Insurance provides a financial “safety net” to help you pay for the cost of an unforeseen illness, injury, or disaster. Today, there are a number of insurance plans and policies available to the general public, including auto insurance, home insurance, health insurance, life insurance, and disability insurance. While some types of insurance are mandated by law, others are optional—keep reading to find out how an insurance evaluation with an experienced financial planner can help you determine which types of insurance are best for you, and which you can safely disregard.
Determining Need
Insurance is designed to protect you by providing the money to pay for healthcare or property replacement following an unforeseen event. Before purchasing or renewing any type of insurance policy, it is thus important to determine whether or not you need the insurance offered. Your need can be influenced by several factors, such as your current income and expenses, your age, and your assets. Your financial advisor can take a look at all of these characteristics and help you determine which types of insurance you absolutely need, and which are optional to help you save money on your overall insurance costs.
Balancing Cost with Benefits
Even after you have determined which types of insurance you need, there are many plans and coverage options available. An insurance evaluation will help you balance the cost of your premium against factors such as the benefits you derive, the likelihood that you will need to draw on your insurance, and your current ability to pay for the insurance comfortably. Evaluating and weighing these considerations will guide you to the right balance for a policy that is just right in terms of both cost and benefit.
If you have questions about your finances in Tucson, Financial Directions, LLC is here to help. We offer comprehensive financial and retirement planning services, as well as risk analysis, estate planning, and insurance evaluations. You can find out more about smart financial planning on our website and our blog, or call (520) 408-7777 to reach a financial advisor to schedule a conference.
