The 5 most important insurances that everyone needs

In our modern society, there is hardly anything more important than good insurance.

Many people think that insurance is an unnecessary expense and see it as a chore. However, insurance policies can be very valuable in the event of an emergency and should therefore not be underestimated. They can be life-saving! In this article, Cyprus Insurance makes clear which five insurances everyone needs and why they are so important.

1. health insurance

Health insurance is essential for everyone. This insurance protects us from high costs in case of illness and ensures that we receive the best possible treatment. In Germany, for example, there are different health insurance systems. The statutory health insurance (GKV) is a compulsory insurance system in which every citizen must be insured. Those who are not insured in the GKV can insure themselves voluntarily in a private health insurance (PKV). The PKV usually offers better services than the GKV, but it is also significantly more expensive.

2. occupational disability insurance

This insurance is a so-called disability insurance. This pays a monthly pension if the insured can no longer practice his profession due to illness or accident.

The occupational disability insurance is therefore one of the most important insurances of all, because it protects the standard of living. Many people think that the statutory pension insurance is sufficient. But this is a fallacy. The statutory pension insurance only pays a pension if the insured person has paid compulsory contributions for at least five years. For many people, however, this is not the case. In addition, the amount of the pension is very low and often not enough to maintain the standard of living.

3. private liability insurance

Private liability insurance is an insurance that every person should take out. This is because it protects us from the financial consequences if we cause damage to someone. This can happen, for example, if we injure someone while playing sports or run over a child while playing with our dog. In such cases, liability insurance covers the costs of the damage incurred. So it pays not only the property damage, but also the medical expenses of the injured person.

Even if you are very careful and always pay attention, you can’t always prevent someone from getting hurt. And that is exactly why private liability insurance is so important: it helps us to be financially protected in the worst case.

4. accident insurance

Many people think that their health insurance will also cover them in case of an accident. But this is not the case. Health insurance only covers the cost of treating injuries caused by an accident. Accident insurance, on the other hand, pays a pension if you can no longer practice your profession due to an accident and also have no other income. It also covers the cost of rehabilitation, if necessary.

The amount of the pension that one receives from accident insurance depends on various factors. First, it is determined by the severity of the accident and the resulting injuries. Secondly, the type of occupation plays a role. As a rule, the more dangerous the profession, the higher the pension.

5. residential building insurance

Whether you own a single-family house, an apartment or a multi-family house, residential building insurance is essential for everyone. Because only in this way the home and the belongings are sufficiently protected.

Homeowners insurance protects against the financial consequences that can arise from damage to the house. For example, the insurance covers the costs of repairs or rebuilding the house if it has been completely destroyed by fire. Homeowners insurance is also the right coverage in case of water damage, storm or hail damage.

If you don’t yet have homeowners insurance, it’s best to take care of coverage right away. This is the only way to ensure that your home is adequately protected.

Conclusion:

So, all in all, we can say that these 5 insurances are indispensable for everyone. Nevertheless, when choosing a provider, you should always compare well and study the conditions carefully to make the best choice.

Picture from Drazen@stock.adobe.com

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