Insurance Basics
Insurance is a way to protect yourself financially against possible costs or losses, like a car accident, a serious illness, or damage to your home. You usually pay a smaller regular amount, called a premium, and the insurance company helps cover certain costs if a covered event actually happens. Insurance does not prevent a bad event from happening. It also does not always cover every kind of cost, since each policy has its own rules and limits. Having insurance can still make an unexpected expense easier to handle.
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