This definition is familiar to millennials. At this age, you might be taking out student loans or buying or renting a home, having children, and eventually purchasing insurance. These are major life events that millennials will face, making it crucial to have a financial safety net. Insurance is exactly that: a financial safety net. It’s therefore concerning that the Princeton Survey Research Associates International survey ranked millennials as the least insured generation.
People of all ages avoid insurance for many reasons. Insurance is often seen as an expensive investment. Insurance is likely to cost less than you think. According to the National Association of Insurance Commissioners, millennials have overestimated renters insurance’s actual cost by more than fivefold per year.
The policy terms can make it difficult to find the right policy and can also be confusing. It’s not something anyone wants to think about. These things can happen so be prepared.
Don’t let your initial confusion or preconceived ideas drive you away. After all, you’re a millennial! Your generation is constantly tackling new challenges, expanding the way the world works and often in brilliant ways.
Insurance is essential for financial protection in the future. Now is the time to “adult” and make that first step.
Also read: How to Start Real Estate Business
These are five tips to help you buy insurance
1. Be smart
Your No. 1 priority when searching for insurance is to find adequate coverage. Your number one priority should be to get adequate coverage. While price is important, you should first determine the type of coverage that you require. You can then determine the best carrier for you and fit your budget. Although it may seem tempting to opt for the cheapest insurance, if you don’t have enough coverage or the right type of coverage, you will not see a financial benefit when you file a claim.
2. Look for discounts
After evaluating your coverage requirements, you can factor in your budget to find ways to save. Ask your agent about discounts for your coverage. Many carriers offer discounts for paying your full policy, keeping your car in good condition, and if you are a student, getting excellent grades. Bundling multiple policies can help you save money, like buying a home or auto policy from one carrier.
3. Fill in the blanks (gaps)
A standard policy will provide basic coverage, but you might need additional coverage to address your specific needs. You may have expensive items such as electronics or jewelry that are beyond the reach of your homeowners or renters policy. These items may be covered by additional insurance.
4. You don’t have to be too old to get life insurance
No matter your age, life insurance is important. For millennials, it may be smart to purchase life insurance now as it is cheaper to do so when you are young and healthy. This type of insurance can cover your family for unexpected expenses, such as student loan debt, mortgage payments, and end-of-life costs. A life insurance policy can be used to support your children’s education and childcare costs if you have them. Long-term disability coverage is a must for every millennial. It helps you to stay financially afloat in the event of an accident or if you are unable work.
5. Talk to an independent agent.
An independent insurance agent is an essential resource when purchasing insurance–especially if this is your first time. Independent agents work with many different carriers. This is in contrast to captive agents, who only can sell insurance from one carrier. An independent agent will ensure that you get the best coverage at the best price. Independent agents have the insurance knowledge to help you navigate your options and explain each policy. Independent agents will ensure that all your assets are protected, find you discounts and other savings options, and can be a valuable resource for your insurance needs as they change.
Start protecting your financial future today by finding a local independent agent.
This article is intended for informational and suggestions purposes only. The implementation of any one or more suggestions does not guarantee coverage. The policy’s language will apply if any of the coverage descriptions are not compatible with those in this article. Contact your independent Grange agent (www.grangeinsurance.com/find-an-agent) for more information about Grange’s auto-home, business, and life insurance coverages.
