Article Banner

Insurance Checklist

We’ve put together an insurance checklist to help pre-retirees prepare for the future. Most people don’t realize the true benefit of insurance until later in life. As teens and young adults, we got our car insurance and healthcare covered by our parents. It’s not until the reality of adulting set in that we realized insurance matters. Follow this insurance checklist to ensure you are covered now and in the future. 

  1. Life Insurance

Start researching your options when you reach your late 20’s. Know the difference between term and whole life insurance. Term is temporary and has no cash value. Whole is permanent if you pay the premium. The younger you are when you buy life insurance, the lower your premium.  

  1. Renters Insurance

Even if you are not ready to buy a home, purchase renters insurance. The low yearly fee is well worth the protection the typical policy offers. Which includes coverage for you, your belongings, and additional living expenses if you are displaced due to fire or flood.

  1. Homeowners Insurance

Once you purchase a home, avoid increased risk by either not owning a pool and trampoline or by increasing your liability limits. The added insurance will offer peace of mind and protect you against serious injury lawsuits.

  1. Healthcare Insurance/HSA

Reduce healthcare premiums by choosing high-deductible policies. And if your employer offers a Health Savings Account, say yes! Or, select an HSA on your own to take advantage of the tax benefits.

  1. Disability Insurance

Most employer provided insurance plans include coverage for disability, but not much. Consider purchasing additional disability insurance that can replace your monthly income in the event you are unable to work. Government issued disability payments will generally only cover 40% of your pre-disability income. 

  1. Long-Term Care Insurance

Purchase long-term care insurance before your turn 50. This type of insurance provides financial assistance if you ever need care in your home or at a facility. 

If you have questions about insurance, contact Alloy Wealth at 800-689-3935.