Before you purchase insurance, here are some clarifying points to help you get started:
You can purchase insurance for most things, and many of those decisions will be up to your discretion according to what your needs are. However, there are a few that are considered necessities: Auto insurance, health insurance, homeowners/renters insurance, and life insurance.
These are terms dealing with health insurance. A deductible is the amount you pay out-of-pocket for medical services before your insurance policy kicks in. A premium is how much it costs for you to maintain your policy. A copay is the fixed amount you pay for a health care service, usually during a visit to the doctor's office or filling a prescription for medication. This is considered cost sharing – when both you and the insurer pay toward your healthcare expenses.
In some cases, yes. For instance, sleeping in your car regularly isn't enough to make it a residence. But if you were to have something like an RV – with areas for sleeping, cooking, and toilet facilities, it can then officially be declared a residence. At that point, you would need to get an additional homeowner's insurance policy along with your auto policy.
Many health related services are not covered through health insurance. Car insurance covers damages due to an accident, but it doesn't cover routine repairs. Damages brought on by earthquakes and floods aren't covered through homeowners insurance. This is typical of insurance policies. Your goal should be to find the most comprehensive insurance policies in the most important areas for you.
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Non-owner car insurance is a small expense that can spare you major headaches in the event of an accident.