When was the last time you reviewed any of your insurance policies? That is except for the cost?
When I was handling compliance and financial planning for a group of financial advisors I decided to learn from other people’s mistakes. Have proper insurance coverage was the biggest lesson.
I have a personal disability policy in case I lose the ability to come to work.
I have two life insurance policies, both are term policies. One will be expiring in the next year or so. At which point I will have to make a decision, I will have three options. See if I can replace the term policy with another term policy, convert the term policy to a permanent insurance policy or just let the coverage lapse. Knowing that the wealthy use life insurance as a wealth transfer vehicle, I will probably do either the first or second option.
Do you have any coverage beyond your employer coverage? Should you? I believe if you are married and have a spouse and kids, the answer is yes.
We recently had some items taken from or home. Coverage that I thought I had, I did not. I had not reviewed the policy in years and just paid the renewal, never questioning the coverage. Never again. Here I dropped the ball and failed to follow my lessons and suggest we all review our declaration sheets.
Other P&C coverage to consider is flood insurance, just about all policies exclude this as standard coverage, a special policy is needed. I have heard about policies on HVAC and other major appliances are available now.
One lesson that I learned was having coverage that was not tied to your employer. Too many people lose all coverage one they retire, are fired or laid off. So, I have personal policies for myself and encourage clients to do the same.