To Insure Or Not To Insure? Deciding Which Items Are Worth The Expenditure

When it comes to money, we all know how important it is to organize what we have correctly. We want to ensure it gets spent on worthwhile things, and not on pointless things.

There are various expenditures in life that we can’t get away from. We need a place to live, so we have to spend our money on rent or a mortgage. We need food, so we need to spend in grocery stores, cafes, and restaurants. However, there are other things in like that we don’t have to spend money on, but we can choose instead. Insurance is a prime example of this.

There are dozens and dozens of types of insurance policies out there. These days you can cover pretty much every item you own, from your watch to your dog! However, breaking down which of these policies you should invest your money in is more complex.

This is where this guide steps in. We’ll consider six common type of insurance, and ask ‘to insure or not to insure’. That way you can decide which items are worth the expenditure. Read on to find out more...
Life insurance
Life insurance, while it may be advertised as essential, is one type of insurance that is by no means crucial. You are not breaking any laws by not having it.

When it comes to deciding whether to take it out a policy or not, you may want to consider whether your genes put you at risk of premature death in away. Or, if your job does. Some people are more inclined to take out a policy once they have children to protect. However, if you are taking out a policy to protect your children, know that writing a will is far cheaper and also helps your kids in the future. Be aware than having a life insurance policy is a lifelong commitment! You may be more inclined to research and invest in life insurance as you approach your retirement years. However, you should be aware that many policies are more expensive if you are older.
Summary: In some circumstances


Car insurance
In many countries, it is illegal to not have car insurance. Even if you think you are the best driver in the world, and will never be in an accident, it doesn’t matter. There are always other drivers on the road that could be the ones to cause the accident. If somebody else damages your car or causes an accident that you are involved in, but you don’t have car insurance? The other car's insurance policy are not obliged to pay you a single penny.

If you drive a car, you need to have insurance. That is the bottom line.
Summary: Always

Pet theft insurance
Many people are split on whether or not pet insurance is worthwhile. Some think that if you don’t have it, it means that you don’t care for your pet. Of course, this is not true. Decide whether you will take out pet insurance based on the following. Maybe you have a pedigree cat, like a Bengal or a Siberian. If your pets were expensive to buy, that means they would be worthwhile stealing! Get your pet microchipped, and get them insured.

Of course, insurance for pet illness is another subject entirely. While you don’t have to take out insurance to protect against this, it may be wise. Sudden illness or injury can mean huge vet bills if you aren’t insured for it.
Summary: In some circumstances


Dental insurance
Dental insurance is a form of insurance that protects you against health-related issues. As a result, there is no legal requirement to take it out! However, the benefits are many. Dental bills can be high, and can take a enormous and unexpected chunk out of your savings if you need urgent treatment. We sometimes forget just how delicate our teeth are, and the various ways that they could be chipped or broken through an accident or injury. Insurance lowers costs of dental bills for these incidents. However, it can also cover standard check-ups and procedures. If you take out a plan, go for companies like Guardian Life so that you can tailor your policy to you. A one-policy-fits-all approach from a company is not appropriate. The wise thing to do. Spend on an insurance policy, save in the future.
Summary: Always


Mobile phone insurance
Deciding whether to insure your mobile phone doesn’t just come down to how clumsy you are. Although, that should perhaps be a factor also! Even if you have never dropped a phone in your life, you are always at risk of theft. It is a sad but honest truth. When it comes to deciding whether or not to insure your phone, the best way to decide may be to consider the value of your phone. Ensure it if the insurance is a cheaper option to needing to buy the same phone brand new. Perhaps don’t insure it if you have a cheaper phone. After all, the excess payment may mean replacing it through a policy costs more than buying new! Some banks offer mobile phone insurance as part of their account packages, along with other benefits too. So, look this up and ask your bank if they do the same.
Summary: In some circumstances


Home insurance
Many of us decide on whether or not to get home insurance based on how safe we believe our homes to be. So, a person may insure his/her home in a slightly poorer area that is on the ground floor of a block of flats. However, they may not protect their home if they are in a field with a very safe reputation and on the 7th floor, with steep building access. However, this is simply not a wise way to decide. Home invasions, burglaries, and theft are always a risk, no matter where you live. If anything does happen, and you are uninsured, the devastation will be even greater. Plus, of course, the safety of your local area has no bearing on the risk of fire, flooding or another such disaster. Cover your home, cover your belongings and you will always be doing the right thing to protect you and your family.
Summary: Always

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