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Wednesday, April 22, 2009

Insurance - The Best Financial Plan

By Ethan Kalvin

In a time where people are looking at ways to cut back and save, it is important to realize that saving on your insurance is not the answer. One of the biggest and best financial plans that you can put in place for your family is a good solid insurance plan, being sure to cover the most important things in your life. A good insurance package includes life insurance, health insurance, home owners insurance, disability insurance, and car insurance. Having coverage of all of your assets and the people in your life, will cover those assets in case of crisis. Do you really want to lose everything the instant that something happens, everything that you have worked for over a lifetime?

A little known fact is that the less money that you actually have, the more important your insurance coverage is to you, especially in times of financial hardship. Cutting back on your insurance during the tough times, can actually make things more financially difficult for you.

Sure insurance is one of those things that you really dont know when or if you will need it, but the important thing to remember is that if and when you need it, it then becomes essential. There is no way to figure out exactly when you will need your insurance coverage, but one thing is for certain, without insurance in a crisis, you could find yourself facing financial ruin very quickly. It is important to realize this.

Many people think that an item like health insurance is just wasted money, however did you realize that many of the people, actually most of the people in the US who wind up declaring bankruptcy, actually do so primarily because of unpaid medical bills? This is an important thing to remember, because unless you are sitting on a wad of cash, one medical crisis really could wipe you out financially.

Even with insurance medical bills can be high, however without insurance, medical bills can be devastating. Keeping this in mind, it is actually much easier to understand how insurance is a part of any good financial plan. It is not an option, but indeed a necessity.

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