Insurance is a service you can buy to protect yourself and your family against financial hardship if something bad happens, like death, illness, injury, disability, hospitalization, car accident, fire, theft, loss of luggage, flight cancellation, etc.
Types of Insurance
The cost of insurance depends on many factors, including the type of policy and the amount of coverage you buy. Here are some types of insurance that you can buy to protect you and your family:
Life insurance provides money that helps a family pay for funeral costs if a family member dies. Depending on the amount of coverage, it may also help the family get by for a while without the income that the deceased contributed to the family budget. The cost of life insurance depends on the age and state of health of the person being covered in the policy.
Disability insurance provides the insured with an income or medical care if she or he has to stop working due to a disability caused by an injury or illness. The cost of disability insurance depends on the age, state of health, and the degree of risk involved in a person's job.
Homeowner or Tenant Insurance
Homeowner insurance protects you from losses or damage to your home or personal belongings. Losses or damage covered by homeowner insurance are usually those caused by fire, some natural causes, vandalism, theft, etc.
Homeowner insurance can also provide you with protection from liability. This means the insurance can help you if someone who has been injured on your property decides to sue you.
If you are renting an apartment or a house, it is a good idea to buy tenant insurance because your landlord's insurance does not protect your personal belongings.
The cost of homeowner or tenant insurance is based on factors such as the worth of your home, the value of your property and/or belongings, and potential risks.
In Canada, it is required by law that everyone who drives a motor vehicle is covered by a minimum amount of automobile insurance. Drivers have the option to buy additional insurance, over and above the minimum amount required by law.
Depending on your automobile insurance coverage, if you are involved in an accident, your automobile insurance company could help you with your auto repair or replacement, support if you are hurt and unable to work, and financial protection if you hurt someone else. Automobile insurance can also cover you if your vehicle is stolen or is damaged by someone else.
The cost of your automobile insurance depends on the type of insurance you buy, the age and make of your vehicle, your driving history in Canada, etc.
Travel insurance covers the costs of emergency medical services outside of Canada which exceed the amount covered by your PEI Health Card. Even if you are going to be outside of Canada for a day, you should buy travel insurance.
Travel insurance can also cover travel expenses that result from flight cancellations, lost tickets, lost luggage, etc. The cost of travel insurance depends on the length of your trip, your age, state of health, etc.