The Importance of Having Insurance

Insurance offers you and your family peace of mind as it protects you against the unexpected. Having the right type of insurance and coverage limits is important as it ensures that you are financially able to face life’s circumstances. While you can get insurance to cover almost anything you can think of, there are some policies that should always be a part of your financial plan. Health InsuranceGood health is what allows us to work, earn a living, participate in hobbies, and enjoy our lives in general – and it is often something we take for granted. A serious injury or illness could result in the inability to receive treatment or a mountain of debt owed to the hospital and other medical providers. While health insurance is no longer mandatory as of 2019, it’s still one of the most important insurances to have. After all, you want to protect one of your most valuable assets. Fortunately, many employers offer health insurance to their full-employees and, depending on the employer, part-time as well. Employer-sponsored health insurance is generally more affordable than independent coverage. When comparing plans, consider deductibles, co-pays, premium costs, and covered expenses to determine which plan will offer you and your family the most benefits. If you’re self-employed, work part-time, or your employer doesn’t offer health insurance, you’ll need to do your research and explore insurance options. When comparing policies and coverage, use the same criteria as you would review an employer’s plan. Even though it will likely be more expensive to purchase your own health coverage, any out-of-pocket premiums you pay can qualify for a tax deduction. Life InsuranceMost people think that life insurance is reserved for those who are married or have children, but singles can also benefit from having this coverage. Having life coverage not only offers financial security, but also gives you peace of mind that your family will be cared for. Life insurance can be used to replace lost income from your job, help your family maintain their current standard of living, cover the costs of daily living, pay off outstanding debts (medical or otherwise), cover burial costs, and pay for your children’s education. Some employers offer basic group life insurance, but if not, the experts at GVS Insurance Agency, Inc. can help you select a plan with the right coverage for you and your family. When choosing a policy, the first thing to consider is whether to purchase term life insurance or permanent life insurance. A term life policy covers you over a period of time, generally 10 to 30 years. Permanent life covers you throughout your whole life, provided the premiums are paid. You are able to build cash value, which you can invest for added financial growth. Term life is generally less expensive and offers more flexibility. Also keep in mind that the healthier and younger you are when you initiate your policy, the lower your premium is likely to be. You may also be required to have a medical exam during the application process. Property InsuranceYour home is your greatest asset (besides yourself), so it is essential that it has proper protection in the event of the unexpected.  A standard homeowner’s insurance policy safeguards your home from disasters including hurricanes, hail, lightning, and fire. (Note: damages caused by flood or routine wear and tear is not covered.) Also covered are your personal belongings such as clothes and furniture, generally 50-70 percent of the insurance you have on the physical structure of your home.  If you have expensive items (i.e. jewelry, art), it’s wise to purchase additional coverage in the form of a personal property endorsement. Your policy will also provide liability protection should you or your family members (and even pets) cause bodily injury or property damage to others as well as the cost of a lawsuit if necessary. No-fault medical coverage is also included so if someone is injured in your home expenses can be paid without a claim being filed against you. Homeowner’s insurance is mandatory when you have a mortgage as the lender requires that the asset is insured. In many cases, the monthly insurance premium is rolled into the mortgage payment. The general rule of thumb is to carry enough coverage in the event you need to rebuild your home. If you’re a renter, a renter’s insurance policy provides similar replacement and liability protection. As with other types of insurance, do your due diligence – compare premium costs and coverage inclusions. Auto InsuranceTexas law requires that you carry liability insurance as proof you can cover the costs in the event you cause an accident. If you’re leasing or taking out a car loan, the lender may require you to carry collision coverage. The difference is that liability insurance covers damages to other vehicles; collision covers any damages to yours.Like homeowner’s insurance, auto insurance covers the replacement of an expensive asset. In the event of an accident, you’ll want to have adequate coverage to either repair or replace your vehicle. However, auto insurance covers more than the physical damages in an accident; it also covers bodily injury or death of another person should you be found at-fault for the incident. Coverage can also include legal fees, medical treatment for you and any passengers, and rental car coverage. Insurance is essential for you and your family’s financial well-being. Make the time to speak to an insurance expert who can recommend the right solutions for your current circumstances. GVS Insurance Agency, Inc. is a family-owned company with more than 25 years of experience providing insurance services in the greater Houston area. Our experienced staff is proud to give our customers the best service in town. Call us at 832-495-6041 today or get your quote online. Hablamos español.