Get in financial shape with our May Money Fit calendar

Is your home really protected from the threats that matter most? Here’s what you need to know before purchasing a home insurance policy.

On the flipside, you might be shocked to learn about all the wacky stuff that home insurance can cover!

• If you want to buy with less than 20% down, you’ll need to pay for mortgage insurance. This insurance doesn’t protect you though—it protects the bank if you default. With 5% down on a $450,000 home, expect an extra $15,400 in fees.

• Consider all your options when it comes to insurance for your mortgage. Mortgage life insurance, which is designed to pay off the rest of your mortgage in the event that you or your spouse die, is one option. But there are alternatives, such as term life insurance, and these might be less expensive and more transferable, meaning your coverage follows you if you move to a new house. Don’t worry: You cannot be denied a mortgage if you refuse mortgage insurance.

Paid off your home in full? You’re entitled to more than a pat on the back. A number of the country’s top home insurance providers offer steep discounts to mortgage-free customers—in some cases as high as 20% off your premiums. But even if you’re decades away from owning your home outright, you may still qualify for other little-known discounts. Several home insurance providers—including Canadian Direct Insurance, Aviva Canada and CAA—offer “new home” discounts of between 10% and 25% off. To qualify for a rebate, your home’s plumbing, electrical, roofing and/or hot water tank must be no older than 15 years of age and therefore less prone to wear-and-tear damages. Not sure if you’re receiving any of these perks? The only way to find out is to call your provider and ask.

Do you get weak at the knees when you review your monthly auto insurance statement? Well, stop paying so much then. Making some simple and straightforward adjustments could save you hundreds. We’ll show you how right here.

Managing debt and investing your savings are important components of financial planning, but disaster-proofing your life with insurance is a higher priority—especially if family members are relying on your income. Whether you’re just starting your career or are in your peak earning years, your single biggest asset is not your home or your RRSP portfolio. It’s your ability to earn an income now and in the future—what’s often called your “human capital.” You may be surprised to learn if you’re 25 years old and earning $40,000, and if you expect your salary to increase 4% annually until age 65, your human capital is almost $2 million. That’s an asset you need to protect with life and disability insurance.

Most families are better off buying cheap, straightforward term insurance, but there are situations where universal or whole life policies make sense. We’ll take you through everything you need to know here.

If you had a crippling accident or were diagnosed with a critical illness tomorrow, would your family be able to cope? This is what disability insurance is for.

Watch personal finance expert Bruce Sellery share his advice on what to look for when getting different kinds of insurance and how to save money. A great review of the month so far!

Recently some financial planners have started to promote long-term-care insurance (LTCI), which is designed to look after you in old age. But is this type of coverage a good idea? The heavily regulated nursing home system ensures a fairly consistent level of basic care for the most frail seniors. But there is much less government support for relatively active seniors who want in-home care or to live in a retirement residence. And as you need more and more care, the costs can increase to the point where they outstrip the resources of all but the wealthy. That’s why LTCI is often touted as a solution. But LTCI premiums are very expensive. For example, a policy purchased at age 45 that provides $2,500 in monthly benefits plus some inflation protection might cost $1,200 per year for a man and $1,900 for a woman. If you purchase it at age 65, it will set you back over $3,000 per year for a man and over $4,800 for a woman. LTCI can make the last few years of your life a little more comfortable. But the high premiums mean you’ll have less income to enjoy life while you’re healthy. “Most people will say ‘I’m going to take that chance and take the trip because I only have one life to live,’” says Peter Benedek, who runs the website retirementaction.com. He argues you’re better off taking a pass on LTCI and using your savings and the equity in your home to cover care costs should they arise.

Well, it’s the end of an entire month devoted to all things related to insurance—thanks for hanging in there. And now you deserve to treat yourself to something a bit more exciting. Our suggestion? A vacation abroad! Just be sure you’ve got the right kind of coverage.