There are two main costs to insurance.
- The premium, which is usually paid every month, but can be paid yearly, pays for the contract of insurance. You pay the premium just to have insurance coverage.
- The excess is the second cost, and is paid if something happens to you or your things and you need to use the insurance. This cost is determined when you first buy your insurance and can range. The higher your excess cost, the lower your premium will be.
Whatever the insurance you think you’ll need, an insurance company will sell it. Be cautious not to buy more coverage than you need, as they may try to up-sell you. Be really clear about what you want covered and an insurance provider can help.
When you are shopping for insurance, talk to a least a few different companies and get a few different quotes as some insurance providers have better deals than others for young people.
Below are some resources that can help you understand what kind of insurances you need, and when.