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What kinds of insurance should I avoid?

For every financial rule, there are exceptions, so don't take these examples as gospel. Instead, think about it this way: Before buying anything on this list, be sure you know exactly what you're doing, and go well beyond an insurance agent or salesman for advice:

Mortgage life insurance

Insurance on outstanding credit card balances

Flight insurance
Generally, these kinds of policies prey on fear and are not competitively priced. In most cases, the same coverage is built into your basic life and disability policies. If you've set these up to cover what you can't afford to lose, there's no need to do it again.

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