When you think about it, and I often do because that’s my job as Detective Frank Money, that there are a heck of a lot of insurances out there: homeowners, auto, life, health, flood, dental and if you’re still in college living off campus, rental insurance. Like changing tax laws, insurance rates and coverage change, as well.
Insurance is the perfect definition for Risk Management. And insurance is another facet of being financially literate.
It’s always a good bet to have the proper insurance to protect you, your property and your loved ones from harm. Now that’s good financial literacy.
When you think about it, Insurance and Risk Management are really the same thing. Adults who own homes have all kinds of insurances including protecting their home and belongings. But when first starting out in the working world, or even before when attending college, insurance is also a big must have – and, like popsicles, Insurance comes in lots of different flavors.
If you’re renting an apartment, rental insurance is good thing to help protect your belongings in case of a fire, bad weather or even theft. That’s taking your first step with Risk Management. Also health insurance should be on your list. We all know that at age 22, health insurance is the furthest expense to consider. But you should know that a broken arm or a couple of nights at a hospital could put you in serious debt.
So by having insurance that covers your health, your property and even your car is the perfect definition of Risk Management.
April is National Financial Literacy Month, Detective Frank Money’s favorite month! To celebrate the importance of being financially literate, Detective Money is going to post financial literacy tips every day.