opted for GRC.
Once again, deductibles for this coverage can be evaluated based on your financial situation, and if in a proper financial place to do so, raising deductibles may be a wise move to save on upfront cost for the insurance.
Renter's Insurance:
If you pay rent where you live (are not a homeowner), it is recommended that you purchase renter's insurance in a sufficient amount to cover your personal property (which is likely worth more than you might think). This coverage will replace your personal property if a loss is incurred.
Renter's insurance is generally very inexpensive and a wise purchase for renters.
Next, consider Umbrella Policies.
It is recommended that homeowners get Guaranteed Replacement Cost homeowner's insurance. This type of homeowners insurance can be harder to find, but not impossible. This will cover the cost to replace your home (regardless of increased value) in the event of a loss. Most newer Homeowner's Insurance policies offer what is called "Extended Replacement Coverage." This coverage will cover a loss up to a pre-determined amount, but may not in time be enough to completely replace your home as its value increases. Guaranteed Replacement Cost homeowner's is a rare find, but if the day comes you find you need your homeowner's insurance, you'll be glad you opted for GRC.
Once again, deductibles for this coverage can be evaluated based on your financial situation, and if in a proper financial place to do so, raising deductibles may be a wise move to save on upfront cost for the insurance.
Renter's Insurance:
If you pay rent where you live (are not a homeowner), it is recommended that you purchase renter's insurance in a sufficient amount to cover your personal property (which is likely worth more than you might think). This coverage will replace your personal property if a loss is incurred.
Renter's insurance is generally very inexpensive and a wise purchase for renters.
Next, consider Umbrella Policies.