As the Christmas and New Year festivities draw closer, it is a good idea to consider various types of insurance coverages that will ensure you are protected against unforeseen hazards.
By securing the appropriate coverage, you can enjoy the holiday season with peace of mind, knowing that you are protected against a variety of potential risks.
For most experts, the need for life, health, long-term disability, auto insurance and travel insurance cannot be over emphasised particularly during festive seasons.
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Tope Adaramola, executive secretary, Nigerian Council of Registered Insurance Brokers (NCRIB) said the festive period is characterized by high tempo of activities, impacting greatly on human and vehicular movements, both locally and internationally.
Adaramola said generally, the exposure to risks at this period is way higher than other months in the year. The fear of the “ember months” speak to the risks envisaged during the period.
“In a bid to mitigate these risks, insurance industry has a bouquet of covers that prudent persons may take to mitigate their risks.”
“For those engaging in international travels, the best option is to buy travel insurance which covers risks of flight cancellation, loss of baggage and physical incapacitation and illnesses during their trips.”
“For those who will be making local trips, it is expedient to buy insurances such as comprehensive motor insurance, which would cover loss or damage to own vehicle as well as third party liability.”
Adaramola, who is an insurance professional and communication’s expert also noted that cases of fire and exposure to thefts are high at this period and would be covered under the comprehensive motor insurance cover.
“Similarly, medical insurance is just apt given the exposure of many to poor eating habits that may occasion illnesses and more medical expenses during the period, he said
Adaramola also warned that people must also not forget that during the period, many may leave their homes for various other destinations to spend their holidays. Properties left at home may be at risk of theft or burglary; hence, burglary insurance would be on point to preserve those valued assets.
“We cannot pretend that all is well, security wise in the country, hence those who would be travelling to zones where kidnapping is rampant could put in place Ransom insurance to prevent stories that touch, the insurance and media communication expert said.
British Insurance Brokers Association (BIBA) a global insurance broker’s body, which NCRIB is a member has encouraged members of the public to have an insurance health check before the festive season begins.
Commenting, Graeme Trudgill, head of Corporate Affairs (BIBA) said, “We want to ensure that everyone enjoys the festive season and that no one gets a nasty surprise.
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“Things can go wrong over the Christmas period, and when they do, being properly insured means that you can get on with enjoying the festive season despite unwelcome events.
He said, “A simple call to your insurance broker can make the difference between a happy Christmas and yuletide heartache.”
According to the association, the number of household fires increases during this time of year along with the risk of injury or death.
“It is a serious reminder that many of the things people enjoy about Christmas – such as the fairy lights, candles, paper hats and decorations – can all be fire hazards when proper care is not taken. A policy for building and content sold by a broker will include cover for fire claims.
It also said that the number of incidents tend to increase in December and January. Police believe that this could well be because burglars know that there are richer pickings at this time of year, with more cash and gift items in circulation, coupled with the fact that darker days make it more obvious when houses are unoccupied.
Nimi Akinkugbe, a finance adviser had adviced homeowners on the need for insurance. “If you own a home, you need homeowners insurance. If you rent your place, you need renters insurance.
“If you haven’t upgraded your home insurance policy in the past few years, you run the risk of having seriously inadequate coverage as your policy may not have kept up with the rising building or replacement costs.”
On medical insurance, she said you are your greatest asset. This makes health insurance the single most important type of insurance.
“If you or anyone in your family were to ever become gravely ill, can you afford the best medical treatment available? If you are generally healthy, it may be a good idea to select a policy with the highest deductible you can afford.”
On life insured, she said as morbid as it sounds, can your loved ones afford to lose you?
“If you were to die, could your family or dependants pay for the funeral, organise the family finances, service any outstanding debt, meet family goals, and continue in their current standard of living”.
“Or, would they face extreme hardship in the event of the death of their primary breadwinner”.
“The main objective of life insurance is to replace the income that would be lost should the policyholder die.”
Victor Obani, an underwriter said coverage for emergency medical expenses, including hospital visits and medical evacuation if you are traveling internationally is good for this season
Obani said the weather at this time of the year can make driving hazardous during this time of the year, so it is wise to ensure your car insurance is up to date, especially if you are heading out on holiday road trips.
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