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Taurai Craig Museka
THERE’S a ray of hope for the Zimbabwean economy following the transition that took place a few weeks ago.

In this new era for Zimbabwe there is going to be a need for every individual to have a solid financial plan. Protecting your most valuable assets is a key step in creating that plan.

The right insurance policies will protect your possessions and also your earning power. However, insurance is one of the most complex services anyone can buy yet it is so necessary.

There are so many insurance policies available, some of which you don’t need but you are probably going to see them being marketed to you, something which can get your head spinning.

These are policies that you cannot do without:

Health insurance/Medical insurance

Your health is arguably your most valuable asset. When you are in perfect health you are able to work and earn a living and also enjoy what you have worked for.

Without health insurance or medical aid, any attack on your health could lead to you failing to get medical attention or even leave you in debt from medical expenses.

Medication and medical costs are rising everywhere in the world and this makes health insurance necessary.

Health insurance covers you against unforeseen illnesses or body injuries. It makes sure you are able to see the doctor when you get ill or when you need a routine check-up, or when you need to pay for medication.

Health insurance or medical aid has for long been expensive and it can be a financial burden for anyone but that does not take away the fact that potential medical cost can be a bigger burden. It’s good that many employers provide health insurance for their employees.

If your employer cannot afford to provide you with medical aid, it does not mean you don’t need it. You cannot risk going without it.

Life assurance

Your life is valuable, without it you cannot work or provide for your family. We all live but with the realisation that at some point we are going to die. When you are gone there is an income gap that you create in your family, which can live your family or dependents in a financial predicament.

It is unfair for you to live your family in a financial predicament when they have to bear your death. There are also costs involved in the funeral itself, which those who are left behind should take care of. Life assurance protects your family in the  event of your death by providing them with financial support.

This will make the lives of your family members to be easier in the event of your death. Some life assurance policies also provide for the funeral cover, which will ease the burden of funeral expenses.

If you are young, it’s tempting to think life insurance is not important. The reality is you can die at any age. Life insurance is cheaper if you are younger and you pay for a defined number of years.

Home Insurance

Building a house is a very expensive proposition. Replacing it is even worse, considering it will be redoing something you had done already.

Many people consider a house as a life time investment.

Losing your property because of a fire, flood, or any other kind of accident can be devastating. I know a few people who lost everything they had in a fire and it totally destroyed their lives, not only physically but even emotionally.

Homeowners insurance makes sure that your house is covered in the event that it is destroyed by fire or weather events or even man-made disasters such as burglary. Homeowners insurance will pay for repairs or reconstruction of your home, which will save you thousands or millions of dollars.

One of the biggest advantages of having insurance is peace of mind.

It is good to know that even when something happens to your home you will never completely lose it. If you do not have a house you can still ensure your belongings through a householders’ insurance policy. This policy will replace your possessions in the event that they are lost in unforeseen circumstances.

Motor vehicle insurance

You probably don’t need this one if you don’t own a car or you don’t dream of owning one. Car accidents have become common on the roads of Zimbabwe.

Even if you are the best driver in the world, you will drive in a road next to a person who isn’t. Car accidents cause damage to the car and also might cause injuries to those involved.

Motor insurance is mandatory for everyone who owns a car in Zimbabwe. Motor vehicle insurance protects you by paying for repairs or replacement of your car if it is damaged due to accidents, fire or even if you lose it through theft.

Having motor vehicle insurance also helps you to save money by paying for liabilities that might arise as a result of accidents. A good example is paying for injuries to another person you are involved in an accident with.

I am not saying these are the only insurance policies you need. You have probably been sold a lot more insurance policies, some of which you need and some which you don’t need.

This does not mean you should not get them, but it is best to read through what they cover and compare them with what you already have to make sure you don’t duplicate.

It’s best that you read policies carefully or consult an agent to be certain about the cost and coverage of your insurance.

Taurai Craig Museka is a freelance insurance writer. Send feedback to [email protected]/ whatsapp +263775608014