15 Feb Insurance That You Don’t Need
Of course it is wise to have a personal insurance plan in case of emergencies, and it is even required by law to have certain types like car insurance and medical insurance. However, there are some insurances that you just don’t need, and paying extra a month for them is downright silly. Below are five insurance plans that don’t need in your life.
Unless you drop your phone a lot, you don’t really need phone insurance. Besides, the deductible to get a new phone tends to be between $100-$200, which is enough to put towards a new phone anyway. Many companies do not cover drops or dunkings, so it isn’t worth the money anyway. Instead of paying $10-$20 per month on your phone insurance, purchase a quality case and screen protector. Put that extra money into a fund for your next upgrade.
Many appliances and electronics offer an extended warranty. However, most products that you will be buying come from reputable brands that should work for years anyway. Buying the extended warranty is, in most cases, unnecessary. The only thing it really does is make you feel a little better.
Rental Car Insurance
If you go out of town and rent a car, many companies pressure you to buy insurance. Chances are though, that your auto insurance policy already covers car rentals. You don’t need to pay for this twice. However, if you are renting a truck, most insurance policies do not cover trucks, so double check before assuming that your policy covers the insurance.
Credit Card Insurance
Some credit card companies offer to pay for your credit card bill in the event that you cannot pay it for a small monthly fee. However, if you are wise and just watch your bill every month and make sure that you pay it off, you will save on the insurance premium and on the monthly interest on your credit card debt. Some companies will also try to trick you into purchasing credit card loss insurance. This is unnecessary as federal law already protects you. If your card is stolen, you will only have to pay $50.
If you are throwing a wedding, it is silly to purchase wedding insurance. Most of the time, you have liability protection through the different venues and vendors anyway. Even if there are non-refundable deposits, you still will probably pay less than you will for the insurance. Wedding insurance policies also exclude “acts of God,” “natural disasters,” and “cold feet.”