understanding your insurance policy

3 Things To Consider When Choosing A New Personal Insurance Policy

14 December 2018 by Tuĝba Van Den Heijkant

Purchasing a personal insurance policy is an excellent way to ensure that you don't end up facing any serious financial losses in the coming years. Here are a few things to consider when choosing a new policy to invest in:

Can Your Coverage Be Combined?

One important consideration to make when deciding which personal insurance policy to invest in is whether the policy can be combined with your other coverage. If you can combine your homeowners, vehicle, and health insurance policies with your new personal insurance policy, you may be able to save yourself some money on premiums as time goes on.

Most insurance companies are willing to offer a discount of some kind in exchange for purchasing multiple policies from them, so even if you can't combine your policies, don't be afraid to ask about any discounts you might qualify for by adding a personal insurance policy to your portfolio.

What Kinds of Fees Are Involved?

It is also a good idea to find out what kinds of fees you'll be facing while maintaining an active personal insurance policy long term. In addition to your monthly, quarterly, or yearly premium costs, you should find out exactly what your co-pays and deductibles will be if you need to file a claim against your policy at some point in the future.

Find out whether you'll face any penalties for making multiple claims or having a late premium payment. And make sure that things like vehicle rentals and physical therapy treatments will be covered when making a claim, even if you end up making multiple claims in the next several years.

Can New Risks Be Added to the Policy?

While you may know exactly what kind of personal insurance coverage you need now, your circumstances may change and you might have the need to add new risks to your policy as time goes on. For instance, you might not own any property right now, but if you decide to buy a piece of land or a home in the future, you'll likely want to add that property as a risk to your policy so you will be financially protected if someone ever damages your property in some way.

And you may want to include coverage for illnesses to your personal insurance policy as you age. So, make sure that you can add and remove policy risks as you see fit at any point in the future without having to pay any penalties or significant premium increases.

Talk to a professional today to learn more about personal insurance services.

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