Source I couldn't find a DR insurance meme, but this made me giggle.
This lesson included a lot of details but I am going to try and break it down quickly-
Go with term and whatever you do stay away from whole life or anything similar. Yes you are putting money into a savings account but if you have a 250,000.00 whole life policy with 35,000.00 in your 'account' and you die tomorrow your spouse, kids, parents, etc. only get that 250,000.00 where does your savings go? Back to the whole life insurance agency. Whole life insurance is also a lot more expensive, you can pay 125.00+ a month compared to 20.00-30.00 with a term policy-and your family get's the same amount if you die today.
Get some! Seriously, what if you were to get into a wreck tomorrow? How long would it take for those medical bills to ruin all the hard work you have put into getting out of debt? I worked in an ER for 2 years doing registration so let me give you a little insight-it won't take long at all. One bad wreck, an ambulance ride, a surgery or two, and a short hospital stay can easily put you in the hospital for 100,000.00 grand or more. A NICU baby can put you in for 500,000.00 easily and a micro-preemie can set you back even closer to the million mark. It add's up fast folks and it's scary. Dave talks about all kinds of health insurance in this lesson but he makes a point to recommend HSA. They can be expensive and they more than likely have a high deductible but you can get them to where if you pay out a 5,000.00 deductible after that the insurance will pay 100% for your coverage. You can also put that 5,000.00 into the HSA savings account and it is a tax deductible savings, if I remember correctly it will roll over to the next year as well. Dave also talks about how a lot of the time a higher deductible means less monthly cost so do your research and decide for you what is worth it. Remember to think about how healthy your family is, how often do you go to the doctor? Do you have ongoing needs? Weigh your options and decide what's best for you and your family.
Again, get some! Do you have enough money to replace your car if you got into a wreck? What about the other persons car if you were found at fault? What about the other persons medical bills, especially if there were anything those above? If you answered no to any of these questions you need to get some car insurance! Do your research, look at the deductibles, premiums, and what they pay out in different circumstances. Just like with health insurance a lot of the time the higher the deductible the lower the monthly cost.
Home Owner's/Renter's insurance-
Just like with auto insurance you need to think about what you would do if a fire, flood, tornado, etc. were to happen and you lost everything. Do you have enough savings to cover paying out for everything with cash? I know I don't! Even if you are renting you still have to worry about your things, your landlords insurance does not cover your belongings.
What about all the extra's and froo-froos?
They aren't worth it. Cancer insurance? It's covered by your health insurance. Accidental death insurance? Your life insurance still pays out if you die by accident. The list could go on...
If you are in the market for insurance you can talk to one of Dave's ELP's and they can help you figure out what you need and which company would be the best to go with. Oh, that reminds me. Dave also recommends talking to someone who doesn't work for a specific company and instead finds the best company for you.