Why Should You Purchase Insurance? Purchasing insurance ensures that your assets are always protected, but it involves a shared liability between the insurer and the insured. This means that the insurance company will pay a predetermined amount of a financial claim that has been made by the insured. Your premiums that you pay will cover your part of the claim.
What are Insurance Premiums? Premiums are paid at regular intervals with an understanding that in the event of a negative event happening that the insurance company will pay certain costs. They are purchased in the present to purchase asset protection against the possibility of a future financial loss caused by an unforeseen event.
What are the Different Insurance Premiums? Automobile premiums will provide payments for damages caused in an auto accident. Health insurance premiums provides payments to health-care providers if you are sick. Life insurance premiums provides a payment to your descendants, if you pass away. Homeowner's insurance premiums pay for home repairs in the case of fire or storm damage.
What is a Deductible? A deductible is the amount of loss the client pays for, while the rest is paid for by the insurance company.