Why do I need life insurance?

Insurance can be a topic that is often misunderstood; life insurance is even more misunderstood than home and auto insurance.  Home and auto insurance can protect tangible things, your house, your wedding ring, your car, and many other things.  What does life insurance protect?  For starters it also helps protect your house, auto and many of your tangible things.  How long would it take for your family to feel the impact of losing your income? Would losing your income hurt your family’s ability to keep your house and car?  According to lifehappens.org “about 38% of Americans believe they would feel the financial impact from the death of the primary wage earner within a month of their passing”.  One month is not a very long time considering that income is gone for life.  Protecting your home and auto isn’t all life insurance can do?  It can provide you money for funeral expenses, college tuition, credit card debt, loans, and daily living expenses (lifehappens.org).  When you look at all that life insurance can protect, the cost seems to be secondary at that point.  So where can you get your life insurance? There are few options but talking to your insurance agent is a great place to start.


I get life insurance through my work.  That is a statement a lot of people make when being ask about their life insurance needs.  Do you know how much life insurance you have through your work?  Typically it is not enough value to cover what you need.  There are many online life insurance calculators to help you with need.  Lifehappens.org has one.  You can also call us at 412-344-2800 or email us or contact us via our social sites with the buttons in the top right hand column.  What would happen if you leave your job?  Would your life insurance stay at your old job?  Most life insurance through work plans is only good if you stay at your job.  Thinking you can just get life after you leave your job if you need it, maybe yes but at a cost.  Life insurance is dependent on certain factors like age and health.  Buying life insurance early while you are young and in good health can save you money now and down the road by not having to pay larger premiums due to disease and health issues. 


With all of the things life insurance can protect, it has to be expensive right?  Most Americans overestimate the cost of life insurance by a great deal.  Term life insurance can be a cost effective way to give you a death benefit.  Term insurance covers you for a length of time for a set amount of coverage.  30 years at 300,000 would be an example of a possible term policy.  Here is something else to consider, your life insurance policy can give you a discount on your home and auto.  When you look at your insurance cost on a monthly basis, the cost could be very insignificant.  Other life insurance products can not only protect your loved ones after you passing but provide a cash value to you.  To find out what life insurance could cost you, contact us.  Let us find you the right coverage at the right price and take the guessing out of life insurance.


What insurance do I need for an Airbnb?

An Airbnb can be a great option to save money when you go out of town.  What if you want to use your home as an Airbnb?  There are potential coverage issues when you use your home as an Airbnb.  AirBnb offers coverage for the liability through Host Protection Insurance.  When looking at the Airbnb website the Host Protection Insurance looks to be coverage for 1 million dollars for third-party claims of bodily injury or property damage related to an Airbnb stay. (airbnb.com/help/article/937/what-is-host-protection-insurance).  The Airbnb will also cover up to 1,000,000 for damages to a covered property in the event a guest damages the house. (https://www.airbnb.com/help/article/279/what-is-the-airbnb-host-guarantee).  

Where does that leave you with your insurance carrier?  First it is a good idea to contact us if you are thinking of listing your house as an Airbnb or listing with another home sharing service.  Some companies will deny coverage for a claim if it is used for home sharing.  Other companies will provide coverage if the company is made aware and the proper endorsements are listed.  Erie Insurance will cover home sharing in many circumstances.  Erie will extend coverage for home sharing when the insuring home is the primary location.  Keep that in mind as Erie will not provide coverage for home sharing on a seasonal or secondary dwelling.  Erie will extend coverage once the Incidental Business Endorsement is added.  Your home must also be listed through a home sharing online platform service with a primary liability limit of 1,000,000.  

Your Airbnb Host Protection along with your Erie policy should protect for most situations that arise.  Contact us with other questions.  For more helpful tips and insights stay tuned to this blog.  Also remember to check out our social media pages listed at the top right hand corner of this blog.