National Insurance Awareness Day: GradGuard.com Shares Most Expensive Insurance Mistakes Made by Young Adults

PHOENIX, June 24 - As National Insurance Awareness Day approaches on June 28th, college graduates are busy unpacking their belongings into new apartments and adjusting to new responsibilities as independent breadwinners. Unfortunately, as they establish themselves in the "real world," many don't realize that they are making dangerous and expensive mistakes when it comes to obtaining the insurance they need. These oversights may leave them vulnerable to decades of garnished wages.

GradGuard.com, an innovative online resource offered by Boston- and Phoenix-based Next Generation Insurance Group, offers a complete portfolio of insurance products specifically designed for college students, new graduates and young adults nationwide. According to GradGuard, here are the top five most expensive insurance mistakes made by young adults joining the workplace for the first time:

1. Not recognizing that their health insurance coverage may have changed upon graduation from college, which can often cause them to be dropped from both their school and parents' policies.

2. Traveling overseas without travel insurance. When young adults or students travel outside of the United States, the medical and property and casualty insurance policies that would normally cover them typically cease to work. Over 240,000 U.S. students study broad annually, or take post-graduation trips overseas, and travel insurance can literally be a lifesaver in the event of an emergency, need for medical care, or the loss of property.

3. Purchasing only the minimum liability coverage for auto insurance, leaving themselves unprotected and subject to wage garnishment for uncovered injuries and damage. For example, hitting an expensive car with multiple passengers may leave the graduate on the hook for all damages due after the insurance company paid what could be very low state compulsory limits.

4. "Skipping" or failing to purchase renters insurance to save money, not realizing that it not only covers their belongings, but also includes liability protection for damage or harm to the property or its visitors while occupying the space. As an example, if a guest slips and falls during a party, breaking their ankle as their foot goes through the wall, the resident can be sued. Not only would they be responsible for medical costs and wall repair, but also potentially responsible for an expensive settlement from the case.

5. Finally, one of the most expensive mistakes young adults make is to not realize that they have control over their insurance costs as a result of decisions they make every day. For example, driving safely does more than just protect themselves and others from injury and collision repair. Tickets and accidents can rapidly make insurance cost more than rent. Additionally, carefully watching their credit score can get them far more than just low interest rates on their credit cards. In most states, they would pay more for insurance with bad credit, high debt-to-income ratios or not having credit. Lastly, researching the insurance cost before buying a car can save hundreds of dollars because the insurance cost differs widely by vehicle type and model, and impacts their total cost of ownership.

"Unfortunate and completely unexpected circumstances can easily unfold in the lives of young adults, potentially devastating their delicate financial stability. By sharing some of these common mistakes, we hope to highlight some of the issues that are often overlooked," explains John Fees, Co-Founder and CEO of Next Generation Insurance Group. "Through education and awareness, we want to give these young adults confidence and peace of mind as they build their lives, without worrying about what-ifs."

With the underinsured rates for students and young adults at an all-time high, GradGuard has committed themselves to being the affordable and dependable company that the Gen-Y audience needs.

To download a helpful one-page sheet of essential tips for new graduates on auto insurance, renters insurance, travel insurance and health insurance, please visit http://www.gradguard.com/tips

GradGuard also offers a blog, DearGG.com, which is written in a witty 20-something voice and provides tips and insight about managing "real world" risk.

About GradGuard

GradGuard.com is an online resource dedicated to the insurance needs of young adults ages 18-25. Offering insurance programs including gap health insurance between graduation and full-time employment, travel insurance for graduation trips or renters insurance for personal possessions, GradGuard has done the homework regarding the risks facing new graduates and their families. GradGuard.com is a service of Next Generation Insurance Group LLC, a national specialty insurance sales and marketing firm that enables consumers and organizations to manage risk affordably. For more information, please visit http://www.gradguard.com.

About NGI Group LLC

Next Generation Insurance Group LLC is a national insurance sales and marketing firm that enables consumers and organizations to manage risk affordably. With headquarters in Boston and Phoenix, the firm is a nationwide authority on relevant, "right-fit" insurance products for specific life stages and life events, including http://www.gradguard.com and http://www.massdrive.com. NGI applies its expertise in affinity, collegiate, Internet and young adult marketing to design and market specialty insurance programs. For more information, please visit http://www.nextgenins.com.