INSURANCE

INSURANCE

1. CAR INSURANCE

   • legal requirement to insure any car that is on road (accident and theft)
   • degree of cover will vary depending upon whether policy is 3rd party or fully comprehensive
   • advantages
     • meets legal requirements
     • protects self against theft of damage
     • protects against damages caused by 3rd party
   • disadvantages
     • premiums can be high depending on level of risk (expensive for young drivers)
     • normally excess that must be paid

2. HOME AND CONTENTS

   • covers physical building
   • covers physical items in house as well as outside
   • advantages
     • protects against danger
     • contents protected whether they are inside or outside the house
   • disadvantages
     • premiums are additional expense
     • some items cannot be replaced due to high value

3. LIFE ASSURANCE AND INSURANCE

   • life insurance - policy for set period if you die within certain time period. life assurance - ongoing policy to pay lump sum upon death
     • advantages
       • provides peace of mind
     • disadvantages
       • if policy holder does not die within set period of life INSURANCE no payment is made

4. TRAVEL

   • protects individuals/ groups abroad
   • covers loss and theft of property, illness, cancellations and emergencies
   • advantages
     • protection of personal belongings when away from home
     • medical costs covered
   • disadvantages
     • person suffering loss is likely to pay upfront to replace items or cover medical costs
     • additional cost when travelling abroad

5. PET

   • protects owners against some or all expenses (vet fees)
   • advantages
     • avoids some expenses
     • if the vet fees are too high - may be no other alternative to having pet put down BUT insurance can avoid that
   • disadvantages
     • additional monthly expenses to protect against unexpected

6. HEALTH

   • covers against medical expenses
   • can include payment plans to cover routine visits such as to the dentist/optician
   • advantages
     • some compensation provided when ill
     • private care = quicker treatment and better facilities
   • disadvantages
     • paying for something you hope you won't use
     • premiums can be expensive