What would happen if you were permanently injured or became too ill to work? You might qualify for disability payments from Social Security, but would you be able to survive on the average payout of $1,171 per month? Maybe you have some savings, but would it be adequate to cover your living expenses until you're old enough to collect retirement benefits? If you answered "no" to either of these questions, you should consider buying disability insurance. Disabilities are surprisingly common: One in three women and one in four men will have a disability that keeps them out of work for…

These days, many families are assisting their adult children financially far longer than parents of earlier generations. And that kind of support for college, and sometimes basic survival, can create insurance coverage gaps for the adult child that can be a major risk to their parents' financial wellbeing. If you have an adult child who is still financially dependent on you in some way, it's critical that you secure appropriate insurance coverage. Issues that will affect coverage include if they are a full- or part-time student, where they live and how old they are. Homeowner's insurance Under a homeowner's policy,…

It can easily happen. You misjudge the space when making a turn in close traffic or in a parking lot and you tap another car's rear bumper. The other driver gets out his car and appears unhurt. He inspects the bumper and says "Let's just forget about it." You agree and go on your merry way. A few weeks later, however, your insurance company informs you that the man is suing you for lost wages, neck injuries and pain and suffering. Where did you go wrong? The so-called accident was only a tiny tap that barely scratched paint. There couldn't…