What to Skip

The insurance industry has turned minor anxieties into profit centers. Here's what you can safely skip:

• Extended warranties: Retailer margins on these run 40-80%. The math favors skipping them.
• Credit card insurance: Pays your minimum payment if you lose your job, but costs far more than it's worth.
• Flight insurance: You're more likely to die driving to the airport. Existing life insurance covers this.
• Whole life for children: Kids have no dependents, so it solves a problem that doesn't exist.
• Disease-specific insurance: Your health insurance should already cover this.

Every dollar spent on unnecessary insurance is a dollar not invested.