When people decided to buy different insurance policies, they often times don’t realize that a number of the so-called perks in these plans are unnecessary. Unfortunately, many people buy these types of policies without reading the fine print of the insurance policies they already have. Indeed, some of the things that these policies offer are often already covered by the more generic or common insurance plans that people buy for their cars or receive through their place of employment, like health insurance.  In addition, some of these added “bonuses” can wind up hurting your wallet. To avoid wasting money on superfluous policies, here is a list of eight different insurance policies that are an absolute waste of money.

8 Insurance Policies You Don’t Need1

1. Flight insurance: You will not benefit at all from this policy. If you die in a plane crash, your beneficiaries will receive money. This is why you have life insurance, however.  Most life insurance plans cover such disasters. In addition, it is more likely that you would wind up in a serious automobile wreck than a plane crash, so the odds are low that this type of insurance is even necessary.

2. Car rental damage insurance: Many opt for this when they take out car insurance. But it is generally pointless, unless you frequently rent cars. In addition, your own car insurance policy might offer coverage for rental cars, so check with your car insurance company to see if that’s the case. If you are in a wreck or your rental car is damaged, make sure to look into how to file a claim with your insurance company.

3. Credit card insurance: Credit card insurance, which is perhaps the most bizarre and gratuitous out of all of the different insurance policies, covers your credit card bill if you are unable to make the monthly payment. But why would you have a credit card, if you can’t pay for it? It really goes without saying: if you find it difficult to pay, or are incapable of paying your credit cards in a timely fashion, then it is probably best to avoid having them in your purse or wallet. After all, you don’t want to go into debt just to have debt.

4. Accidental life insurance: This type of insurance is unnecessary as your life insurance policy most likely covers accidental death. That is, if you were to die in an accident, it is likely that your life insurance policy covers such an event. Therefore, much like the other different insurance policies, accidental life insurance is a gratuitous expense.

5. ID-theft insurance: This type of insurance can cost between $150 and $300 a year. However, there are already federal protections that help you if your identity has been stolen. One way to protect your financial identity is to keep track of your credit card expenditures and bank statements. Again, this type of insurance is a waste of money.

6. Cell phone insurance: The deductibles and premiums can be costly, and if you do lose your phone, chances are you will receive a refurbished version of the one that you lost or had stolen. It is better to hold onto your old cell phone, just in case the one you actively use is stolen, broken or lost.

7. Child life insurance: Gerber Life, which is well-known for selling baby food products, offers child life insurance. The reason to have life insurance is to protect dependents. That is precisely why child life insurance is unnecessary.

8. Disease insurance: This is another no brainer when it comes to buying unnecessary insurance plans. First, if you have good medical care coverage, this type of insurance is not needed. But what is disease insurance exactly? Disease insurance covers numerous medical problems, but so does a health insurance plan. Like these other aforementioned insurance policies, disease insurance is successful because it appeals to your fears of winding up with a traumatic disease such as cancer.

These eight different insurance policies are good examples of why it is important to read the fine print on more legitimate types of insurance policies, such as health insurance and car insurance. Do your research on the plans you already have, so that you don’t take out these different insurance policies that are already covered. It is always important to be aware of gimmicks that only serve to hit your wallet.

When people decided to buy different insurance policies, they often times don’t realize that a number of the so-called perks in these plans are unnecessary. Unfortunately, many people buy these types of policies without reading the fine print of the insurance policies they already have. Indeed, some of the things that these policies offer are often already covered by the more generic or common insurance plans that people buy for their cars or receive through their place of employment, like health insurance.  In addition, some of these added “bonuses” can wind up hurting your wallet. To avoid wasting money on superfluous policies, here is a list of eight different insurance policies that are an absolute waste of money.

1. Flight insurance: You will not benefit at all from this policy. If you die in a plane crash, your beneficiaries will receive money. This is why you have life insurance, however.  Most life insurance plans cover such disasters. In addition, it is more likely that you would wind up in a serious automobile wreck than a plane crash, so the odds are low that this type of insurance is even necessary.

2. Car rental damage insurance: Many opt for this when they take out car insurance. But it is generally pointless, unless you frequently rent cars. In addition, your own car insurance policy might offer coverage for rental cars, so check with your car insurance company to see if that’s the case. If you are in a wreck or your rental car is damaged, make sure to look into how to file a claim with your insurance company.

3. Credit card insurance: Credit card insurance, which is perhaps the most bizarre and gratuitous out of all of the different insurance policies, covers your credit card bill if you are unable to make the monthly payment. But why would you have a credit card, if you can’t pay for it? It really goes without saying: if you find it difficult to pay, or are incapable of paying your credit cards in a timely fashion, then it is probably best to avoid having them in your purse or wallet. After all, you don’t want to go into debt just to have debt.

4. Accidental life insurance: This type of insurance is unnecessary as your life insurance policy most likely covers accidental death. That is, if you were to die in an accident, it is likely that your life insurance policy covers such an event. Therefore, much like the other different insurance policies, accidental life insurance is a gratuitous expense.

5. ID-theft insurance: This type of insurance can cost between $150 and $300 a year. However, there are already federal protections that help you if your identity has been stolen. One way to protect your financial identity is to keep track of your credit card expenditures and bank statements. Again, this type of insurance is a waste of money.

6. Cell phone insurance: The deductibles and premiums can be costly, and if you do lose your phone, chances are you will receive a refurbished version of the one that you lost or had stolen. It is better to hold onto your old cell phone, just in case the one you actively use is stolen, broken or lost.

7. Child life insurance: Gerber Life, which is well-known for selling baby food products, offers child life insurance. The reason to have life insurance is to protect dependents. That is precisely why child life insurance is unnecessary.

8. Disease insurance: This is another no brainer when it comes to buying unnecessary insurance plans. First, if you have good medical care coverage, this type of insurance is not needed. But what is disease insurance exactly? Disease insurance covers numerous medical problems, but so does a health insurance plan. Like these other aforementioned insurance policies, disease insurance is successful because it appeals to your fears of winding up with a traumatic disease such as cancer.

These eight different insurance policies are good examples of why it is important to read the fine print on more legitimate types of insurance policies, such as health insurance and car insurance. Do your research on the plans you already have, so that you don’t take out these different insurance policies that are already covered. It is always important to be aware of gimmicks that only serve to hit your wallet.