What are the insurance policies that you must know?

Insurance is the basic guard that protects an individual from any untoward occurrences. It is a mandate for anyone to have an insurance policy. There are different types of insurances, each one meant for a purpose. However, the four major branches are

Health insurance: Health is the basic well-being of an individual. It is very much possible that anyone might happen to experience difficulties in his/ her health. Under such circumstances health policies will act as the savior, protecting one from the sudden burden of spending more on hospitals bills. This might reduce the tension that an individual or his family experiences in case he/she falls sick.

Life insurance: It is the basic investment that provides financial assistance to individuals in all emergencies. Whenever an individual faces a crisis, these insurance policies help them get a lump sum amount to meet their needs. Life insurances vary in the duration for which they are valid. One can get life insurance or can restrict the duration for a few years.

Auto insurance: Vehicle buying and driving are two unavoidable happenings in the life of every individual. Harm to the vehicles and the insurer can happen through any mode. This means that these are inevitable in anyone’s life. Under such circumstances, the individual must pick up an insurance policy for the vehicle well in advance to avoid the restlessness that occurs in case of an emergency.

There are two other popular types of insurances known, depending on the premium amount and the benefits assured. They are public liability and comprehensive insurance. Public liability insurance prices are usually low when compared to the premium for comprehensive insurance. And so are the benefits of these two policies. Public liability insurance prices vary from one insurance company to another. The sum that you can get from these policies also varies proportionally. The major disadvantage of public liability insurance is that you can never expect the complete sum that the damage has incurred. There are cases where the damage cost has exceeded the sum insured. Under such circumstances, there are possibilities where you are supposed to manage the excess amount on your own.