5 Important Types of Insurance Products to Have and How to Choose

Science lovers - Insurance products are financial products that are useful for protecting themselves from various risks of financial loss when disaster strikes.

Disasters often come at unpredictable times. For example, falling sick and having to go to the hospital for treatment, accidents occur, people steal cars, and houses flooded.

This is where the insurance function, you will get protection or protection from the financial side provided by the insurance company. For example, maintenance costs, replacement costs for lost items, costs for flooding due to floods and so on.

By having insurance, it will definitely make you calmer, and you don't have to worry if a disaster happens at any time.

Just imagine, if one day suddenly the house will be flooded or fire? Or are you suddenly sentenced by a doctor to have a certain disease that requires treatment at a cost that is not cheap? Stress for sure, especially if you don't have insurance.

How much financial loss do you have to bear? Of course not a little. However, you can manage all these risks by simply having insurance.

Make sure you understand well the benefits of insurance for your life later. Yes, it is usually paid for an insurance policy monthly or annually, and to feel the benefits indirectly. But when an emergency arrives, you don't need to panic or financial stress, because insurance is ready to protect you.

For those of you who are looking for answers, is it time to have insurance? The answer. Yes.

What are the important insurances that you need to have? So that you understand, here are 5 important reviews of insurance products that you can consider.

1. Health Insurance

Health insurance is an insurance product that provides protection against health risks with various schemes and choices of insurance benefits.

Currently, the government already has a health insurance program for all Indonesians through the National Health Insurance program which is managed by the Health Social Security Administration.

Especially for BPJS Health, you can register yourself individually or through the workplace to become a BPJS Health participant. Then after being registered, you can take advantage of health facilities with free treatment according to the BPJS class you choose.

In addition to BPJS, if you want to get more health insurance benefits, you can of course buy health insurance products that are managed by private insurance companies.

Buying health insurance products is one way for you to protect yourself from financial risks which of course can help you avoid bankruptcy or mounting debt when you are sick that requires expensive medical expenses.

So don't think, pay the policy and get nothing. That's an incorrect thought. Because insurance is not something that you enjoy in the present, but for the future or rather, when times of emergency occur.

The variety of benefits of private insurance products is much more interesting and has many benefits. Starting from inpatient services, outpatient services, coverage for childbirth costs, teeth, eyes, critical illnesses, changing glasses and so on.

How to Choose the Best Health Insurance:

Choose a health insurance product that suits your needs at a premium price that is of course within your budget.

Research and study the policy. Find out what insurance benefits (coverage) are offered.

Compare health insurance products A and B, check which benefits are more suitable for your needs.

Learn how to claim health insurance, remember to check the excluded conditions listed on the insurance policy.

2. Life Insurance

Life insurance is an insurance product that provides protection in the event of a risk of death for the policyholder.

This life insurance is very important to have for those who are married or become the breadwinner of the family.

The main benefit of life insurance is to provide compensation for death to the heirs and to provide compensation for the risk of total/partial disability.

There are pure types of life insurance products as described above, and there are also types of credit life insurance, where credit life insurance is usually a bundling product with credit facilities provided by the bank.

Generally, for this credit life insurance product, later bank customers who borrow some money at the bank will automatically pay credit life insurance premiums. So if there is a risk of death to the customer, and there is a potential for default on credit installments, the insurance company will cover the remaining payments.

How to Choose the Best Life Insurance:

Choose a life insurance product that suits your needs at a premium price that is of course within your budget.

Find out the amount of the sum insured  (UP)  or the amount of benefit (claim) received.

Compare life insurance products A and B.

Choose an insurance company that has good credibility.

Research and study the contents of the policy.

Learn how to claim insurance and also check the excluded conditions listed in the insurance policy.

3. Car Insurance

Car insurance provides protection for private cars from the risk of natural disasters, fire, damage, and accidents. Know that there are two types of car insurance: all risk car insurance and total loss only (TLO) car insurance.

The details, with all risk car insurance, your car will be protected with all types of risks including minor collisions until the vehicle is lost. As for TLO car insurance, your vehicle is only covered for major accidents that result in an accident of more than 80% or the vehicle is lost.

If you have a car, it is important to insure it because the risks when driving are very high.

How to Choose the Best Car Insurance:

Choose a car insurance product that suits your needs at a premium price that is of course in accordance with the value of the car and your budget.

Research and study the policy. Choose the insurance benefit (coverage) you need.

Learn how to claim, and also check the excluded conditions listed in the insurance policy.

Choose and compare car insurance products, ranging from conventional car insurance to Islamic car insurance on the meticulous.com site, and you can get the best and cheapest car insurance.

4. Education Insurance

Education insurance functions like future savings to ensure the continuity of children's education in the midst of the high cost of education, from elementary to tertiary levels.

Currently, many bank savings products are automatically combined with education insurance. You can choose this scheme because basically, we are saving for education funds.

However, you must understand that education insurance is not education savings. Remember, before you buy education insurance, make sure you understand well the insurance products offered.

Generally, education insurance is a unit-linked insurance product that includes investment. How it works, the collected funds will be invested by insurance companies into various instruments or investment portfolios that they think are appropriate and profitable. But, keep in mind, in every investment not only profit, there is also a risk.

How to Choose the Best Education Insurance:

Choose education insurance products according to financial goals.

Make sure the amount of funds in accordance with the target cost of education.

Research and study the policy. Do not be easily tempted by luck,

understand the risks and how education insurance works.

Compare education insurance products A and B. Choose the one that suits your needs and the premium costs are not burdensome.

Learn how to claim education insurance and check also the excluded conditions listed in the insurance policy.