Which insurance do you actually need, and when
Four different products, compared on the same four criteria, so it's easier to see which one applies to your situation right now.
- What it actually protects
- The main driver of its cost
- How often it's worth reviewing
- The most common mistake people make with it
| Insurance type | What it protects | Main cost driver | Common mistake |
|---|---|---|---|
| Auto insurance | Your vehicle and your liability for injury or damage you cause while driving | Driving record, vehicle type, location and chosen coverage limits | Carrying only state-minimum liability and assuming it's enough after a serious accident |
| Home insurance | The structure of your home, your belongings, and liability for injuries on your property | Rebuild cost, home age and construction, and local weather or fire risk | Insuring to purchase price instead of actual rebuild cost, leading to underinsurance |
| Life insurance | Income replacement and financial support for dependents after your death | Your age, health, tobacco use, and the term length and coverage amount chosen | Waiting too long to buy, since age is the biggest cost driver and only moves upward |
| Health insurance | The cost of medical care, from routine visits to major treatment | Age, location, tobacco use and plan tier, under US rules that limit health-based pricing | Choosing the lowest premium without checking the deductible and out-of-pocket maximum |
This table shows general patterns across US insurance and cannot tell you the specific coverage amount, deductible or insurer that's right for your situation — that depends on your own finances, dependents, property and health.
Ready to get quotes on one of these
How we make money: some links here are partner or affiliate links and we may be paid a fee at no cost to you. It never changes what we write or how options are ordered — see our disclosure and methodology.
Policygenius
A marketplace focused on life insurance, useful once you know roughly what term and coverage amount you want.
Compare life insurance quotes →GoHealth
Helps compare health insurance plans and enrollment options for individuals and families.
Compare health plan options →The Zebra
An auto insurance comparison tool that shows multiple carrier quotes side by side.
Compare auto insurance quotes →