Published on August 10th, 2021 | by Bibhuranjan

Why Is Insurance Important For Me And My Business?

Insurance is meant to protect you, the people you care about, and your financial assets. Without it, a car accident could total your car, and you’d have no way to receive financial compensation. Perils like fires or windstorms could damage your home, and you’d be personally responsible for all the repair costs. If you run your own business, without the right insurance coverage, a customer slipping and falling on your property could be enough to shut you down. Without insurance policies, you may even leave your family with final expenses they can’t afford if you meet an untimely end. Here are some of the most important insurance policies you should be looking into and why you need them.

Life Insurance

You may think that life insurance is something you only need after you’ve had children or when you’ve reached old age, but you’d be wrong. A life insurance policy is important to protect your spouse or other beneficiaries at any age. The main benefit to a life insurance policy is that your beneficiaries are guaranteed a death benefit if you pass while the policy is active. The death benefit may be just enough to cover final expenses, or it may be enough to secure your family’s financial future entirely. Here are the most common types of life insurance, so you can get an idea of what may be best for you.

Term Life Insurance: A term life policy will guarantee a death benefit as long as you pass during the agreed-upon amount of time. Once the term policy ends, you’ll have the opportunity to renew it or convert it to a form of permanent life insurance. A big advantage of a term life insurance policy is that it generally offers lower premiums compared to other forms.

These policies can be great for young families who simply need the coverage until they can reach a financial goal, such as putting the kids through college. It’s generally a good idea to work with an insurance company while you’re still young and in good health, as your rates will be lower, and you’ll likely have no problem with the medical exam that most companies require. Check rates online for the best term life insurance in Canada.

Whole Life Insurance: A whole life policy is a form of permanent life insurance. In addition to the death benefit, whole life plans can also accrue cash value. You can speed the accumulation of cash value by paying your monthly premiums on time, and you can even borrow against your cash value or make withdrawals from it.

Universal Life Insurance: A universal life policy generally provides lower premiums along with an investment component. You can invest your cash value in sub-accounts that work like mutual funds. You may be able to find a plan that offers flexible rates, but keep in mind that there are even some policies that require a lump sum payment for coverage.

Business Insurance

Anyone who runs a business will need to get business insurance to make sure they’re protected, financially and otherwise. Firstly, you’ll need property insurance to protect the physical building from common threats like fires, smoke damage, windstorms, vandalism, and more. Just like when you own your own home, you’ll also need liability insurance. This protects you in situations where a customer is injured on your property, is negatively affected by a product defect, or when they have their property stolen while on your premises.

There are even some specialty business insurance options, such as cannabis insurance solutions. Cannabis industry specialists can help connect you with the right insurance carrier, whether you need agricultural insurance as a grower, product liability insurance, or even distribution coverage. No matter your business needs, there’s an insurance agent out there who can help you find the best plan for your peace of mind.

Tags: cannabis insuance, finance, insurance, insurance providers

About the Author

Bibhuranjan Editorial Officer, technofaq.org I'm an avid tech enthusiast at heart. I like to mug up on new and exciting developments on science and tech and have a deep love for PC gaming. Other hobbies include writing blog posts, music and DIY projects.