Home insurance - that’s a no brainer (and usually a requirement on mortgages) but in this world there are a lot of people out there willing to insure you for any number of things. This week’s Top Tips column by Gerri Willis focuses on some insurances that you should say no to.
First on the list is something called cancer insurance. With premiums between $200 and $3,000 a year, cancer insurance is meant to be a supplement to your normal health insurance but Gerri warns that it’s usually not worth it. Why should you skip it? It’s usually better to go put that money with better health insurance coverage and the cancer insurance policies have little trip-ups like waiting periods (where you won’t get coverage if you get diagnosed with cancer) and others run out after a period of time, like two or three years.
Number two is mortgage life insurance, called mortgage life insurance because it’s a life insurance policy that just pays off your mortgage if you should perish. Just get regular life insurance and you’ll be fine, says Gerri.
Lastly, we’re talking about ID Theft insurance. Huh? Obviously capitalizing on the rash of ID information compromises, these policies cover the cost of repairing your credit, including attorney’s fees. “The ID Theft Resource Center even noted that they’ve never heard of a claim being paid out.” A waste!
Source: CNN Money
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