When you are planning to buy a car, planning a holiday, or taking out a loan, insurance is probably the last thing you want to think about. But you may need it for your own protection and those of your assets. So it is important to spend a little bit of time shopping around for insurance which best suits your needs. Having a good insurance policy can make all the difference to your pocket – both now and if the worst happens and you need to make a claim.
So don’t just accept the first insurance policy that is offered to you – regardless of who offers it. Shop around. Even if you make just three or four quick telephone calls to different companies, you’ll find that terms and conditions, including the price might vary between one company and another. The Internet can make this easier.
And before you take up a policy, make sure you understand what the insurer will and will not cover. For example, some travel insurance policies might not cover you if you are injured when skiing or doing other dangerous sport. If you don’t choose a policy with the right coverage for you and your circumstances, you could end up with unpleasant surprises in case of a claim.
If you are a Secondary school teacher and would like to help your students understand the importance of financial planning, the concept of risk and what benefits there are to taking out insurance, you can download these resources prepared by the European Insurance and Pensions Authority.
