Insurance is a necessity of modern life. Face it, there is, as yet, no way to guarantee that nothing bad will ever happen to you or that you will live forever. Oftentimes, though, people forget that simple fact and discover all too late that they did not adequately protect themselves.

The good news is that getting proper insurance coverage does not have to be expensive. Even the most pricey insurance is a pittance compared with the costs that could be incurred if you lack sufficient protection. Below are 10 types of policies that are worth the money:

Life insurance
This is especially important if people count on your salary to pay the bills, whether it's your spouse or your kids. "Many people put off getting life insurance," said Jeanne Heisler, a New Jersey agent. "It's very inexpensive, especially if you are young." Single people may not need the coverage if they have enough money to cover their funeral expenses and pay off their debts.

Homeowner's insurance
Banks require that people get this coverage before they agree to underwrite a mortgage, since it protects homeowners from damages caused on their property to other people. The key for homeowner's insurance is to make sure that there is enough to cover the replacement value of the home, according to the Insurance Information Institute. Personal items such as furniture, sports equipment or clothes are also protected under these policies from "insured disasters" such as a fire or hurricane.

Renter's insurance? Why would I need renter's insurance? It's not my problem if our apartment building burns to the ground! It's the landlord's problem. I'm not buying any stinkin' insurance when I'm paying the owner's mortgage!

And so goes the discussion in the heads of many renters around the world. Renter's insurance makes no sense to many, unless they've lived in a place that has indeed actually burned to the ground or otherwise been destroyed. But now those who read this blog can be enlightened too.

The purpose behind renter's insurance is quite simple: It is insurance for all your "stuff" and helps you replace the stuff if it's destroyed. It's not your responsibility to insure the building. That's for the owner. But your stuff is your problem.

Imagine having a fire in your apartment and losing all your furniture, food, clothing, and belongings. Not only do you not have a place to live, you don't have any stuff either. Have you ever considered how much it would cost to replace all of that? Most people I know don't have the means to just run out and buy a bunch of furniture and new clothes and household items at the drop of a hat.