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Do You Have the Insurance You Need?

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Insurance provides protection for you, your family, and your assets. When purchasing particular securities, such as homes or cars, the law requires you to obtain adequate insurance in the case of an unexpected accident. To provide security for your family and future financial situation, you must protect yourself with the proper coverage.

This article will discuss why insurance helps protect you and your family, how credit unions provide favorable insurance options to their members, and the types available.

What Is Insurance?

An insurance policy is a legal contract with the provider that you purchase for a cost. Insurance offers you and your family a financial safety net to help you recover when theft, fire, or other unexpected accidents or events occur.

You can file a claim on your insurance policy if you suffer a covered loss, and based on the policy terms, the insurance provider will pay the beneficiary, also called the designated recipient.

Although it's our instinct to steer clear of unfavorable situations and avoid needless expenses, the repercussions of insufficient coverage can result in financial hardships during challenging times. Fortunately, you can safeguard yourself by seeking reliable insurance services through trusted financial advisors.

What Are the Benefits of Insurance?

With adequate insurance, you have fewer worries because you know that you'll receive financial assistance after an unexpected accident or other detrimental event. Insurance buys you protection from financial losses from an unexpected event.

Why You Should Consider Your Credit Union for Insurance Needs

There are many benefits to getting an insurance policy from your credit union. You trust credit unions with your finances, and insurance is an extension. Credit unions support their members and will help get them the coverage they need to protect their loved ones and assets.

Another great benefit is getting member-only, discounted premiums on many of these significant policies. That means you can get a comprehensive plan that will provide the necessary protection at an affordable cost. If you're in the market for a new home or car and need a financing solution, a credit union can help to find insurance plans that safeguard you from the unexpected.

Insurance Policies Available to Credit Union Members

Credit unions offer various insurance policies, including automobile and vehicle insurance and personal life insurance.

Credit unions take a personalized approach when providing insurance advice by explaining your options, providing insights, and focusing on what is best for you and your financial goals. There are several types of insurance available. Here are two highlights:

Guaranteed Asset Protection (GAP) Insurance

Some insurance policies are vitally important, but the average consumer rarely considers them; for instance, GAP insurance. GAP insurance helps you pay off your auto loan if you are in a severe accident. It also safeguards your finances as the value of your car declines.

Typically, lenders require you to keep comprehensive or collision coverage on your new vehicle if you're financing or leasing until you repay the loan. Comprehensive or collision coverage will help pay the depreciated value if your car is totaled or stolen. However, you may still owe more on the lease or loan than this depreciated value.

In this situation, you can apply your GAP insurance to keep you from ending up "underwater" on your vehicle loan from such an event.

Mechanical Breakdown (MBP) Insurance

MBP insurance coverage extends to new and pre-owned vehicles and offers coverage to reduce or eliminate your expenses if your vehicle goes to an auto shop.

When buying a new vehicle, we expect it to get us from one place to another without a problem. But a breakdown makes it challenging to complete your day-to-day activities. Getting quality auto repair is essential to getting back on the road, but it also comes at a high cost.

MBP may help cover these unexpected repairs on vehicle parts that may include transmission, electrical, engine, exhaust, breaks, suspension, and more.

Conventional Insurance Plans

You can also obtain Payment Protection, Dental Benefits, and Accidental Death and Dismemberment from your credit union. These insurance products offer credit union members an extensive range of protection at a competitive rate.

Payment protection is a unique insurance offering covering families that face an unfortunate financial challenge. Payment protection means you can protect your monthly loan payments without issues if the primary earner's illness, death, or unemployment affects repayments on mortgages, loans, credit cards, or other types of loans.
With payment protection coverage, members and their families get some financial protection while they deal with this stressful time.

We Match Our Member-Owners With the Right Insurance

Getting the right insurance coverage is essential. Power Financial Credit Union can find competitive rates while helping you navigate confusing options. Our team has extensive knowledge of insurance products available in the South Florida community. Learn more by contacting us today.