What is insurance?
In short, insurance is a fee paid by you to an insurance company to protect you, your family, pets, home, etc, against a loss or accident or the a misfortune. Insurance is payment to protect against what life throws at you.
different types of insurance
There are many types of insurance to choose from. They cover you from. Some of these are:
- Home Building insurance: Buildings insurance protects against damage to the actual structure of the home.
- Home Contents insurance: This is to cover the contents of a home. Items like beds, carpets, clothes, CDs, DVDs, furniture, televisions, refrigerators, jewellery, wardrobes, etc.
- Car insurance: Any vehicle driven on a public road must have a insurance. In the event of an accident, the Road Traffic Act, ensures that drivers can pay for their damages. Minimum cover to is usually called 'third party only insurance' where as 'Comprehensive' covers the damage to your own vehicle as well.
- Pet insurance: Monthly premiums ensure that in the event of your pets ill health, the policy will step in and cover the costs.
- Life insurance: In the event of your death, this policy allows you to provide a lump sum to your dependents should you die early. There are different policies available, some include an endowment/savings element to give you a lump sum at the end of the term rather then just upon death.
