We all know that even the best-laid plans can fall apart due to an unexpected situation or incident. Taking steps to protect yourself, your valuable possessions, your business, and your health is practical. It’s better to get insurance now rather than wait and risk getting yourself into a tricky financial situation. If you’re unsure whether taking an insurance policy is right for you or your business, this article is for you. We’ll cover what insurance coverage is and the costs of avoiding insurance so you can make an informed decision about what’s best for you. 

What is Insurance Coverage? 

To understand the risks of going without insurance coverage, it’s essential to understand exactly what it is. Essentially, insurance coverage is the amount of risk, potential loss, or liability protected by insurance. It helps individuals or businesses recover from financial losses resulting from incidents that weren’t necessarily expected. For example, car accidents, damaged property, or unexpected health issues can be pretty expensive to finance without home insurance or individual insurance. 

What Are The Costs of Avoiding Insurance? 

According to the National Health Interview Survey from 2021, 31.1 million individuals in the United States did not have health insurance. The aftermath of the COVID-19 pandemic has brought the importance of everyone’s health into focus. If you don’t have health insurance, you may be risking your life and your finances. Medical treatment can be costly without health insurance to help remove some of the financial burdens.

If you avoid paying insurance on some of your high-value assets, you risk paying the total price for repairing that asset. However, it’s not just the price of replacing the asset that you should consider. You could also go into debt while dealing with a significant complication. For example, you saved up to purchase your dream car but put off buying insurance coverage for the said car because you didn’t think you needed it. Unfortunately, your car gets stolen, and you not only have to pay for a brand new car, but you may lose out on wages since you now have no way of getting to and from your job every day.

Another common mistake that people fall into when it comes to insurance is getting an insurance policy that is too basic. We would always recommend researching what different insurance providers in your area are charging for the type of insurance you need, but you should also not skimp on the coverage you truly need. Insurance policies can be confusing, so speaking to a trusted insurance services provider to explain the ins and outs of the policy is highly recommended. They should be able to tell you whether or not an insurance policy has the coverage you require at a reasonable price.

We can help you

If you’re hesitant or confused about insurance policies and how they could help you, reach out to the trusted professionals at Dunham Insurance Services. At Dunham Insurance, no matter what type of insurance coverage you need, we take the extra time to help you completely understand your coverage and analyze if it fits your needs perfectly. Contact us today to discuss your insurance questions and get a free quote!