Draft insurance recommendations

Example 1: Insurance Recommendations

Life Situation: Two Children and a Mortgage

Language: English

Insurance Recommendations for an Individual with Two Children and a Mortgage

1. Life Insurance:
   • Opt for term life insurance to cover the mortgage balance and ensure financial support for dependents in case of unexpected death.
   • Coverage amount should be sufficient to replace income for at least 10–15 years or until the children are financially independent.
2. Disability Insurance:
   • Protect against income loss due to illness or injury by purchasing long-term disability insurance.
   • Ensure the policy covers at least 60% of your pre-tax income.
3. Health Insurance:
   • Maintain comprehensive health coverage for yourself and your family to minimize out-of-pocket medical expenses.
   • Consider adding a Health Savings Account (HSA) if enrolled in a high-deductible health plan.
4. Homeowners Insurance:
   • Ensure adequate coverage for the home and its contents, as well as liability protection in case of accidents on the property.
5. Umbrella Insurance:
   • Add an umbrella policy for additional liability protection, particularly if your assets exceed the standard coverage limits of your primary policies.
6. College Savings Protection:
   • Consider a small additional policy to safeguard future education expenses in case of unforeseen events.

Example 2: Insurance Recommendations

Life Situation: Single Professional with No Dependents

Language: English

Insurance Recommendations for a Single Professional with No Dependents

1. Health Insurance:
   • Secure comprehensive health insurance to cover routine and emergency medical needs.
   • Consider supplemental insurance for critical illness or accidents.
2. Disability Insurance:
   • Obtain long-term disability insurance to ensure income replacement if you are unable to work due to illness or injury.
3. Renters Insurance:
   • Protect personal belongings and include liability coverage in case of accidents in your rental property.
4. Life Insurance:
   • May not be necessary unless you have outstanding debts with co-signers or plan to leave an inheritance.
5. Professional Liability Insurance:
   • If applicable, protect against claims arising from errors or negligence in your profession.