| At the end of Part 1 I said I would discuss | | | | who don't have it through work is a |
| some good deals you can get in insurance and | | | | short-term disability policy. This covers you |
| this is what I intend to do in this section. | | | | if you are out of work for any length of time |
| No bargains can be found in the "must have" | | | | and can't make any money. Anyone looking to |
| type policies, like auto and home insurance. | | | | start a family should have this because while |
| But there are some policies I highly | | | | the new mom is home with the baby she can get |
| recommend. | | | | paid while on maternity leave. This type of |
| | | | policy is becoming more and more popular as |
| The first type of policy I recommend is an | | | | employers are looking to cut costs by |
| umbrella policy. This is a policy that covers | | | | reducing benefits. |
| you for personal liability. Depending on your | | | | |
| insurance company you can get a $1,000,000 | | | | My wife had a short-term disability policy |
| umbrella policy for as little as $200-$300 | | | | because the school system she works for does |
| depending on what you are covering. This is | | | | not offer STD benefits. We pay roughly $75 |
| usually for 2 cars and one home. Once you add | | | | month for the policy that will pay her just |
| more cars and additional houses the premium | | | | under $3000 for a month out of work. As long |
| goes up. Hopefully you never need to use this | | | | as you can get a doctor's note saying you |
| type of policy but in this country, where | | | | should miss work you can receive a |
| people file law suits for spilling hot coffee | | | | predetermined amount of money for up to six |
| on themselves, you need to protect your | | | | months. After six months you will need a |
| assets. If you do get sued wouldn't it be | | | | long-term disability policy. Let me tell you, |
| nice to know you have a million or more in | | | | this money came in handy when our daughter |
| coverage for a couple hundred dollars a year? | | | | was born. |
| | | | |
| In some cases an umbrella policy can save you | | | | Most people will say they don't need this |
| some money. How? Some people understand the | | | | type of policy but I think it is a bargain. |
| importance of having the proper amount of | | | | We have actually made money on this policy |
| coverage. Instead of having an umbrella | | | | because we have had it 3 years and it has |
| policy they add more liability coverage on | | | | cost us $900 per year. We have made one |
| their auto policies and home policies. For | | | | claim, when my daughter was born, and we got |
| example, you can get an umbrella policy if | | | | $3000. Unless you commit fraud you cannot |
| you have $100K in liability coverage on your | | | | make money on an auto or home policy. |
| auto and home policies. Some people carry | | | | |
| $250K in coverage on their auto. The cost of | | | | I think I have shown you two bargains as far |
| increasing from $100K to $250K is usually as | | | | as insurance goes. Anyone with something |
| much, if not more, than having the umbrella | | | | worth taking should have an umbrella policy. |
| policy. So, these people carry only $250K in | | | | Anyone that is not offered STD benefits |
| liability coverage for the same price, or | | | | through their employer should have this type |
| more, than someone with an umbrella policy | | | | of policy. In part three of this series I |
| and $1.25 million in coverage. | | | | will discuss homeowner insurance in more |
| | | | detail, don't miss it. |
| The next kind of policy I recommend to those | | | | |