Perhaps two of the most important policies to take out, particularly where families are concerned about are a home insurance policy and life insurance coverage. These two policies could be the make or break a family would be hard pressed to recover from especially if it is the main bread winner dies at an early age.

Of course, death is not the only terrible occurrence that can happen around the house. Floods and fires, collapse of walls, and even storm damage is a possibility especially in these days of global warming and other natural disasters.

For those living near power lines, the advent of a huge storm could bring down those lines right on the house. Or the power lines could start a fire in or near the house which can have devastating effect on the house and the people who live there. Without a policy to protect the family, many will be financially ruined, and at the worst, homeless.

Parents of the family should also be well covered to make sure the children are taken care of should anything untoward happens. The usual scenario is that the main bread winner of the house passes away unexpectedly. The remaining partner, perhaps the one who does not work, is left with a huge financial burden as well as dealing with the children and the loss at the same time. Many, women in particular, leave all the financial decisions to the husband and are not even aware if the family is covered or not. Imagine the shock of finding out that the house, nor the family, are covered when it is too late to do anything about it.

For the sake of everyone concerned, make sure that the policies are not only kept up to date but also inform all the family where and how they are kept. Name relatives who can come in and take care of the children should anything happen to the parents, and let them know of the policies too. Put the wishes of the parents in writing and leave with the family lawyer to stop any misunderstanding when some terrible occurrence happens. Naturally, it is not pleasant to discuss the death of anyone within the family circle but preparation is the key to avoid any misunderstandings when it is too late.

For the house, make sure that all eventualities are covered. Many would not think that the area lived in could suffer from floods. But with the ongoing weather pattern changes, very little should be left to chance. Who would have imagined the damage that Katrina brought to New Orleans some years ago and the people there are still not back to their original status from before the storm. Indeed, taking out a policy may look like money is being thrown out of the door every month. It will certainly look like this until the worst happens when anyone with a policy will be able to breathe a sigh of relief that they are covered and covered well!