3 Types of Insurance You Don’t Need

Thanks to fear, most of us often end up buying insurance that we really don’t need. That’s the truth. While certain types of insurance are important to have, for our protection, there are others that we can easily do without.

So, here are 3 types of insurance you really don’t need:

#1: Identity Theft Insurance

Unlike the general notion about identity theft insurance, you’ll most probably have only a partial amount of the cost covered if your financial information has been compromised. Often, your credit card company will offer identity theft recovery services, and in the case of American Express, it’s free of cost.

Considering this, there’s really no need to spend $20 to $100 per year.

#2: Extended Warranties

Almost every type of appliance or electronics is generally offered with an extended warranty. And it’s steep because it costs almost 15% to 25% of the price of whatever it is you intend to buy. Unfortunately, if something goes wrong, there’s a chance that it might not be covered by the extended warranty as not all problems are covered by these warranties.

#3: Cell Phone Insurance

If you have an expensive phone, cell phone insurance is also offered these days so as to protect the user, in the case of a loss, theft or an accident. Sadly, not all accidents are covered by this type of insurance such as dropped phones or water damage. Considering the fact that the manufacturer might offer you a warranty for repairs at no cost, there’s really no point in using this type of insurance either.