1 00:00:00,080 --> 00:00:02,840 Speaker 1: Welcome to How the Money. I'm Joel and I am Matt, 2 00:00:03,080 --> 00:00:25,799 Speaker 1: and today we're discussing why you are probably under insured. Joel, 3 00:00:25,840 --> 00:00:27,600 Speaker 1: the word on the street is that you don't have 4 00:00:27,640 --> 00:00:31,680 Speaker 1: any insurance. So I'm not skating through life like that, man. 5 00:00:32,479 --> 00:00:33,800 Speaker 1: And the other word on the street is that I 6 00:00:33,800 --> 00:00:35,879 Speaker 1: have all the types of insurances. I'm over insured. Man, 7 00:00:35,880 --> 00:00:38,320 Speaker 1: you're reading too much Reddit. All right, let's stay off it. 8 00:00:38,640 --> 00:00:40,519 Speaker 1: Uh No, we are going to talk about insurance, but 9 00:00:40,600 --> 00:00:42,919 Speaker 1: we're gonna talk about when you should have insurance, when 10 00:00:42,920 --> 00:00:45,199 Speaker 1: you probably shouldn't have insurance. Uh And we're gonna talk 11 00:00:45,240 --> 00:00:47,240 Speaker 1: about it in the form of the types of insurance 12 00:00:47,240 --> 00:00:49,279 Speaker 1: that you should probably have. We're gonna talk about the 13 00:00:49,320 --> 00:00:51,400 Speaker 1: types that you probably need to have, the types you 14 00:00:51,479 --> 00:00:53,480 Speaker 1: don't need to have. And we are going to answer 15 00:00:53,520 --> 00:00:56,440 Speaker 1: that question why most people probably are under insured. The 16 00:00:56,440 --> 00:00:58,920 Speaker 1: answer is pretty short, but we'll make sure to cover 17 00:00:58,920 --> 00:01:01,440 Speaker 1: that as well. Unless you think insurance is boring, will 18 00:01:01,480 --> 00:01:04,720 Speaker 1: make insurance really fun this episode for the first time 19 00:01:04,920 --> 00:01:06,920 Speaker 1: maybe ever. But Matt, before we get to that, you 20 00:01:06,959 --> 00:01:10,760 Speaker 1: did something that was borderline frugal or cheap. I'm not 21 00:01:10,800 --> 00:01:13,199 Speaker 1: sure where you landed in that and trying to tackle 22 00:01:13,240 --> 00:01:15,360 Speaker 1: a repair to your rental property. Yeah, you're ready to 23 00:01:15,400 --> 00:01:17,640 Speaker 1: hear my frugal win. I'm ready. It's totally a frugal 24 00:01:17,680 --> 00:01:20,120 Speaker 1: win at this point. If it doesn't work out, then 25 00:01:20,160 --> 00:01:21,520 Speaker 1: it's gonna end up biting me in the butt and 26 00:01:21,720 --> 00:01:24,399 Speaker 1: it'll be considered a cheap move, cheap tail. Yeah. Well, 27 00:01:24,400 --> 00:01:27,039 Speaker 1: at one of my properties in between tenants, one of 28 00:01:27,080 --> 00:01:29,959 Speaker 1: the shelves in the refrigerator, right, you know, you get 29 00:01:29,959 --> 00:01:31,920 Speaker 1: your glass shelves and they kind of canda lever and 30 00:01:31,920 --> 00:01:34,280 Speaker 1: they're on the little brackets in this glass shelf. It broke. 31 00:01:34,760 --> 00:01:36,920 Speaker 1: Totally sucked because I knew that meant I was gonna 32 00:01:36,920 --> 00:01:38,959 Speaker 1: have to order a new part. Looked up that shelf. 33 00:01:39,240 --> 00:01:42,039 Speaker 1: It cost something around a hundred and twenty bucks for 34 00:01:42,120 --> 00:01:45,000 Speaker 1: a brand new glass like I don't know, Ken Moore 35 00:01:45,360 --> 00:01:48,560 Speaker 1: refrigerator shelf, which seems like a little bit of overkill 36 00:01:49,040 --> 00:01:51,960 Speaker 1: for a refrigerator shelf. Absolutely, And plus this refrigerator only 37 00:01:51,960 --> 00:01:55,480 Speaker 1: has like two shelves left, so it needed to have 38 00:01:55,480 --> 00:01:57,919 Speaker 1: another shelf in there. But then I had a wild idea, 39 00:01:57,960 --> 00:02:00,040 Speaker 1: and I called up our local glass shop and I 40 00:02:00,560 --> 00:02:03,200 Speaker 1: got a quote on a piece of glass that would 41 00:02:03,240 --> 00:02:06,480 Speaker 1: fit in that shelf. That were the exact dimensions. Uh, 42 00:02:06,480 --> 00:02:08,799 Speaker 1: and it was going to be less than thirty bucks, 43 00:02:08,960 --> 00:02:10,840 Speaker 1: So of course I jumped on that. Man, we're talking 44 00:02:10,880 --> 00:02:13,000 Speaker 1: a quarter of the price. I thought this was a 45 00:02:13,000 --> 00:02:15,040 Speaker 1: great way to save some money. So if you happen 46 00:02:15,120 --> 00:02:17,160 Speaker 1: to be in a position like this, maybe where you 47 00:02:17,160 --> 00:02:19,440 Speaker 1: you know, busted out a shelf in your your refrigerator, 48 00:02:19,800 --> 00:02:22,720 Speaker 1: look to a local glass company instead of ordering that 49 00:02:22,840 --> 00:02:26,040 Speaker 1: part directly from the manufacturer. Some people would break a 50 00:02:26,080 --> 00:02:28,639 Speaker 1: shelf and they'd be like, I need a refrigerator now. Well. 51 00:02:28,680 --> 00:02:30,480 Speaker 1: I was really close to doing that because I wasn't 52 00:02:30,480 --> 00:02:32,600 Speaker 1: even sure if this was a part that they still made, 53 00:02:32,600 --> 00:02:34,560 Speaker 1: because this is an older refrigerator. And I thought, you 54 00:02:34,600 --> 00:02:36,520 Speaker 1: know what, Okay, it's finally time to to get a 55 00:02:36,520 --> 00:02:38,679 Speaker 1: new fridge. But then I thought, man, that fridge works 56 00:02:38,720 --> 00:02:41,359 Speaker 1: really well still. It's it's old, but it still works. 57 00:02:41,639 --> 00:02:43,960 Speaker 1: You know, we talked about refrigerators recently. How you got 58 00:02:44,000 --> 00:02:45,840 Speaker 1: a new one. This is also the kind that's got 59 00:02:45,840 --> 00:02:48,799 Speaker 1: the freezer over the fridge. But it's just a solid fridge. 60 00:02:48,880 --> 00:02:50,720 Speaker 1: And I wasn't yet willing to to buy a floor 61 00:02:50,760 --> 00:02:53,440 Speaker 1: model yet at the local best buy. But one thing 62 00:02:53,480 --> 00:02:55,519 Speaker 1: I did want to mention that if you are going 63 00:02:55,560 --> 00:02:58,359 Speaker 1: to order a piece of glass on your own, make 64 00:02:58,400 --> 00:03:00,960 Speaker 1: sure that you get tempered glass, because that's the kind 65 00:03:00,960 --> 00:03:03,560 Speaker 1: of glass that is used in a fridge, right. It's 66 00:03:03,600 --> 00:03:05,520 Speaker 1: it's the special kind of glass that when it breaks, 67 00:03:05,840 --> 00:03:08,720 Speaker 1: it like breaks into a million pieces. That way, there 68 00:03:08,760 --> 00:03:10,760 Speaker 1: aren't like big sheets of glass that end up like, 69 00:03:10,880 --> 00:03:13,799 Speaker 1: you know, slicing into your arm, that kind of thing. Uh, 70 00:03:13,840 --> 00:03:15,920 Speaker 1: it's stronger, I think as well. I don't really know 71 00:03:16,000 --> 00:03:18,400 Speaker 1: how tempered glass works, but so they have to special 72 00:03:18,520 --> 00:03:20,360 Speaker 1: order it. It's not something that they can cut in 73 00:03:20,440 --> 00:03:22,840 Speaker 1: person because that kind of defeats the whole purpose of 74 00:03:22,840 --> 00:03:25,399 Speaker 1: it being tempered. I don't exactly know how temper glass works. 75 00:03:25,400 --> 00:03:27,120 Speaker 1: I just know that they had to order, uh, that 76 00:03:27,200 --> 00:03:29,639 Speaker 1: exact dimension, So make sure you get the exact dimensions 77 00:03:29,680 --> 00:03:31,880 Speaker 1: they'll order it. It shows up, you slide it in there, 78 00:03:31,919 --> 00:03:33,280 Speaker 1: and you're good to go. Man. Well, I love you 79 00:03:33,440 --> 00:03:35,800 Speaker 1: ended up saving ninety bucks, and that fridge it's going 80 00:03:35,840 --> 00:03:38,400 Speaker 1: to keep on going. I hope it continues working well 81 00:03:38,480 --> 00:03:40,760 Speaker 1: for years and years for you, man. And it's just 82 00:03:40,760 --> 00:03:42,320 Speaker 1: such a great idea to do whatever you can to 83 00:03:42,400 --> 00:03:44,680 Speaker 1: extend the life cycle of the plants like that. Yeah, 84 00:03:44,800 --> 00:03:46,480 Speaker 1: that's one of the things I hate is something that 85 00:03:46,520 --> 00:03:48,680 Speaker 1: works pretty damn good except for like one little thing 86 00:03:48,760 --> 00:03:51,560 Speaker 1: that you can't replace or that seems too expensive to replace, 87 00:03:52,080 --> 00:03:54,400 Speaker 1: and then that thing gets hauled off to the landfill somewhere. 88 00:03:54,440 --> 00:03:55,880 Speaker 1: So it's a good way to kind of keep some 89 00:03:55,920 --> 00:03:58,200 Speaker 1: of these giant appliances from ending up in the dumps 90 00:03:58,240 --> 00:04:00,160 Speaker 1: as well. Yeah, no doubt. All right, let's make in 91 00:04:00,200 --> 00:04:01,680 Speaker 1: the beer that we're having on the show today. This 92 00:04:01,720 --> 00:04:04,800 Speaker 1: one is called p B and J Sour by Shades Brewing, 93 00:04:04,960 --> 00:04:06,840 Speaker 1: So it's a sour ale that tastes like a peanut 94 00:04:06,840 --> 00:04:09,600 Speaker 1: butter and jelly sandwich. And we'll give our thoughts on 95 00:04:09,640 --> 00:04:11,440 Speaker 1: this one at the end of the episode. Yeah, the 96 00:04:11,520 --> 00:04:13,840 Speaker 1: huge things to Andy for donating this one to the show. 97 00:04:14,000 --> 00:04:16,200 Speaker 1: But Joel, let's talk about insurance, buddy, let's do it. 98 00:04:16,279 --> 00:04:18,159 Speaker 1: Let's get onto the subject at hand. We're talking about 99 00:04:18,160 --> 00:04:20,880 Speaker 1: why our listeners, why a lot of them out there 100 00:04:20,920 --> 00:04:23,839 Speaker 1: are probably underinsured, and Matt, the thing is a lot 101 00:04:23,920 --> 00:04:26,040 Speaker 1: of them might not even know it. So in this 102 00:04:26,080 --> 00:04:28,400 Speaker 1: episode we need to discuss a few types of insurance 103 00:04:28,560 --> 00:04:31,000 Speaker 1: that everyone should be considering that that might not even 104 00:04:31,040 --> 00:04:33,200 Speaker 1: be on their radar, and I said, we're gonna try 105 00:04:33,240 --> 00:04:34,800 Speaker 1: to make it fun. We're gonna do the best we can, 106 00:04:35,360 --> 00:04:37,520 Speaker 1: but it's still insurance. It's still insurance. It's still kind 107 00:04:37,520 --> 00:04:39,320 Speaker 1: of a boring topic. But we're gonna do our best 108 00:04:39,360 --> 00:04:41,880 Speaker 1: not to sound like insurance sales people because that would, 109 00:04:41,920 --> 00:04:44,400 Speaker 1: of course be annoying. And we're going to try and 110 00:04:44,440 --> 00:04:47,279 Speaker 1: discuss how to think about insurance well too, so we 111 00:04:47,320 --> 00:04:49,440 Speaker 1: don't overdo it and spend too much, but we also 112 00:04:49,600 --> 00:04:52,239 Speaker 1: don't want to forsake it altogether when we do need 113 00:04:52,400 --> 00:04:55,760 Speaker 1: to be insured. And first, let's discuss the overarching role 114 00:04:55,800 --> 00:04:57,599 Speaker 1: that insurance should play in our lives, Matt, because I 115 00:04:57,600 --> 00:04:59,520 Speaker 1: think that can kind of be helpful as we're attempting 116 00:04:59,560 --> 00:05:02,360 Speaker 1: to frame this conversation and helping people think about the 117 00:05:02,480 --> 00:05:04,760 Speaker 1: role that insurance plays in their lives. Yeah, so it's 118 00:05:04,760 --> 00:05:06,680 Speaker 1: a good point. You know, it definitely depends on what 119 00:05:06,800 --> 00:05:09,000 Speaker 1: type of insurance that we're talking about. You know, some 120 00:05:09,440 --> 00:05:12,880 Speaker 1: like health insurance, you'll probably want to utilize often as 121 00:05:12,960 --> 00:05:15,440 Speaker 1: that's how you actually realize the value of that insurance. 122 00:05:15,440 --> 00:05:18,920 Speaker 1: But then most others, like home and auto insurance, you'll 123 00:05:18,960 --> 00:05:21,160 Speaker 1: you want to just view as a necessary backup plan. 124 00:05:21,600 --> 00:05:23,599 Speaker 1: It's there in case you need it, but you're you know, 125 00:05:23,600 --> 00:05:25,960 Speaker 1: you're mostly hoping that you won't need it. It's kind 126 00:05:25,960 --> 00:05:28,440 Speaker 1: of like that through to six months emergency fund. It's 127 00:05:28,520 --> 00:05:31,440 Speaker 1: there to provide some peace of mind, and then you 128 00:05:31,440 --> 00:05:33,760 Speaker 1: can actually utilize it if you find yourself in a 129 00:05:33,800 --> 00:05:36,960 Speaker 1: precarious position, maybe involving you know, job loss or a 130 00:05:37,000 --> 00:05:39,800 Speaker 1: major unforeseen expense. Yeah, that's a good primer. I think 131 00:05:39,800 --> 00:05:41,719 Speaker 1: that helps set up the conversation. Right. Some of these 132 00:05:41,880 --> 00:05:43,800 Speaker 1: insurance products that we're gonna talk about are ones that 133 00:05:43,839 --> 00:05:45,920 Speaker 1: we hope we never use, so we're gonna talk about 134 00:05:45,960 --> 00:05:47,560 Speaker 1: how you buy it then if you're hoping not to 135 00:05:47,640 --> 00:05:49,839 Speaker 1: use it. And then other types like health insurance, Yeah, 136 00:05:49,839 --> 00:05:52,080 Speaker 1: you're gonna use it frequently, even just for a regular 137 00:05:52,080 --> 00:05:54,720 Speaker 1: doctor visit. Right, Yeah, Okay, how about quick little analogy, Joe. 138 00:05:54,720 --> 00:05:56,120 Speaker 1: It makes me think of if you have a little 139 00:05:56,200 --> 00:05:58,600 Speaker 1: kitchen fire. There are some types of insurance that are 140 00:05:58,680 --> 00:06:01,200 Speaker 1: like using a fire extinguisher. Like if you have an 141 00:06:01,200 --> 00:06:04,600 Speaker 1: actual kitchen fire, which you hope rarely ever happens, you 142 00:06:04,640 --> 00:06:06,800 Speaker 1: do want to use the fire extinguisher and put it out. 143 00:06:06,839 --> 00:06:09,080 Speaker 1: That would definitely be the case for something kindastrophic happening 144 00:06:09,120 --> 00:06:11,640 Speaker 1: to your actual home or you know, life insurance, that 145 00:06:11,680 --> 00:06:14,400 Speaker 1: kind of thing. But oftentimes once you use it, uh, 146 00:06:14,480 --> 00:06:16,200 Speaker 1: it's kind of like a one time thing, you know, 147 00:06:16,279 --> 00:06:18,320 Speaker 1: like you use it and then you lose it, you're 148 00:06:18,360 --> 00:06:21,440 Speaker 1: likely going to have to completely replace that policy. But 149 00:06:21,480 --> 00:06:23,880 Speaker 1: then there are other types of insurance, like health insurance 150 00:06:24,080 --> 00:06:25,960 Speaker 1: that you can view as more like a tool. In 151 00:06:25,960 --> 00:06:27,560 Speaker 1: that case, it makes me think of like a rainshood. 152 00:06:27,600 --> 00:06:29,760 Speaker 1: So you're doing you're cooking, you haven't had a fire yet, 153 00:06:29,760 --> 00:06:31,320 Speaker 1: but there's a lot of smoke, and so you want 154 00:06:31,320 --> 00:06:32,600 Speaker 1: to make sure to kick that fan on and get 155 00:06:32,640 --> 00:06:33,960 Speaker 1: that smoke out of there because you don't want to 156 00:06:33,960 --> 00:06:36,040 Speaker 1: cough on that stuff. Is that preventative measure? Yeah, there 157 00:06:36,080 --> 00:06:39,920 Speaker 1: you go. Yeah. But part of the problem with insurance 158 00:06:39,960 --> 00:06:44,000 Speaker 1: to Matt is that buying insurance is so not fun, Like, 159 00:06:44,080 --> 00:06:46,360 Speaker 1: it's not a joy to do, and so most people 160 00:06:46,400 --> 00:06:48,719 Speaker 1: avoid it partly because of that. It's either a something 161 00:06:48,760 --> 00:06:51,480 Speaker 1: they haven't thought about or be it's something annoying, and 162 00:06:51,480 --> 00:06:54,120 Speaker 1: so they're just putting it off. Nobody really wants to 163 00:06:54,120 --> 00:06:56,279 Speaker 1: spend their money on insurance either, right, It's not a 164 00:06:56,320 --> 00:06:58,800 Speaker 1: sexy purchase. It's not like getting a ski do or 165 00:06:58,880 --> 00:07:00,839 Speaker 1: a jet ski or whatever you I don't know, you know, 166 00:07:00,880 --> 00:07:02,640 Speaker 1: one of those awesome things to play on the water, 167 00:07:02,720 --> 00:07:04,120 Speaker 1: or a boat. I mean, there are so many fun 168 00:07:04,120 --> 00:07:05,840 Speaker 1: things you can spend your money on. An insurance it 169 00:07:05,920 --> 00:07:08,000 Speaker 1: certainly is not one of them. It just kind of 170 00:07:08,080 --> 00:07:10,640 Speaker 1: exists in the background for so many people. But it's 171 00:07:10,640 --> 00:07:13,440 Speaker 1: important to realize right that certain insurance products are really 172 00:07:13,480 --> 00:07:15,920 Speaker 1: important for us to have, and in those instances, it's 173 00:07:15,960 --> 00:07:18,320 Speaker 1: essential for us to go ahead, bite the bullet and 174 00:07:18,360 --> 00:07:20,880 Speaker 1: do the grown up thing right, because what we're really 175 00:07:20,920 --> 00:07:23,840 Speaker 1: doing if we don't have the insurance that we need 176 00:07:24,200 --> 00:07:26,200 Speaker 1: is we're putting our our finances at risk, and in 177 00:07:26,240 --> 00:07:28,680 Speaker 1: some cases we're putting a whole lot of our net 178 00:07:28,720 --> 00:07:31,160 Speaker 1: worth at risk by not being properly insured. I'm kind 179 00:07:31,160 --> 00:07:33,160 Speaker 1: of still wondering why why you use boat or a 180 00:07:33,160 --> 00:07:35,560 Speaker 1: ski do as an example instead of like a bike. 181 00:07:37,000 --> 00:07:39,080 Speaker 1: I just think of like and we use bike as 182 00:07:39,160 --> 00:07:41,640 Speaker 1: as examples way to bout some problems and when we 183 00:07:41,640 --> 00:07:43,240 Speaker 1: need to appeal to other people. When you think about 184 00:07:43,280 --> 00:07:45,440 Speaker 1: the goofiest, most quote unquote fun thing you could spend 185 00:07:45,440 --> 00:07:46,880 Speaker 1: it on, I don't know. My mind always goes to 186 00:07:47,040 --> 00:07:49,080 Speaker 1: like a jet ski or something like and I'm like, 187 00:07:49,520 --> 00:07:51,280 Speaker 1: I see like the smiles on people's faces when they're 188 00:07:51,320 --> 00:07:53,680 Speaker 1: riding around on those things, just happing a blast. Yeah, 189 00:07:53,680 --> 00:07:55,400 Speaker 1: it looks like they're having a good time. But Joe, Okay, 190 00:07:55,440 --> 00:07:57,920 Speaker 1: you mentioned properly insured though, Like that's another question that 191 00:07:57,960 --> 00:07:59,280 Speaker 1: we should ask, like what does it mean to be 192 00:07:59,440 --> 00:08:02,680 Speaker 1: properly insured? And that's largely determined by a lot of 193 00:08:02,800 --> 00:08:05,120 Speaker 1: individual factors. You know, whether you own a home or 194 00:08:05,160 --> 00:08:08,200 Speaker 1: whether you rent, if you have dependence like a partner 195 00:08:08,280 --> 00:08:10,880 Speaker 1: or a child, and you know where you are in 196 00:08:10,960 --> 00:08:13,720 Speaker 1: the wealth building process. So we're gonna get into the 197 00:08:13,720 --> 00:08:16,720 Speaker 1: specifics while also giving you know, some general guidelines for 198 00:08:16,880 --> 00:08:19,200 Speaker 1: how to think about insurance, and then which types of 199 00:08:19,240 --> 00:08:22,160 Speaker 1: insurance are most important because you know what you need 200 00:08:22,280 --> 00:08:25,080 Speaker 1: insurance wise, that will vary from you know what your 201 00:08:25,120 --> 00:08:27,640 Speaker 1: neighbor you know, or your best friends sitting across from 202 00:08:27,640 --> 00:08:30,680 Speaker 1: you what they need. With each type of insurance we discuss, 203 00:08:30,920 --> 00:08:33,920 Speaker 1: will attempt to bring up the nuances of how your 204 00:08:33,960 --> 00:08:37,320 Speaker 1: age and how your life stage will impact that decision. Yeah, 205 00:08:37,320 --> 00:08:39,720 Speaker 1: there's gonna be a lot of helpful information in this episode, 206 00:08:39,720 --> 00:08:42,720 Speaker 1: but also it's not going to be completely comprehensive because 207 00:08:42,840 --> 00:08:44,840 Speaker 1: we're talking about a lot of different kinds of insurance, 208 00:08:44,840 --> 00:08:46,520 Speaker 1: and we're gonna do our best to kind of run 209 00:08:46,559 --> 00:08:49,959 Speaker 1: the gamut, but we're not going to dive incredibly deep 210 00:08:50,160 --> 00:08:52,760 Speaker 1: because the episode would just be way too long then, So, 211 00:08:53,000 --> 00:08:55,160 Speaker 1: but we'll talk more about insurance, and in particular, we'll 212 00:08:55,160 --> 00:08:57,320 Speaker 1: get to some of the insurance policies that you should 213 00:08:57,360 --> 00:09:00,360 Speaker 1: be avoiding. First off, we'll get to those right after 214 00:09:00,360 --> 00:09:12,600 Speaker 1: the break, right, Juel, back from the break talking about insurance, 215 00:09:12,679 --> 00:09:15,120 Speaker 1: and let's start to cover now some of the most 216 00:09:15,160 --> 00:09:18,280 Speaker 1: common types of insurance that we hear brought up. And 217 00:09:18,320 --> 00:09:19,720 Speaker 1: here's the thing. Before we get into some of the 218 00:09:19,840 --> 00:09:22,920 Speaker 1: legits insurance policies that people should consider, let's talk about 219 00:09:22,960 --> 00:09:25,520 Speaker 1: some of the popular ones that we want folks to avoid, 220 00:09:25,880 --> 00:09:29,400 Speaker 1: including extended warranties. Man, those are basically a type of 221 00:09:29,440 --> 00:09:33,520 Speaker 1: insurance that many people often get when buying products, especially 222 00:09:33,720 --> 00:09:36,400 Speaker 1: consumer electronics. They sell it right there at the register. 223 00:09:36,800 --> 00:09:38,680 Speaker 1: But those are actually one of the worst types of 224 00:09:38,720 --> 00:09:40,520 Speaker 1: insurance that we can buy. Yeah, Man, I think one 225 00:09:40,559 --> 00:09:42,760 Speaker 1: of the problems with extended warranties is it's got this 226 00:09:42,880 --> 00:09:46,280 Speaker 1: positive connotation for people when when we're protecting your investment 227 00:09:46,360 --> 00:09:49,560 Speaker 1: exactly exactly, but well, you don't realize there's so many 228 00:09:49,559 --> 00:09:53,000 Speaker 1: reasons why, and extended warranty is a bad bat and 229 00:09:53,040 --> 00:09:56,800 Speaker 1: that's because you're ensuring a rapidly depreciating asset and also 230 00:09:56,840 --> 00:10:00,040 Speaker 1: typically one that rarely breaks. Yet typically a third of 231 00:10:00,120 --> 00:10:02,760 Speaker 1: people end up purchasing them. That's in large part because 232 00:10:02,880 --> 00:10:05,600 Speaker 1: they're sold and Matt, that's what the problem is in 233 00:10:05,640 --> 00:10:09,160 Speaker 1: a lot of insurance areas is that products that are 234 00:10:09,160 --> 00:10:11,640 Speaker 1: not good for people are often sold to them. They're 235 00:10:11,679 --> 00:10:14,160 Speaker 1: not typically something that people go out there looking to buy. 236 00:10:14,200 --> 00:10:16,240 Speaker 1: But that is of course specifically true when we're talking 237 00:10:16,280 --> 00:10:19,080 Speaker 1: about extended warranties. And let's take a modern flat screen 238 00:10:19,120 --> 00:10:21,280 Speaker 1: TV for example, right, the failure eight for one of 239 00:10:21,280 --> 00:10:23,680 Speaker 1: those TVs that you bring home within the first three 240 00:10:23,760 --> 00:10:27,720 Speaker 1: years is like five. There's an incredibly small chance that 241 00:10:27,800 --> 00:10:29,480 Speaker 1: your TV is gonna break down and you're gonna have 242 00:10:29,520 --> 00:10:31,800 Speaker 1: to repair it within the first years of ownership that 243 00:10:31,840 --> 00:10:34,280 Speaker 1: you'd be covered by that extended warranty. But on a 244 00:10:34,320 --> 00:10:36,920 Speaker 1: five TV, you'd likely be paying something like a hundred 245 00:10:36,960 --> 00:10:40,079 Speaker 1: and fifty dollars for that insurance policy, that extended warranty 246 00:10:40,120 --> 00:10:42,640 Speaker 1: that you're unlikely to actually use and That's the way 247 00:10:42,640 --> 00:10:45,000 Speaker 1: it is for so many gadgets and personal electronics that 248 00:10:45,040 --> 00:10:48,280 Speaker 1: we buy. If you were to consistently buy extended warranties 249 00:10:48,720 --> 00:10:52,600 Speaker 1: on every personal electronic device that you brought into your life, 250 00:10:52,760 --> 00:10:55,280 Speaker 1: you'd be forking out a lot more money over time 251 00:10:55,559 --> 00:10:57,720 Speaker 1: than you would be saving yourself when it comes to 252 00:10:57,760 --> 00:11:00,680 Speaker 1: repairs for for those devices that you brought home. Yeah, 253 00:11:00,760 --> 00:11:02,199 Speaker 1: you know when when it comes to these warranties, Man, 254 00:11:02,480 --> 00:11:05,960 Speaker 1: since we're human, we always remember the one time that 255 00:11:06,080 --> 00:11:09,080 Speaker 1: an extended warranty actually came through in a clutch, not 256 00:11:09,240 --> 00:11:10,960 Speaker 1: the dozen other times that, you know, what we paid 257 00:11:11,000 --> 00:11:13,680 Speaker 1: for it and when we didn't actually need it. Oftentimes 258 00:11:13,720 --> 00:11:16,160 Speaker 1: we're better off self insuring, and what that means is 259 00:11:16,240 --> 00:11:18,079 Speaker 1: just having you know, savings and money in the bank, 260 00:11:18,640 --> 00:11:20,920 Speaker 1: or just finding a cheaper way to ensure our products. 261 00:11:20,920 --> 00:11:23,720 Speaker 1: For for instance, cheaper insurance for a cell phone would 262 00:11:23,720 --> 00:11:25,240 Speaker 1: be just to have a case on it. Just think 263 00:11:25,240 --> 00:11:28,040 Speaker 1: about how much more affordable and stylish uh that case 264 00:11:28,080 --> 00:11:30,280 Speaker 1: would be versus you know, paying for an extended warranty. 265 00:11:30,559 --> 00:11:34,120 Speaker 1: And additionally, when you are buying any electronics, it's incredibly 266 00:11:34,120 --> 00:11:36,240 Speaker 1: helpful to make sure that that purchase is done with 267 00:11:36,280 --> 00:11:39,440 Speaker 1: a credit card that extends the manufacturer's warranty, you know, 268 00:11:39,520 --> 00:11:42,720 Speaker 1: basically giving you some of that additional coverage for free. 269 00:11:42,960 --> 00:11:44,679 Speaker 1: And even if you haven't put it on a solid 270 00:11:44,720 --> 00:11:47,839 Speaker 1: credit card, don't forget about just the manufacturer's warranty. Uh. 271 00:11:48,160 --> 00:11:51,200 Speaker 1: Oftentimes with electronics you have at least one year and 272 00:11:51,200 --> 00:11:53,000 Speaker 1: you know what, even if there is a problem and 273 00:11:53,000 --> 00:11:55,000 Speaker 1: maybe you're just outside that one year window, reach out 274 00:11:55,000 --> 00:11:57,040 Speaker 1: to the manufacturer like I did recently with our with 275 00:11:57,080 --> 00:11:59,040 Speaker 1: our dishwasher, and you know what, maybe that really worked 276 00:11:59,040 --> 00:12:00,520 Speaker 1: out for us. They were willing to make a one 277 00:12:00,520 --> 00:12:04,280 Speaker 1: time courtesy repair and we've got basically a bran new dishwasher. Yeah, 278 00:12:04,280 --> 00:12:06,240 Speaker 1: the credit card I used to buy the computer that 279 00:12:06,280 --> 00:12:09,160 Speaker 1: I bought a year ago, double the warranty from from 280 00:12:09,160 --> 00:12:11,600 Speaker 1: the manufacturer. I have a four year warranty on my computer. 281 00:12:12,000 --> 00:12:14,320 Speaker 1: That's so good, right, Who needs the multi hundred dollar 282 00:12:14,480 --> 00:12:17,360 Speaker 1: policy that goes along with it, the extended warranty. Basically 283 00:12:17,360 --> 00:12:19,160 Speaker 1: they'd just be throwing money out the window if I 284 00:12:19,200 --> 00:12:21,080 Speaker 1: got that. And at the same time, to Matt, one 285 00:12:21,080 --> 00:12:23,120 Speaker 1: of the things people can do is to make sure 286 00:12:23,120 --> 00:12:25,600 Speaker 1: they look at ratings on a site like Consumer Reports 287 00:12:25,679 --> 00:12:27,600 Speaker 1: or JD Power and they can find out which products 288 00:12:27,640 --> 00:12:30,280 Speaker 1: are more reliable before they make the purchase too. I 289 00:12:30,320 --> 00:12:32,600 Speaker 1: feel like that's so helpful and actually gives you peace 290 00:12:32,600 --> 00:12:36,160 Speaker 1: of mind in avoiding the extended warranty altogether. All right, now, 291 00:12:36,200 --> 00:12:39,160 Speaker 1: let's talk about pet insurance. That's another type of insurance 292 00:12:39,200 --> 00:12:41,880 Speaker 1: that we don't think is a good idea for most people. 293 00:12:42,200 --> 00:12:43,880 Speaker 1: And it's actually a question that's come up a good 294 00:12:43,880 --> 00:12:46,640 Speaker 1: bit in our Facebook group. Obviously, people want to make 295 00:12:46,640 --> 00:12:49,680 Speaker 1: sure that the furious member of their families taken care of. 296 00:12:49,760 --> 00:12:52,000 Speaker 1: That's kind of the reason that people think about getting 297 00:12:52,000 --> 00:12:53,680 Speaker 1: pet insurance. They want to make sure that their little 298 00:12:53,679 --> 00:12:56,000 Speaker 1: pets okay if something were to happen. And I'll give 299 00:12:56,000 --> 00:12:58,520 Speaker 1: a caveat here, if you have, in particular an older 300 00:12:58,559 --> 00:13:01,480 Speaker 1: pet or a breed that's particularly prone to health issues, 301 00:13:01,840 --> 00:13:03,480 Speaker 1: it could work out in your favor to have a 302 00:13:03,520 --> 00:13:06,440 Speaker 1: pet insurance policy. But for the most part, the numbers 303 00:13:06,480 --> 00:13:08,840 Speaker 1: just don't make sense when it comes to buying pet 304 00:13:08,840 --> 00:13:11,640 Speaker 1: insurance for your dog or your cat or your hamster. 305 00:13:11,679 --> 00:13:15,000 Speaker 1: I don't think basically, you're better off having a larger 306 00:13:15,000 --> 00:13:18,040 Speaker 1: amount set aside in savings than paying those monthly premiums 307 00:13:18,040 --> 00:13:20,960 Speaker 1: on that policy, and hoping it pans out. Uh. And again, Matt, 308 00:13:21,000 --> 00:13:23,440 Speaker 1: when you're working with somebody like a local vet, you 309 00:13:23,440 --> 00:13:25,440 Speaker 1: can talk through payment plans if you do have to 310 00:13:25,440 --> 00:13:28,280 Speaker 1: have a procedure for for your dog or cat, and 311 00:13:28,320 --> 00:13:32,000 Speaker 1: you can also look locally for other resources in order 312 00:13:32,000 --> 00:13:34,560 Speaker 1: to find discount care for your pets health care needs. 313 00:13:34,920 --> 00:13:37,440 Speaker 1: But pet insurance, when you're on the numbers, it just 314 00:13:37,559 --> 00:13:41,040 Speaker 1: doesn't typically work out for people in most cases to 315 00:13:41,120 --> 00:13:43,000 Speaker 1: have insurance on their pet. Yeah, I mean, you know, 316 00:13:43,040 --> 00:13:44,280 Speaker 1: this is a good one to bring up because I 317 00:13:44,320 --> 00:13:47,240 Speaker 1: feel that oftentimes people they spend so much money on 318 00:13:47,280 --> 00:13:49,520 Speaker 1: their pets, like I'm pretty sure like all the dogs 319 00:13:49,559 --> 00:13:51,280 Speaker 1: in our neighborhood and have been to the doctor more 320 00:13:51,360 --> 00:13:55,079 Speaker 1: often than I have in the past. Deck, I don't 321 00:13:55,080 --> 00:13:57,520 Speaker 1: think it might be worth asking ourselves, you know, is 322 00:13:57,600 --> 00:14:00,960 Speaker 1: this truly necessary? Obviously there are times when it's necessary. 323 00:14:01,040 --> 00:14:03,120 Speaker 1: But I also think that oftentimes people need to to 324 00:14:03,160 --> 00:14:05,560 Speaker 1: not feel guilty for not having that kind of insurance 325 00:14:05,640 --> 00:14:07,839 Speaker 1: on their pets. Um and related to them. And let's 326 00:14:07,840 --> 00:14:10,920 Speaker 1: talk about life insurance, but not for you know, grown ups, 327 00:14:10,920 --> 00:14:13,360 Speaker 1: but for kids. Uh. This one really frustrates me. Life 328 00:14:13,360 --> 00:14:17,959 Speaker 1: insurance should be specifically purchased for replacement of income, and 329 00:14:18,000 --> 00:14:20,640 Speaker 1: that's why you should not have policies on your children. 330 00:14:20,960 --> 00:14:23,720 Speaker 1: Yet there are lots of companies and insurance folks that 331 00:14:23,840 --> 00:14:27,080 Speaker 1: love selling these policies and their expensive whole life policies 332 00:14:27,120 --> 00:14:29,960 Speaker 1: at that they are a major money maker for companies 333 00:14:29,960 --> 00:14:32,120 Speaker 1: that sell them. Uh And similar to pet insurance, it 334 00:14:32,200 --> 00:14:34,800 Speaker 1: can be an emotional decision. There's a lot of potential 335 00:14:34,800 --> 00:14:36,800 Speaker 1: guilt involved, you know, like, if I don't get life 336 00:14:36,840 --> 00:14:38,800 Speaker 1: insurance for my kids, do I love them? Well, of 337 00:14:38,840 --> 00:14:41,080 Speaker 1: course you do. But maybe instead of getting life insurance, 338 00:14:41,120 --> 00:14:43,000 Speaker 1: you can open a five twenty nine account, or you 339 00:14:43,040 --> 00:14:45,720 Speaker 1: can just start saving for their future in other meaningful 340 00:14:45,760 --> 00:14:48,000 Speaker 1: ways instead. What makes me think about the the the 341 00:14:48,000 --> 00:14:51,360 Speaker 1: Gerber life insurance policies that show up in the mail. Basically, 342 00:14:51,360 --> 00:14:53,440 Speaker 1: once you have a kid, you'll start getting these mailers 343 00:14:53,720 --> 00:14:55,480 Speaker 1: and they're basically trying to convince you to buy life 344 00:14:55,520 --> 00:14:57,520 Speaker 1: insurance for your kids. You don't need it, yeah, And 345 00:14:57,520 --> 00:14:59,160 Speaker 1: one of the reasons I think that that a lot 346 00:14:59,200 --> 00:15:01,720 Speaker 1: of parents do you get that is one out of 347 00:15:01,720 --> 00:15:04,200 Speaker 1: guilt and then too because they're like, well, if something 348 00:15:04,280 --> 00:15:08,080 Speaker 1: terrible would happen, right, Funeral costs are expensive, but they're 349 00:15:08,080 --> 00:15:10,680 Speaker 1: not all that expensive, and again you're better off being 350 00:15:10,720 --> 00:15:14,200 Speaker 1: self insured against the unlikely event as opposed to having 351 00:15:14,200 --> 00:15:18,680 Speaker 1: insurance for the incredibly improbable thing. And Matt another similar 352 00:15:18,720 --> 00:15:22,320 Speaker 1: thing is unemployment insurance. Right. This insurance covers your essentials 353 00:15:22,320 --> 00:15:24,520 Speaker 1: if you were to lose your job, and it sounds smart, right, 354 00:15:24,560 --> 00:15:26,560 Speaker 1: and in particular in the pandemic these days, it sounds 355 00:15:26,600 --> 00:15:27,920 Speaker 1: really smart. It's like, oh, man, I wish I had 356 00:15:27,920 --> 00:15:31,080 Speaker 1: had that, but you'd be better off skipping that insurance 357 00:15:31,080 --> 00:15:33,640 Speaker 1: and self insuring again by having a couple of months 358 00:15:33,640 --> 00:15:35,880 Speaker 1: of expenses on hand. And by the way, we keep 359 00:15:35,920 --> 00:15:39,160 Speaker 1: mentioning this as the antidote to the worst insurance policies 360 00:15:39,160 --> 00:15:42,080 Speaker 1: out there, that it's substantial savings and being self insured, 361 00:15:42,160 --> 00:15:43,680 Speaker 1: but there's no way of getting around that. That's going 362 00:15:43,720 --> 00:15:45,920 Speaker 1: to be kind of a theme throughout this episode that 363 00:15:45,960 --> 00:15:48,000 Speaker 1: in order to avoid some of the worst types of 364 00:15:48,000 --> 00:15:50,880 Speaker 1: insurance that cost a lot and that you're really in 365 00:15:50,920 --> 00:15:54,080 Speaker 1: all likelihood not going to need their more specific types 366 00:15:54,120 --> 00:15:56,080 Speaker 1: of insurance, well, then you do have to do a 367 00:15:56,120 --> 00:15:58,920 Speaker 1: good job of being a diligent saver and having money 368 00:15:58,920 --> 00:16:01,080 Speaker 1: in the bank so that any of these things were 369 00:16:01,120 --> 00:16:03,560 Speaker 1: to happen, you do have the savings on hand to 370 00:16:03,600 --> 00:16:07,200 Speaker 1: pay for the procedure or cover your monthly bills if 371 00:16:07,240 --> 00:16:09,080 Speaker 1: you were to to lose your job. And at the 372 00:16:09,080 --> 00:16:11,600 Speaker 1: same time, map there's unemployment insurance through the state. All 373 00:16:11,640 --> 00:16:14,200 Speaker 1: fifty states offer this, and obviously that's been a benefit 374 00:16:14,240 --> 00:16:16,520 Speaker 1: to a lot of people recently. So they need to 375 00:16:16,560 --> 00:16:19,800 Speaker 1: specifically have unemployment insurance. It's just not there for most people. 376 00:16:19,880 --> 00:16:22,280 Speaker 1: It feels a little bit redundant. And you know, you 377 00:16:22,320 --> 00:16:24,960 Speaker 1: mentioned having that emergency fund set up. I feel like 378 00:16:25,000 --> 00:16:27,040 Speaker 1: that's this is a case for having maybe a larger 379 00:16:27,080 --> 00:16:29,120 Speaker 1: emergency fund as well. You know, if if you are 380 00:16:29,120 --> 00:16:30,880 Speaker 1: looking at some of these different types of insurance and 381 00:16:30,960 --> 00:16:33,040 Speaker 1: you're thinking, oh, that one would really come in handy 382 00:16:33,080 --> 00:16:34,960 Speaker 1: because you know, I have a pet, or oh my 383 00:16:35,040 --> 00:16:37,920 Speaker 1: job is a little unstable, you know, so maybe unemployment 384 00:16:37,920 --> 00:16:39,920 Speaker 1: insurance might be handy for me as well. These are 385 00:16:39,920 --> 00:16:43,200 Speaker 1: all reasons maybe to like increase your emergency fund instead 386 00:16:43,200 --> 00:16:45,600 Speaker 1: of you know, at the bare minimum of two thousand, 387 00:16:45,640 --> 00:16:47,880 Speaker 1: four hundred and sixty seven dollars, bump it up to 388 00:16:47,960 --> 00:16:50,080 Speaker 1: three months, and then maybe for each additional thing like 389 00:16:50,080 --> 00:16:51,560 Speaker 1: oh I have a pet, well, then maybe bump that 390 00:16:51,640 --> 00:16:53,920 Speaker 1: emergency fund up to four months. Then say, maybe you've 391 00:16:53,960 --> 00:16:57,080 Speaker 1: purchased a bunch of fancy electronics, maybe it's worth bumping 392 00:16:57,160 --> 00:16:59,600 Speaker 1: up from four most to five months. Essentially, the more 393 00:17:00,040 --> 00:17:02,320 Speaker 1: sort of like liability that you have, it's worth having 394 00:17:02,360 --> 00:17:05,119 Speaker 1: additional cash on hand. And then the added bonus is 395 00:17:05,160 --> 00:17:07,240 Speaker 1: that you're going to be earning interest on that money 396 00:17:07,280 --> 00:17:09,719 Speaker 1: as it sits there in your own account. Granted, you're 397 00:17:09,720 --> 00:17:11,760 Speaker 1: not gonna be earning that much these days, but I'd 398 00:17:11,840 --> 00:17:14,240 Speaker 1: rather take any interest than none at all, Joel. And 399 00:17:14,280 --> 00:17:16,359 Speaker 1: then lastly, let's let's talk to about kind of like 400 00:17:16,400 --> 00:17:18,639 Speaker 1: some of these hyper specific types of insurance, like like 401 00:17:18,680 --> 00:17:22,320 Speaker 1: cancer insurance. There are all sorts of different insurance products 402 00:17:22,320 --> 00:17:24,760 Speaker 1: in a modern age, and they can get really specific. 403 00:17:24,800 --> 00:17:26,639 Speaker 1: You know, you can purchase I D. Theft insurance, or 404 00:17:26,680 --> 00:17:30,040 Speaker 1: flight insurance, even insurance on your your home's waterline. I 405 00:17:30,040 --> 00:17:31,639 Speaker 1: don't know if you've gotten mailers for those in the 406 00:17:31,640 --> 00:17:33,560 Speaker 1: mails as well? Oh yes I have, but I avoid 407 00:17:33,600 --> 00:17:35,920 Speaker 1: those like the plague that as well as those those 408 00:17:35,960 --> 00:17:38,639 Speaker 1: Gerber baby life policies. Right, and if if you did 409 00:17:38,680 --> 00:17:40,520 Speaker 1: sign up for all of these, uh in order to 410 00:17:40,520 --> 00:17:43,080 Speaker 1: be you know, quote unquote fully covered your budgeted amount 411 00:17:43,160 --> 00:17:46,119 Speaker 1: for just monthly insurance alone just for those premiums that 412 00:17:46,119 --> 00:17:49,360 Speaker 1: could get pretty ridiculous. So you likely don't need these 413 00:17:49,400 --> 00:17:52,760 Speaker 1: additional specific types of insurance. But now that we've covered 414 00:17:52,880 --> 00:17:55,600 Speaker 1: some of the insurance products that you should not be considering, 415 00:17:56,080 --> 00:17:58,359 Speaker 1: let's talk about, you know, the different insurance products that 416 00:17:58,400 --> 00:18:01,159 Speaker 1: are really important for most to consider it. We'll get 417 00:18:01,200 --> 00:18:13,239 Speaker 1: to those right after the break. All right, Matt, we're 418 00:18:13,280 --> 00:18:15,640 Speaker 1: back from the break. We're talking about insurance and how 419 00:18:15,720 --> 00:18:18,720 Speaker 1: most people out there are probably under insured, and we 420 00:18:18,840 --> 00:18:22,320 Speaker 1: just kind of talked about hyper specific insurance policies, things 421 00:18:22,320 --> 00:18:26,400 Speaker 1: that cater to getting a specific type of disease or illness, 422 00:18:26,400 --> 00:18:30,760 Speaker 1: maybe even like baldness insurance. Oh, Man, I don't know 423 00:18:30,880 --> 00:18:32,400 Speaker 1: if they have that, but I would would you would 424 00:18:32,400 --> 00:18:35,000 Speaker 1: you buy that? No? Because even if I did, Man, 425 00:18:35,240 --> 00:18:37,560 Speaker 1: I'm self insured on that. I'll wear a ball cap. 426 00:18:38,000 --> 00:18:40,000 Speaker 1: There you go, the cheapest type of insurance when it 427 00:18:40,040 --> 00:18:43,280 Speaker 1: comes to baldness. Exactly exactly. But yeah, the opposite of 428 00:18:43,320 --> 00:18:46,399 Speaker 1: those hyper specific policies is looking for something a little 429 00:18:46,480 --> 00:18:49,639 Speaker 1: broader that you have a higher likelihood of needing. And 430 00:18:49,680 --> 00:18:52,840 Speaker 1: so yeah, when we're talking about uh insurance that you 431 00:18:52,920 --> 00:18:55,720 Speaker 1: do need. In this segment, we're going to kind of 432 00:18:55,720 --> 00:18:58,880 Speaker 1: focus on those kinds of insurance. For instance, everyone will 433 00:18:58,920 --> 00:19:00,760 Speaker 1: die at some point, so life insurance is a natural 434 00:19:00,840 --> 00:19:03,360 Speaker 1: must have, but just not for your three year old, right, 435 00:19:03,640 --> 00:19:05,679 Speaker 1: unless they're like a Hollywood child star and they're the main, 436 00:19:05,800 --> 00:19:08,199 Speaker 1: main breadwinner for your family. In that case, that's an 437 00:19:08,200 --> 00:19:09,800 Speaker 1: exception to the rule. Right. If you get your own 438 00:19:09,840 --> 00:19:12,680 Speaker 1: Macauley Culkin, you might want to get a policy out 439 00:19:12,680 --> 00:19:15,560 Speaker 1: on him. Exactly. Yeah, I mean, obviously, the biggest potential 440 00:19:15,600 --> 00:19:19,239 Speaker 1: money risk to almost everybody's family is one of the 441 00:19:19,280 --> 00:19:22,800 Speaker 1: main breadwinners dying prematurely. So a term life insurance policy 442 00:19:22,880 --> 00:19:26,320 Speaker 1: is something that everyone with dependence should have, right. A 443 00:19:26,359 --> 00:19:28,000 Speaker 1: good rule of thumb is to have a policy worth 444 00:19:28,040 --> 00:19:31,680 Speaker 1: ten times your annual income. And so, Matt. For folks 445 00:19:31,720 --> 00:19:33,360 Speaker 1: out there who have listened to the show before heard 446 00:19:33,400 --> 00:19:35,760 Speaker 1: us talk about life insurance, they know that it's important. 447 00:19:35,840 --> 00:19:37,960 Speaker 1: Maybe they bought a policy years ago, but their financial 448 00:19:37,960 --> 00:19:40,800 Speaker 1: situation has changed, we would say revisit it, make sure 449 00:19:40,800 --> 00:19:43,600 Speaker 1: you have enough coverage for your situation. And by the way, 450 00:19:43,600 --> 00:19:46,280 Speaker 1: if anyone out there doesn't have any dependence, life insurance 451 00:19:46,359 --> 00:19:49,000 Speaker 1: is something you don't really need, right. It really is 452 00:19:49,200 --> 00:19:52,080 Speaker 1: only necessary if you have people who would need that 453 00:19:52,160 --> 00:19:56,320 Speaker 1: income in the event of your passing away early. Yeah, Juel, 454 00:19:56,320 --> 00:19:58,280 Speaker 1: you know, it's also necessary to have life insurance not 455 00:19:58,320 --> 00:20:00,840 Speaker 1: just when you have dependence, right what the I r 456 00:20:00,920 --> 00:20:04,280 Speaker 1: S considers dependence, but also when there is somebody else 457 00:20:04,280 --> 00:20:07,400 Speaker 1: who is dependence on your income. Right. So obviously I'm 458 00:20:07,440 --> 00:20:10,240 Speaker 1: talking about spouses here. If you have a spouse or 459 00:20:10,280 --> 00:20:13,119 Speaker 1: a partner who counts on your income, that's an instance 460 00:20:13,119 --> 00:20:15,720 Speaker 1: when you definitely also want to have insurance. And you know, 461 00:20:15,720 --> 00:20:18,120 Speaker 1: while we're talking about that, like, let's mention life insurance 462 00:20:18,320 --> 00:20:20,520 Speaker 1: on a partner who takes care of the kids. You know, 463 00:20:20,600 --> 00:20:23,359 Speaker 1: you don't always need to generate an income in order 464 00:20:23,400 --> 00:20:25,520 Speaker 1: for it to make sense to have a term life 465 00:20:25,520 --> 00:20:28,720 Speaker 1: insurance policy. You know, a stay at home spouse is 466 00:20:28,760 --> 00:20:32,400 Speaker 1: the best example of this. Their work, although it's you know, unpaid, 467 00:20:32,800 --> 00:20:35,920 Speaker 1: is highly valuable, and child care and just the countless 468 00:20:35,960 --> 00:20:38,919 Speaker 1: other ways that a partner, you know, brings value to 469 00:20:38,960 --> 00:20:41,480 Speaker 1: the home that would cost a lot of money where 470 00:20:41,640 --> 00:20:44,200 Speaker 1: something to happen to them. So not only does it 471 00:20:44,280 --> 00:20:46,960 Speaker 1: make sense to have life insurance for a primary breadwinner, 472 00:20:47,000 --> 00:20:49,359 Speaker 1: but also to for for someone else who provides a 473 00:20:49,440 --> 00:20:52,080 Speaker 1: massive amount of support in the home. Yeah, it's a 474 00:20:52,119 --> 00:20:54,400 Speaker 1: good point. And Matt, by the way, some websites are 475 00:20:54,400 --> 00:20:57,640 Speaker 1: now offering instant decision life insurance policies and those can 476 00:20:57,720 --> 00:21:00,280 Speaker 1: be great. They forego the need of how having a 477 00:21:00,320 --> 00:21:03,240 Speaker 1: medical professional come to your home and you know, take 478 00:21:03,280 --> 00:21:06,360 Speaker 1: blood tests, check your blood pressure, those kind of things. Uh, 479 00:21:06,359 --> 00:21:08,639 Speaker 1: And that's kind of nice, right to not have to 480 00:21:08,760 --> 00:21:11,520 Speaker 1: deal with that. But I've also read some things recently 481 00:21:11,880 --> 00:21:14,359 Speaker 1: that the convenience can actually cost you more, to the 482 00:21:14,359 --> 00:21:17,560 Speaker 1: tune of thirty three percent higher premiums every month on average. 483 00:21:17,680 --> 00:21:20,040 Speaker 1: So it's important to shop around at multiple sites, including 484 00:21:20,080 --> 00:21:22,080 Speaker 1: Policy Genius one of our favorites. But make sure that 485 00:21:22,119 --> 00:21:24,600 Speaker 1: you don't scamp or skip out on life insurance because 486 00:21:24,640 --> 00:21:27,040 Speaker 1: it's one of the most important insurances that you definitely 487 00:21:27,119 --> 00:21:29,040 Speaker 1: need to have in your life. And then, Joe, let's 488 00:21:29,080 --> 00:21:33,439 Speaker 1: talk about disability insurance. This is uh an incredibly overlooked 489 00:21:33,520 --> 00:21:35,639 Speaker 1: type of insurance. The stats show that a quarter of 490 00:21:35,640 --> 00:21:38,560 Speaker 1: Americans will experience a disability that keeps them out of 491 00:21:38,600 --> 00:21:40,920 Speaker 1: work for three months or longer, and most of those 492 00:21:40,920 --> 00:21:43,760 Speaker 1: come from an illness, not a specific type of accidents. 493 00:21:43,800 --> 00:21:46,360 Speaker 1: You know, it's not just the guy that's like skydiving. Uh. 494 00:21:46,400 --> 00:21:48,480 Speaker 1: And so this means that we are all vulnerable, and 495 00:21:48,520 --> 00:21:51,320 Speaker 1: so for most people, a long term disability policy is 496 00:21:51,320 --> 00:21:53,359 Speaker 1: going to make the most sense if you happen to 497 00:21:53,400 --> 00:21:57,119 Speaker 1: have employer provided disability insurance, and make sure to see 498 00:21:57,160 --> 00:21:59,879 Speaker 1: what it currently covers, because you might need to per 499 00:22:00,080 --> 00:22:03,200 Speaker 1: is a policy of your own to cover the gaps. Uh. 500 00:22:03,200 --> 00:22:06,960 Speaker 1: And since many employers offer subsidized short term disability, a 501 00:22:07,000 --> 00:22:10,560 Speaker 1: long term disability plan makes the most sense for individuals typically. 502 00:22:11,080 --> 00:22:12,520 Speaker 1: But you know, be sure to read up on it 503 00:22:12,560 --> 00:22:14,680 Speaker 1: and don't just assume that you don't need this type 504 00:22:14,720 --> 00:22:17,399 Speaker 1: of coverage. Uh. And you know we've mentioned Policy Genius 505 00:22:17,400 --> 00:22:19,320 Speaker 1: already this episode, but you can also go there as 506 00:22:19,359 --> 00:22:22,480 Speaker 1: well to compare quotes, uh and get a policy as well. Yeah. 507 00:22:22,520 --> 00:22:24,040 Speaker 1: By the way, the reason we mentioned them it is 508 00:22:24,080 --> 00:22:26,640 Speaker 1: just because they shop with a bunch of different companies. 509 00:22:26,720 --> 00:22:28,439 Speaker 1: So instead of just going to one company, go to 510 00:22:28,440 --> 00:22:30,520 Speaker 1: a website that's going to shop them all. And that's 511 00:22:30,520 --> 00:22:33,800 Speaker 1: why we're fans of Policy Genius. But make it super easy. Yeah, 512 00:22:33,840 --> 00:22:35,680 Speaker 1: And Matt, just on that note to when we're talking 513 00:22:35,720 --> 00:22:38,439 Speaker 1: about disability insurance and life insurance, folks out there might 514 00:22:38,480 --> 00:22:40,560 Speaker 1: have a policy through work that covers them maybe even 515 00:22:40,560 --> 00:22:42,919 Speaker 1: on both of these fronts. Uh. The thing is it 516 00:22:43,000 --> 00:22:44,720 Speaker 1: just might not be enough. And at the same time, 517 00:22:44,920 --> 00:22:47,639 Speaker 1: if you leave that employer, you lose that insurance policy. 518 00:22:47,720 --> 00:22:49,359 Speaker 1: So you do want to make sure that you have 519 00:22:49,440 --> 00:22:52,080 Speaker 1: your own private insurance as well. Or let's talk about 520 00:22:52,160 --> 00:22:55,000 Speaker 1: Renters insurance. This is a must also. It's also one 521 00:22:55,040 --> 00:22:57,920 Speaker 1: that people typically forego, which is a bummer because it's 522 00:22:57,960 --> 00:23:00,959 Speaker 1: so cheap. It's one of those insurance is that is 523 00:23:01,119 --> 00:23:03,920 Speaker 1: almost negligible. It costs less than Netflix every month, yet 524 00:23:03,920 --> 00:23:06,239 Speaker 1: it can save you in a major way if an 525 00:23:06,280 --> 00:23:09,200 Speaker 1: accident occurs. Right, it typically just costs around ten twelve, 526 00:23:09,200 --> 00:23:12,320 Speaker 1: fourteen dollars a month to have Renters insurance, and that 527 00:23:12,400 --> 00:23:15,919 Speaker 1: inexpensive insurance covers your possessions in case something happens. Right, 528 00:23:16,119 --> 00:23:19,560 Speaker 1: Renters insurance also covers your belongings when you're traveling. Also, 529 00:23:19,600 --> 00:23:22,199 Speaker 1: take a look at your lease. Your landlord probably requires it, 530 00:23:22,440 --> 00:23:25,240 Speaker 1: so there's just require it. Yeah, me too, me too, 531 00:23:25,400 --> 00:23:27,480 Speaker 1: and so yeah, that's one of those things that UH, 532 00:23:27,760 --> 00:23:29,760 Speaker 1: tenants should take a look at. They should make sure 533 00:23:30,000 --> 00:23:33,760 Speaker 1: that they have Renters insurance not only for their sake, 534 00:23:33,800 --> 00:23:35,560 Speaker 1: but to comply with their lease. At the same time, 535 00:23:35,880 --> 00:23:37,679 Speaker 1: and really there's just no reason not to have it. 536 00:23:37,880 --> 00:23:40,680 Speaker 1: Do some shopping. If you have an insurance relationship already, 537 00:23:40,880 --> 00:23:42,920 Speaker 1: ask your agent if they can quote you on that, 538 00:23:43,240 --> 00:23:45,800 Speaker 1: or look around policy genius. Obviously you can go there too. 539 00:23:45,920 --> 00:23:48,280 Speaker 1: There's no excuse when it's that affordable. That's right, man. 540 00:23:48,400 --> 00:23:50,720 Speaker 1: And so obviously you're gonna have renters insurance if you 541 00:23:50,720 --> 00:23:52,840 Speaker 1: rent a place, if you have a home. If you 542 00:23:52,840 --> 00:23:54,480 Speaker 1: have a house, you're gonna have home insurance. Let's talk 543 00:23:54,480 --> 00:23:57,760 Speaker 1: about home in auto insurance. Both of those are obviously necessary. 544 00:23:57,760 --> 00:24:00,520 Speaker 1: You know, we dove deep on these backend episode eighty one, 545 00:24:00,600 --> 00:24:02,720 Speaker 1: so if you want to know how to shop well 546 00:24:02,760 --> 00:24:05,840 Speaker 1: for those, check out that episode. But something that we 547 00:24:05,880 --> 00:24:08,800 Speaker 1: did want to note here is don't have too little coverage, 548 00:24:09,119 --> 00:24:11,679 Speaker 1: especially as home values have risen in the cost of 549 00:24:11,720 --> 00:24:15,000 Speaker 1: repairing or replacing your home have climbed. Take a look 550 00:24:15,040 --> 00:24:18,320 Speaker 1: at the overall amount that you are insured for. You 551 00:24:18,320 --> 00:24:20,440 Speaker 1: can ask an independent agent to to help you figure 552 00:24:20,480 --> 00:24:24,000 Speaker 1: out what specific coverage you need, and there's online calculators 553 00:24:24,040 --> 00:24:25,679 Speaker 1: as well that can help you figure that out. If 554 00:24:25,720 --> 00:24:28,240 Speaker 1: you need more coverage and the cost is getting too steep, 555 00:24:28,560 --> 00:24:30,959 Speaker 1: you can look to raise your deductible and self insure 556 00:24:31,040 --> 00:24:34,040 Speaker 1: with more cash on hand. And honestly, this is a 557 00:24:34,080 --> 00:24:36,560 Speaker 1: great move regardless. You know, you want to make sure 558 00:24:36,560 --> 00:24:38,439 Speaker 1: that you're properly insured, but the goal here is to 559 00:24:38,560 --> 00:24:41,040 Speaker 1: not have to use it. So finding a way to 560 00:24:41,320 --> 00:24:45,240 Speaker 1: keep those monthly insurance premiums down is really important, yeah, Matt. 561 00:24:45,280 --> 00:24:47,600 Speaker 1: In particular, homeowners insurance is one of those things that 562 00:24:47,920 --> 00:24:49,919 Speaker 1: people are gonna want to have and then hope to 563 00:24:50,000 --> 00:24:53,200 Speaker 1: never use. And obviously, if something major happens, something catastrophic, 564 00:24:53,280 --> 00:24:54,960 Speaker 1: you use it. But the same thing is true with 565 00:24:55,000 --> 00:24:57,320 Speaker 1: both home and car insurance. You don't want to use 566 00:24:57,359 --> 00:25:00,880 Speaker 1: it if it's a minor thing. Even it's a roof 567 00:25:00,920 --> 00:25:03,000 Speaker 1: that needs to be replaced because of hail damage or 568 00:25:03,000 --> 00:25:04,840 Speaker 1: something like that. You really want to think long and 569 00:25:04,920 --> 00:25:08,040 Speaker 1: hard about whether or not you pull the trigger and 570 00:25:08,160 --> 00:25:10,719 Speaker 1: call your insurance company. In many cases, it's better off 571 00:25:10,760 --> 00:25:13,240 Speaker 1: to hire the workout yourself, to have the money saved 572 00:25:13,400 --> 00:25:17,040 Speaker 1: and avoid using your insurance. And that's because premiums can 573 00:25:17,080 --> 00:25:20,760 Speaker 1: skyrocket after you use that insurance. Seems true with your 574 00:25:20,760 --> 00:25:22,879 Speaker 1: car insurance, So if there's a little ding, little dent, 575 00:25:23,160 --> 00:25:27,120 Speaker 1: handle it yourself and avoid actually using it in order 576 00:25:27,160 --> 00:25:29,320 Speaker 1: to keep your premiums low. Yeah, all the note of 577 00:25:29,359 --> 00:25:32,600 Speaker 1: homeowners insurance, flood insurance is a type of policy that 578 00:25:32,720 --> 00:25:35,240 Speaker 1: some folks definitely don't need, but there are some people 579 00:25:35,240 --> 00:25:37,680 Speaker 1: who really need to have it. In particular, if you're 580 00:25:37,720 --> 00:25:39,920 Speaker 1: at high risk for flooding, you should look into getting 581 00:25:39,920 --> 00:25:44,120 Speaker 1: a policy through FEMA at flood smart dot gov. And 582 00:25:44,160 --> 00:25:46,600 Speaker 1: it's not all that expensive considering you know what you 583 00:25:46,640 --> 00:25:50,680 Speaker 1: are ensuring against. Floods can create a lot of costly damage. Yeah, 584 00:25:50,680 --> 00:25:52,919 Speaker 1: it's a good point, all right. Let's also mention a 585 00:25:52,960 --> 00:25:55,320 Speaker 1: couple more types of insurance that people really need to 586 00:25:55,359 --> 00:25:58,080 Speaker 1: have if you don't want to be underinsured, and one 587 00:25:58,160 --> 00:26:00,800 Speaker 1: of them is health insurance. The number are one reason 588 00:26:00,840 --> 00:26:03,320 Speaker 1: for personal bankruptcy is due to medical bills, So going 589 00:26:03,320 --> 00:26:06,520 Speaker 1: without health insurance just isn't smart. But obviously too it's 590 00:26:06,520 --> 00:26:10,680 Speaker 1: gotten incredibly expensive. If you have employer provided health insurance, 591 00:26:10,880 --> 00:26:13,560 Speaker 1: they're typically subsidizing a huge portion of that cost, and 592 00:26:13,600 --> 00:26:17,000 Speaker 1: it's important to make sure that that you have a policy. 593 00:26:17,040 --> 00:26:20,439 Speaker 1: But if you don't have access to employer provided health insurance, 594 00:26:20,480 --> 00:26:22,919 Speaker 1: it's important to shop on the exchange and see what 595 00:26:23,040 --> 00:26:26,440 Speaker 1: sort of subsidies that you qualify for, and also if 596 00:26:26,600 --> 00:26:30,600 Speaker 1: it's gotten prohibitively expensive, consider checking out a health sharing company, 597 00:26:30,680 --> 00:26:32,960 Speaker 1: and Matt, you're a member of one. Most of them, though, 598 00:26:33,040 --> 00:26:36,439 Speaker 1: are are affiliated with religious communities, and so I know 599 00:26:36,600 --> 00:26:39,080 Speaker 1: a lot of people that listen to the show. They've 600 00:26:39,080 --> 00:26:41,880 Speaker 1: asked the question if there is a health sharing company 601 00:26:41,920 --> 00:26:44,520 Speaker 1: that isn't necessarily religious based, And the only one that 602 00:26:44,520 --> 00:26:46,560 Speaker 1: I could find in all my research was Liberty Health. 603 00:26:46,840 --> 00:26:49,800 Speaker 1: They have the least stringent requirements if you don't have 604 00:26:49,840 --> 00:26:52,600 Speaker 1: any sort of particular religious affiliation. So they're one worth 605 00:26:52,680 --> 00:26:55,639 Speaker 1: checking out, and it's gonna be way, way less money 606 00:26:55,880 --> 00:26:59,000 Speaker 1: than an actual insurance policy. But at the same time, 607 00:26:59,040 --> 00:27:02,359 Speaker 1: it's not technically health insurance, but it can really help 608 00:27:02,400 --> 00:27:05,399 Speaker 1: in the case of finding yourself in a position where 609 00:27:05,680 --> 00:27:08,240 Speaker 1: you had to have a medical proteger and it costs 610 00:27:08,800 --> 00:27:11,119 Speaker 1: thousands or tens of thousands of dollars. Yeah, Joel, and 611 00:27:11,280 --> 00:27:12,960 Speaker 1: similar to what we recommend to when it comes to 612 00:27:13,000 --> 00:27:15,760 Speaker 1: auto insurance, we would recommend something similar to health insurance 613 00:27:15,800 --> 00:27:18,440 Speaker 1: as well. One of the ways to obviously get your 614 00:27:18,520 --> 00:27:21,520 Speaker 1: costs down every month is by increasing your deductible with 615 00:27:21,560 --> 00:27:24,239 Speaker 1: auto insurance, so look to a high deductible plan when 616 00:27:24,280 --> 00:27:27,120 Speaker 1: it comes to health insurance. If you're young, you're healthy, 617 00:27:27,320 --> 00:27:30,159 Speaker 1: Maybe you don't have any pre existing conditions. Maybe uh, 618 00:27:30,359 --> 00:27:32,680 Speaker 1: you know, there's zero family history of of any health 619 00:27:32,720 --> 00:27:34,879 Speaker 1: issues at all. Those are all great reasons to consider 620 00:27:34,920 --> 00:27:37,080 Speaker 1: moving to a high deductible plan. But then obviously you 621 00:27:37,080 --> 00:27:38,639 Speaker 1: still want to make sure that you at least have 622 00:27:38,760 --> 00:27:41,920 Speaker 1: enough money set aside to reach that deductible in case 623 00:27:42,000 --> 00:27:44,840 Speaker 1: something does happen. Uh. And then, lastly, Joel, here, let's 624 00:27:44,880 --> 00:27:47,239 Speaker 1: talk about an umbrella policy. One of these might be 625 00:27:47,440 --> 00:27:49,800 Speaker 1: a good thing to consider if you've done a really 626 00:27:49,840 --> 00:27:53,880 Speaker 1: good job accumulating assets. Uh. They're also pretty inexpensive because 627 00:27:53,920 --> 00:27:58,640 Speaker 1: it's only tapped if you exceed your other insurance company payouts. So, 628 00:27:58,760 --> 00:28:00,639 Speaker 1: for example, let's say you were you know, at fault 629 00:28:00,640 --> 00:28:03,040 Speaker 1: in a car accident and your auto insurance only covered 630 00:28:03,119 --> 00:28:05,240 Speaker 1: let's say, up to fifty thou for the other vehicle. 631 00:28:05,440 --> 00:28:07,240 Speaker 1: But if that other car that you you know wrecked 632 00:28:07,280 --> 00:28:09,320 Speaker 1: was worth a hundred thousand, well, guess what they're coming 633 00:28:09,320 --> 00:28:12,239 Speaker 1: after you personally for that extra fifty thou dollars. That's 634 00:28:12,280 --> 00:28:14,120 Speaker 1: why I don't drive next to nice cars, Matt, Yeah, 635 00:28:14,119 --> 00:28:18,560 Speaker 1: avoid those lambos. Uh. That's when an umbrella policy comes 636 00:28:18,560 --> 00:28:21,560 Speaker 1: in handy. It protects your assets in the event that 637 00:28:21,640 --> 00:28:24,720 Speaker 1: you are liable, and like I mentioned, they're inexpensive, these 638 00:28:24,720 --> 00:28:27,920 Speaker 1: policies can be really affordable to uh it's pretty easy 639 00:28:27,960 --> 00:28:30,560 Speaker 1: to get a one million dollar policy for for something 640 00:28:30,600 --> 00:28:32,800 Speaker 1: like twenty bucks a month. So if you've done a 641 00:28:32,800 --> 00:28:35,679 Speaker 1: good job accumulating assets, you know you've got you've got 642 00:28:35,720 --> 00:28:37,480 Speaker 1: a home, and you've got a good amount of equity 643 00:28:37,480 --> 00:28:38,960 Speaker 1: in that home, and you want to make sure they're 644 00:28:38,960 --> 00:28:41,800 Speaker 1: not coming after that, well, an umbrella policy is something 645 00:28:41,920 --> 00:28:45,320 Speaker 1: definitely worth considering. And for all those mom pop landlords 646 00:28:45,320 --> 00:28:48,280 Speaker 1: out there, it's another important consideration is to have an 647 00:28:48,360 --> 00:28:52,200 Speaker 1: umbrella policy because one your liability is higher and to 648 00:28:52,400 --> 00:28:55,800 Speaker 1: your assets are higher. Right, if you have multiple rental properties, 649 00:28:55,960 --> 00:28:58,440 Speaker 1: an umbrella policy can make even more sense for you. 650 00:28:58,880 --> 00:29:01,040 Speaker 1: So all right, Matt, Hopefully we were able to cover 651 00:29:01,400 --> 00:29:04,360 Speaker 1: a lot of different insurance products on this show in 652 00:29:04,400 --> 00:29:06,959 Speaker 1: a way that didn't put people to sleep, especially if 653 00:29:06,960 --> 00:29:08,640 Speaker 1: they're driving. That's not good because then you're gonna have 654 00:29:08,680 --> 00:29:11,560 Speaker 1: to use your insurance. But yeah, um, we covered some 655 00:29:11,800 --> 00:29:15,080 Speaker 1: insurance products that people should typically stay away from. Then 656 00:29:15,120 --> 00:29:17,120 Speaker 1: the insurance products that people need to know a little 657 00:29:17,120 --> 00:29:19,520 Speaker 1: bit more about and if you find yourself maybe lacking 658 00:29:19,920 --> 00:29:22,040 Speaker 1: on one of the insurance types that we mentioned, we 659 00:29:22,080 --> 00:29:24,640 Speaker 1: would just encourage you to to go do some shopping, 660 00:29:24,680 --> 00:29:28,040 Speaker 1: do some reading, and make sure that you're properly insured 661 00:29:28,280 --> 00:29:30,560 Speaker 1: and make sure that you have enough insurance to cover 662 00:29:30,720 --> 00:29:32,959 Speaker 1: yourself and your family. It's one of those things that 663 00:29:33,000 --> 00:29:34,960 Speaker 1: in personal finance we don't like to think about a lot, 664 00:29:35,120 --> 00:29:37,640 Speaker 1: but it is kind of this important spoke, this important 665 00:29:37,680 --> 00:29:40,920 Speaker 1: component in having a good, healthy approach to your personal finances. 666 00:29:41,120 --> 00:29:42,520 Speaker 1: You know what I was waiting for. It was for 667 00:29:42,560 --> 00:29:46,080 Speaker 1: you to say warranty one more time, because at the 668 00:29:46,160 --> 00:29:48,320 Speaker 1: earlier in the episode, you were saying warranty, but you 669 00:29:48,360 --> 00:29:51,080 Speaker 1: were saying warranty. And I don't know if I ever 670 00:29:51,080 --> 00:29:55,680 Speaker 1: say it like that. Our pronunciation differs sometimes I don't 671 00:29:55,720 --> 00:29:56,960 Speaker 1: want to mention it, Earli because I don't want to 672 00:29:57,000 --> 00:30:00,040 Speaker 1: make you self conscious, But every time you s that, 673 00:30:00,080 --> 00:30:01,320 Speaker 1: it kind of made me happy. And said, now, I 674 00:30:01,360 --> 00:30:02,800 Speaker 1: don't even know which way I said it, but you 675 00:30:02,840 --> 00:30:05,800 Speaker 1: said you said warrant. All right, You're always really excited 676 00:30:05,800 --> 00:30:09,560 Speaker 1: to avoid that extended warranty. Okay, do it all right, 677 00:30:09,560 --> 00:30:11,320 Speaker 1: but let's get get back to the beer. This episode, 678 00:30:11,520 --> 00:30:14,560 Speaker 1: we enjoyed a P B and J American style sour ale. 679 00:30:14,640 --> 00:30:18,080 Speaker 1: And this was a beer by Shades Brewing Company, And 680 00:30:18,360 --> 00:30:19,840 Speaker 1: I noticed on the top of the cane here it 681 00:30:19,880 --> 00:30:22,640 Speaker 1: says that this is part of their Caveque series. Do 682 00:30:22,680 --> 00:30:24,120 Speaker 1: you know how to say that? I'm pretty sure that 683 00:30:24,160 --> 00:30:26,080 Speaker 1: it's like a it's a Norwegian word. Oh really, I 684 00:30:26,120 --> 00:30:27,719 Speaker 1: don't know. No, I don't know that I should. I 685 00:30:27,720 --> 00:30:29,720 Speaker 1: feel ashamed to call myself in Norwegian at this point. 686 00:30:30,000 --> 00:30:31,640 Speaker 1: I don't know much about that except that it's the 687 00:30:31,680 --> 00:30:34,959 Speaker 1: type of yeast that's like really hearty or like really robust, 688 00:30:35,000 --> 00:30:37,840 Speaker 1: So it allows them to do really like aggressive types 689 00:30:37,880 --> 00:30:41,680 Speaker 1: of bruise without killing the yeast. But evidently it allows 690 00:30:41,680 --> 00:30:44,760 Speaker 1: for a really clean drinking beer. And so I guess 691 00:30:44,800 --> 00:30:46,160 Speaker 1: on that note, I'll go ahead and share my thoughts 692 00:30:46,160 --> 00:30:48,400 Speaker 1: on this beer. I wasn't sure if I was gonna 693 00:30:48,440 --> 00:30:50,600 Speaker 1: like this because it's P B and J. But it's 694 00:30:50,600 --> 00:30:52,560 Speaker 1: a sour you know, you can expect to have a 695 00:30:52,560 --> 00:30:54,760 Speaker 1: P B and J stout, But how in the world 696 00:30:54,800 --> 00:30:57,480 Speaker 1: do you make peanut butter and jelly sour beer? And 697 00:30:57,560 --> 00:30:59,040 Speaker 1: somehow I feel like they were able to pull it off. 698 00:30:59,040 --> 00:31:01,240 Speaker 1: Man Like, as soon as you drink get had some 699 00:31:01,280 --> 00:31:03,920 Speaker 1: tartness going on, and it tasted really fruity. But then 700 00:31:03,960 --> 00:31:06,760 Speaker 1: at the same time, almost instantaneously, you you pick up 701 00:31:06,800 --> 00:31:08,880 Speaker 1: on some of those peanut notes. It's like sort of 702 00:31:08,920 --> 00:31:12,000 Speaker 1: like this low base accompanying these these kind of high 703 00:31:12,040 --> 00:31:14,080 Speaker 1: trouble notes. And I felt that they were able to 704 00:31:14,080 --> 00:31:16,480 Speaker 1: compliment each other pretty well. I've never had a beer 705 00:31:16,520 --> 00:31:18,320 Speaker 1: that was a sour, but it was a type of 706 00:31:18,320 --> 00:31:20,880 Speaker 1: beer that that was based on a flavor profile that 707 00:31:20,920 --> 00:31:23,680 Speaker 1: was a little more robust and savory. But all in all, Man, 708 00:31:23,720 --> 00:31:25,040 Speaker 1: I thought they did a good job and I really 709 00:31:25,080 --> 00:31:26,920 Speaker 1: liked it. What about you, What were your thoughts? So 710 00:31:26,960 --> 00:31:29,200 Speaker 1: I've never been so nervous opening a beer as it 711 00:31:29,280 --> 00:31:31,120 Speaker 1: was with this one, because when I read what it was, 712 00:31:31,160 --> 00:31:34,000 Speaker 1: I was a little freaked out. I was I was like, 713 00:31:34,040 --> 00:31:36,160 Speaker 1: P B and J sour. I don't know, that's not 714 00:31:36,200 --> 00:31:39,120 Speaker 1: gonna work. Yeah, should we even drink it? I don't know. 715 00:31:39,320 --> 00:31:42,280 Speaker 1: But I will say it was not my favorite beer. 716 00:31:43,000 --> 00:31:44,840 Speaker 1: I'll go off and I'll be honest on that, but 717 00:31:44,880 --> 00:31:46,760 Speaker 1: I agree with you. Actually, I think the flavors did 718 00:31:46,840 --> 00:31:50,640 Speaker 1: work together, and it tasted like a peanut butter and 719 00:31:50,720 --> 00:31:54,400 Speaker 1: jelly sandwich that had gone sour, but not sour like rancid. No, 720 00:31:54,960 --> 00:31:56,680 Speaker 1: it didn't taste bad, that's for sure. Not like a 721 00:31:56,720 --> 00:31:58,320 Speaker 1: peanut butter and jelly sandwich that was left in a 722 00:31:58,400 --> 00:32:00,560 Speaker 1: lunchbox and it was left out on the ground for 723 00:32:00,600 --> 00:32:02,840 Speaker 1: two weeks. No, not like that, like the animals got 724 00:32:02,880 --> 00:32:05,760 Speaker 1: into No, nothing like that. But yeah, I thought it 725 00:32:05,800 --> 00:32:08,440 Speaker 1: was an interesting conglomeration of flavors. I'm glad we tried it, 726 00:32:08,480 --> 00:32:11,600 Speaker 1: that's for sure, because I love trying unique beers, and 727 00:32:11,640 --> 00:32:13,680 Speaker 1: this one was definitely unique. It's just not gonna make 728 00:32:13,680 --> 00:32:16,360 Speaker 1: my top ten list, even though I enjoyed the drinking experience, 729 00:32:16,520 --> 00:32:18,600 Speaker 1: even though it was made from a Norwegian yeast, I 730 00:32:18,640 --> 00:32:22,120 Speaker 1: thought that would have won you over. I'll it scores 731 00:32:22,160 --> 00:32:24,080 Speaker 1: points in my book for that, that's for sure. Nice well, 732 00:32:24,360 --> 00:32:26,200 Speaker 1: Andy thinks again for sending this one to the show. 733 00:32:26,520 --> 00:32:28,920 Speaker 1: Angel that's gonna be it for this episode. Man. Listeners 734 00:32:28,960 --> 00:32:30,840 Speaker 1: can find our show notes on our website at how 735 00:32:30,920 --> 00:32:32,840 Speaker 1: some money dot com. We'll be sure to link to 736 00:32:32,880 --> 00:32:35,640 Speaker 1: some of the other articles that we've written in regards 737 00:32:35,680 --> 00:32:37,640 Speaker 1: to insurance, as well as where you can go to 738 00:32:37,640 --> 00:32:40,680 Speaker 1: find an insurance policy. Yep, and we appreciate everybody out 739 00:32:40,680 --> 00:32:43,040 Speaker 1: there who listens, and if you've been listening for a 740 00:32:43,120 --> 00:32:45,360 Speaker 1: while and you think that Matt and I have some 741 00:32:45,440 --> 00:32:47,920 Speaker 1: room for improvement, but we'd love to hear from you, 742 00:32:47,920 --> 00:32:49,520 Speaker 1: you can just go to how the Money dot com 743 00:32:49,560 --> 00:32:51,760 Speaker 1: slash do better, drop us a line, and let us 744 00:32:51,760 --> 00:32:53,600 Speaker 1: know how you think we can make this show a 745 00:32:53,640 --> 00:32:56,360 Speaker 1: better place to learn about personal finance, because that's always 746 00:32:56,400 --> 00:32:58,760 Speaker 1: our goal, to make this show an awesome place to 747 00:32:58,840 --> 00:33:01,440 Speaker 1: learn about personal finance and a helpful and constructive way. 748 00:33:01,560 --> 00:33:03,480 Speaker 1: All Right, Matt, that's going to do it for this episode. 749 00:33:03,560 --> 00:33:06,880 Speaker 1: Until next time, best Friends Out, Best Friends Out,