Is Insurance an Investment?
Is insurance an investment? There’s a healthy debate on the subject! This article explores: the definition of an investment, how insurance benefits are taxed, the way accounting treats premiums, how premiums are used by insurance companies, and the result of a recent poll.
Shop Auto Insurance
Many people overpay for auto insurance. They can go years - even decades - without getting multiple quotes. Insurance is highly regulated. Its quality largely depends on the coverage and financial strength of the insurer. The agent down the street may cost a lot! Trust everyone but cut the deck.
How Disability Insurance Works
Disability insurance is critical early in careers. After all, that's when we have the most future earnings to lose!
It's usually based on a percentage of income:
• 60% is somewhat standard, though
• it can range from 40 to 70%.
There's often a cap, which may cause higher earners to receive less than half their regular income.
There's short-term and long-term disability insurance:
• Short-term: first 3-6 months, typically own occupation coverage
• Long-term: after 3-6 months, often any occupation