Useless insurance
Which? the source of independent expert advice is publishing a Money Saving Handbook today. I thought this would be of interest to most people and one of the subjects covered is ‘useless insurances’.
The handbook points out the top five useless insurances as extended warranties, identity theft cover, payment protection insurance (PPI), mobile phone cover and accidental death and injury cover.
I suppose the main point here is to identify the real must-have insurances like motor and home insurance, life insurance etc and try avoiding these so called useless insurances. Which? say the other types of insurances have so many terms and conditions, or obstacles to climb, that they rarely pay out and in most instances the insurance is unnecessary.
The author of Money Saving Handbook, Tony Levene, says:
“You can buy insurance to cover yourself against almost any conceivable risk - even alien abduction!
“The insurance industry’s favourite phrase is “peace of mind”, but it uses this to justify policies that cost a lot and are almost impossible to claim against.
“Instead of just blindly following what the salesman says, people should carry out a risk assessment of their own and make an informed choice about whether they actually need the insurance, and whether it’s worth the premium.”
I’ve found a link to the Which? Money saving handbook here