7 Common Myths About Insurance in the United States
Do you know the three biggest myths about insurance in the United States? It’s probably safe to assume that most people don’t. After all, fewer than half of Americans are financially capable of protecting themselves against risks like natural disasters, medical emergencies, or car accidents. For most people, this means relying on third-party sources like family and friends for financial assistance when things go wrong. In other words, there are many people who don’t even have access to basic insurance coverage.
You need a car or home insurance policy in order to drive or own a car.
This is simply not true. There are many car insurance models that allow you to drive without having any coverage. Moreover, there are some people who prefer to buy a car without insurance in order to save money. This can be a great way to build a car-owning portfolio without incurring huge expenses right off the bat. There are many reasons why people choose to get car insurance without a car. Health issues, divorce, job loss, or another major life event can all cause a car insurance policy to lapse. Even if you don’t plan on getting a car in the near future, you should still have some sort of coverage in place. This way, even if a major event causes you to cancel your car insurance policy, you’ll still have some sort of coverage in place. Homeowners insurance policies are different from auto insurance policies in that they don’t offer any coverage for driving your home. Similarly, you don’t have to have a home insurance policy in order to live in your home.
Health insurance is only required for employees of large companies.
Even though most employers offer health insurance, nearly 90% of Americans do not have any sort of health insurance coverage. That means that they are entirely at the mercy of the government and/or their medical providers when they’re faced with a medical emergency. In fact, roughly one in three Americans have at least one form of medical insurance coverage. That means that there are many people who don’t have access to any sort of insurance at all.
Getting life insurance is just a waste of money for most people.
This myth is extremely widespread, yet completely false. The truth is that life insurance is actually one of the most cost-effective forms of financial protection that you can get. Sure, you can get a few hundred dollars from a few insurance companies, but you can protect your family for millions of dollars with a few thousand dollars worth of life insurance. That’s why you’ll find that people who get life insurance are the exact opposite of “most people” – they are financially capable of protecting themselves against risks like natural disasters, medical emergencies, and car accidents. Life insurance protects your loved ones, your assets, and even your future financial security in the case of your death. That’s why it’s so common for people to purchase life insurance.
The minimum age to get life, auto, and health insurance is 18 years old.
There is no minimum age to get life insurance, health insurance, or auto insurance. The age requirements are there to protect the companies that provide the coverage. As long as you are financially capable of providing the coverage, you can purchase any sort of coverage that you want. That includes getting car, home, and health insurance at any age. You can even protect your assets by purchasing a term life insurance policy. That way, you can insure your assets without having to pay a large premium for the rest of your lifetime.