Life is full of unpredictability and circumstances beyond our control. When we start our work lives, we want to build a strong financial position to provide our families a better life. But we often tend to ignore simple safeguards that would help our families in case of our untimely demise.

One’s own mortality is not a pleasant matter to think of, but it is our absolute responsibility to protect our dependents from these shocks which can arrive unexpectedly at any moment.

Insurance is the umbrella protecting us from such unpredictable events, helping us solidly fulfill our responsibilities towards our dependents, who may include your spouse, young children, and retired parents. Insurance needs tend to differ from person to person, but for the average 30-something, working professional, married, with kids, here are some options to explore.

1. Health Insurance
Health Insurance is the most important coverage one must have. Soaring medical fees can cost you fortune in case of prolonged hospitalization, surgery, or intensive treatment. Even a routine visit to a doctor can set you back by thousands of rupees. But if you have health insurance, you can get cashless treatment or be reimbursed for heavy expenses such as hospital room charges, treatment, tests, medicines, etc. You can easily secure a cover of Rs 5 lakh for as cheap as Rs 5,000 annually if you start out young.

2. Life Insurance
Life insurance protects finances of family members dependent on you. In case of your untimely demise, your parents, spouse, children or any other loved ones can face financial hardship. We must face up to our own mortality and work towards constructing financial cover for those we will leave behind. There are a few basic types of insurance: term plans, endowment plans, whole life plans, unit-linked plans, and money-back plans.

3. Critical Illness & Disability Insurance
Sedentary lifestyles, rich diets, exposure to pollution, and stress are common to urban living. Incidences of critical illnesses such as cancer seem to be on the rise. These diseases have the potential to bankrupt us when they strike. While an adequate health cover may be enough for treatment, what about situations where you suffer a disability such as paralysis and remain in no position to continue earning an income? This is where critical illness covers come in. You are paid the benefit amount upon the diagnosis of your disease, making it easy for you to meet your medical expenses while maintaining your preferred lifestyle despite any loss of employment.

4. Auto Insurance
Automobile insurance is essential if you own a vehicle. Events such as accidental damage or accidental death can be covered by car or two-wheeler insurance. This will help meet the costs of repairs and liabilities which would otherwise be steep if you had to settle them out of your own pocket.

5. Homeowner’s Insurance
You need this if you own a home. This insurance covers your house, belongings, liability if someone is injured on your property, etc. However, if you wish to protect your house from a natural disaster like an earthquake, you will need an additional coverage as this is not included in the primary policy of the homeowner’s insurance.

6. Renter’s Insurance
Nowadays, for the purpose of investment many people are buying and renting out properties as an additional source of income. In such a scenario, it is essential to protect your property against the rentals. If you are renting out your office or house, the renter’s insurance will protect your property and assets in case of any damage, fire, natural disaster or burglary.

Although insurance is expensive and eats away a nice big chunk of your income, without it there will be a financial drain on your finances. It is a risk management tool and not an investment scheme. Identify the key risks in your life and choose insurance covers accordingly. Remember to review the policy before buying, never hesitate to ask questions and never buy a plan if you do not understand all its undertakings.

The author is CEO, BankBazaar.com