College graduation season is all-around us. Young men and women are heading out into the world, and the last thing they’re thinking about is insurance. Many don’t realize it’s a part of life, and needs to budgeted for, now that mom and dad aren’t footing the bills anymore. What kinds of insurance college graduates should purchase is an important topic for parents, graduates and future graduates.
The kinds of insurance college graduates should purchase
More than likely, kids just getting out of college, haven’t thought much about insurance beyond car insurance. Which makes sense. Many people only think about insurance when they’re buying a car, and then when they have to buy, or rent, a place to live. Often, health insurance isn’t a thought in a college kid’s mind, because they have been covered under their parent’s insurance since birth.
Young people think they’re invincible. Nothing will ever happen to them. However, one of the best things you can do for yourself when you’re young and have no one to take care of but yourself is to invest in Whole Life Insurance. If that's not within your budget, it's a great idea to invest in Term Life Insurance just in case something happens to you, it helps your family cover expenses that come with planning a memorial and burial. It's a morbid thought, but it's a reality many must face.
Once out of college, and living on your own in an apartment or a rental home, invest in renters insurance. Landlords have to take out insurance policies to cover themselves, and their building. This does NOT cover you, and your belongings. If there’s a break-in, you’ll want to make sure you can be brought back to whole again with your renters insurance.
If you’re driving a car, you have to have insurance in order to register the car in New York. There’s no getting around this. It’s illegal to have a car on the road without auto insurance. If you have a great insurance agent, he’ll be able to find the best coverage for the best pricing. Know what questions to ask.
If you’re working a full-time job, your employer often offers a variety of medical insurance policies for employees. Many young graduates can remain on their parent’s insurance up until the age of 26. It’s a great time to be alive, kids. Take advantage of this if you’re able to! Even if your parents make you pay them for the coverage, it’s still a great deal compared to the alternatives.
Anyone graduating from university should contact a trusted insurance agent to discuss the various insurance policies that make sense for them to purchase now that they're braving this new world! Give us a call at 631.543.0500 to discuss your best options, or your graduate's best options, for insurance.