Articles - Archived Feature

Insurance: Think About It

While many local government employers offer several types of insurance to their employees, like health, disability and life, it's always good to think about the other areas where insurance may fit. It's a good idea to know what your needs are and shop around for the best deal, whether insuring your home, automobile or providing extra life insurance to care for beneficiaries.

Your home is likely your biggest investment, so you want to make sure it's adequately protected. Make sure you know the difference between "replacement coverage," which gives you the money to rebuild your home and replace its contents, and an "actual cash value" policy, which is cheaper, but pays only what your property is worth at the time of loss. Also ask about special coverage to protect things like electronics, jewelry, art and antiques. Remember that flood and earthquake damage is not covered by a standard homeowners policy, so depending on where you live, a separate personal line of insurance may be beneficial.

If you have a vehicle registered in North Carolina, you are required to carry liability insurance, which provides protection from claims arising from injuries or damage to other people or property. Whether you need additional coverage, like collision or comprehensive depends on several factors, like the make, model and year of your vehicle. Many people call around for car insurance quotes every year prior to the time the policy is set to renew. That's because many insurers consistently raise premiums from year to year, meaning you may not be getting the best deal. With online quotes, shopping for auto insurance these days is easier than ever. You may want to consider doing it every couple of years.

While many employers offer life insurance, having additional coverage in the form of term life insurance may be a good idea if the purchaser wants extra protection for beneficiaries. Term insurance covers you for a term of one or more years and only pays a death benefit if the purchaser dies during that term. These policies are popular because they're generally the most inexpensive and provide fairly substantial coverage. As with the other types of insurance mentioned, shop around, especially before renewal time, to make sure you're getting the best and most affordable policy for your needs.

Remember, as a local government employee you benefit from being able to use Local Government Federal Credit Union for your insurance needs. For more information or to obtain a risk-free quote, call LGFCU Insurance Services at 888.856.2350.