Types of personal insurance

Protecting your health, property and your family’s future can mean the difference between money trouble and financial security. Finding the right policy depends on your income, dependents and needs.

What is personal insurance?

Personal insurance is any insurance that protects you from having to pay out of pocket for accidents, illness or damage to your property. To get insurance, you agree to pay a monthly or annual premium in return for a payout when you need it.

Types of personal insurance

Personal insurance can provide protection and peace of mind for you and your family. You can buy multiple policies separately or save money by bundling a policy with one insurer. Which types of insurance you need depends on your income, dependents and lifestyle.

Find an insurance company that meets your needs

Car insurance

Car insurance is important when you’re on the road, no matter who’s to blame for an accident. It covers damage to your car in an accident in exchange for regular payments. Basic coverage includes:

• Bodily injury that covers the cost of another person’s injuries from an accident you cause.
• Property damage that covers damage you cause to someone else’s property in an accident.
• Personal injury covers medical services after an accident, regardless of fault.
• Uninsured motorist covers costs caused by a driver if their insurance can’t pay enough.

Learn more about car insurance

Home and renters insurance

Home, content and personal valuables insurance can be tailored to meet your specific requirements. No matter if you own the home yourself or if you are renting from a landlord, you will find this type of insurance policy can be structured to fit in with your particular needs. Home and renters insurance can:

• Provide a payout for your valuables in the case of a break in or damage.
• Protects you if someone is injured on your property.
• Pay for damage caused by a storm or other accident.

Learn more about homeowners insurance

Life insurance

The most basic type of life insurance pays a lump sum benefit to your beneficiaries when you die. That money can be used to:

Learn more about the types of life insurance

Travel insurance

Travel insurance is great for vacations, business trips, or anytime you plan on traveling away from home. Travel insurance can protect you if you need to:

• Cancel your trip unexpectedly.
• Receive urgent medical care.
• Replace items if you lost your luggage on the flight.

Learn more about landlord insurance

Disability insurance

Disability insurance, also known as income protection insurance, pays a percentage of your income if you’re temporarily or permanently disabled and can’t work.

Disability insurance can:

• Help you pay for nursing care and physical therapy not covered by your health insurance.
• Cover some or all of the cost of renovating your home to fit your current needs and lifestyle.
• Pay for day-to-day expenses if you’re unable to work.

Learn more of the benefits of income protection insurance

Critical illness insurance

Critical illness insurance pays you a lump sum benefit if you’re diagnosed with a critical illness such as heart disease, cancer or stroke. Insurers may have different guidelines for which medical conditions qualify, so check the fine print before purchasing a policy.

Critical illness insurance can:

• Pay for copays, deductibles and medical expenses not covered by health insurance.
• Pay for physical therapy and in-home nursing care.
• Cover bills and other expenses while you’re unable to work.

Learn more of the benefits of critical illness insurance

Landlord insurance

If you own a property to rent out, then landlord protection insurance is a valuable tool to have in your insurance portfolio. Landlord protection insurance can insure you against:

• Financial loss if your tenant misses rent, steals or damages your property.
• Legal liability claims made by anybody on the property who suffers an injury.

Learn more about landlord insurance

Bottom line

Getting insurance to cover your risks can protect you from a financial hardship if the unexpected happens. Consider your lifestyle, risks and income to determine which insurance is right for you.

Frequently asked questions

• Is critical illness insurance the same thing as disability insurance?

  No. While they’re similar, a critical illness insurance pays out a lump sum benefit while disability insurance pays out a percentage of your income until you’re able to return to work. Some disability insurance policies will have a limit on how long the benefit is paid out — for example, until retirement.

• Do I get disability insurance through my work?

  Possibly, but not necessarily. Some employers will offer disability insurance as a benefit, but it isn’t required. Check with your employer to find out what your benefits package includes.

• Is disability insurance the same thing as workers' comp?

  No. Workers’ compensation insurance only covers you for injuries you sustained at work. If you’re injured at home or any time you’re off the clock, you won’t be covered.

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