Insurance is a contract that you purchase (policy) in which you receive a financial safety net (protection) from an insurance company that will pay for losses caused by major events (risks)…things like fire, accident, theft, disability, death, etc. Basically, you pay to protect the people and things you care most about.
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While Society of Grownups hopes the information is useful, it’s only intended to provide general education. It’s not legal, tax, or investment advice, and may not apply or be useful to your specific financial situation. If you need recommendations geared to your personal financial situation, schedule time with a financial planner professional.