Insurance for Millennials: The 4 Policies You Need

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If you think you don't need insurance because you're young, you might be right.

You might be.

But if you've got a couple decades under your belt, you know how quickly the tables can turn. A good day goes south in a heartbeat. That's just life. The trick is being ready for it. Don't let a bad day become a bad year because it puts you in a rough financial position. Let's talk insurance for millennials.

Look, I know. Insurance isn't exciting. Adding an extra bill is doubly unexciting. But if you've ever been rear-ended and had someone else's policy pick up the tab, you know there can be something beautiful about proper coverage. Instead of leaning on others to be the responsible ones, it's time to take your protection into your own hands. If you grab these four policies, you can rest easy knowing you're prepped for just about any circumstance. 

Auto insurance.

If you don't have car insurance, we need to talk. In almost every state, it's against the law to drive without a policy. Each state's minimum coverages vary, but you shouldn't get just enough to cover your butt legally. Get enough to cover you, your car, and your liability. Auto insurance protects you if you cause an accident and hurt someone or something. That could be another vehicle or just your neighbor's mailbox. And that's not all. You can add onto your policy to give yourself roadside assistance, protection if someone causes an accident and doesn't have enough insurance to cover the damages, and more. Cars are expensive – and they're not even good investments. Cover yourself on the road so a collision doesn't leave your bank account majorly dented. 

Renters insurance. 

Think you don't need insurance for your place because you rent? Think again. Let's say there's a fire. Your landlord will rebuild your apartment but he or she most definitely won't cover the cost of replacing all your stuff. Or say you get robbed. Guarantee your landlord isn't going to help you restock your belongings. Renters insurance is a really affordable way to protect what you own. And if you think your stuff isn't worth much, do some quick math. Guesstimate how much your TV, couch, laptop, clothes, and other electronics are worth. Could you pay that out of pocket in one lump sum? If you can and you want to bring a blogger along to document your next vacation, hit me up.

Renters insurance also covers your liability. That means if someone slips in your apartment and then sues you (hey, it happens), you're covered. If you've got nasty neighbors or a particularly litigious buddy, you might want to get a policy stat. 

Health insurance. 

Since we've all been adulting in the age of Obamacare, most of us have thought through this type of protection. But healthcare laws will most likely change. Make sure your level of coverage doesn't. There's no faster way to drain your bank account than with an unexpected illness or injury. And sure, we're young and our bodies are relatively tough, but why tempt fate?

Life insurance. 

This is definitely the most boring item on this list and, if you really can't be bothered to get more insurance, this is probably the one to skip. (Don't tell any life insurance agents I said that.) But the benefit of getting life insurance now is that it's significantly cheaper while you're young. If you're a planner, or you just want to protect your loved ones, look into getting life insurance now. 

Really fun conversation here, I know. But insurance can feel complex and overwhelming. I've had the privilege(?) of writing insurance blogs for years, so I know more about the subject than your average Joe without any incentive to push a policy on you. Consider this food for thought.