When you have a family, doing financial planning is very important for your family’s finances. Doing economic plan is very important in a family with the hope that families will be protected from risks that can happen anytime.
Having a right financial balance is the main thing before you can start investing and developing your finances for the fiscal comfort of you and your family. Different types of investments that can be the value of your money will continue to grow such as buying land, stocks, and insurance.
What is the best insurance for my family?
Family insurance will be a top priority as it protects family members in case of risk. Family insurance planning becomes one of the essential things because by having it, the risks that can cause financial loss and disrupt the welfare of your family can move to the insurance company. In the end, your family can still be protected and can continue to live as usual. Therefore, family insurance planning you should think carefully.
Who needs life insurance? Life insurance has become an essential requirement in this era, but not everyone need life insurance. If someone says that everyone needs life insurance, then it means he does not know more about life insurance. He may be an insurance salesman who wants to catch the target, is it possible?
From year to year, life insurance enthusiasts continue to grow, you can see from the total income of the life insurance industry continues to increase. However, not everyone needs life insurance. Then who might need this vital service? Let us look together anyone who really needs it.
People who need life insurance
Family When you have a family, or you are married, you may need life insurance. But not a newborn child directly requires life insurance. Why does someone with a family need life insurance? With the family, you have a burden or responsibility. If you have an accident without you thought, then your family will get the insurance fund that you can use for the next life. However, there is always a top priority in the family to become a life insurance participant, you can read further on the points below.
Breadwinner in the family The main priority to become an insurance policy owner, in general, is someone who makes money in the family. It applies to both mom and dad, or anyone in charge of making money. Usually, a family leader is in charge of earning money for his family.
Long-term loans or accounts payable When you get a mortgage loan, the bank will ask you to pay a life insurance premium, so your family does not need to continue the mortgage when you die. It because the installment can be paid off with the sum insured when sufficient.
During this time, life insurance is more directed to those who are still productive. It is not only to ensure the success of the program because the policyholder is at a productive age and they can pay the policy for a long time. But what about the elderly or for those who have retired?
When you are 30 years old, you will probably understand financial planning. You may not need life insurance by the time you reach 60. Why? It’s because you will plan your finances well and invest as optimally as possible so that when you reach old age, your asset will be enough and you do not need it anymore.
I have retired, do I still need life insurance?
When you have reached the age of the elderly, do you still need life insurance? This question often arises. If you are currently 50 or 60 years old, what is your answer? A lot of answers may come up, it all depends on your current condition. Here are some answers to this question:Continue reading Do I Still Need Life Insurance When I Get Old?
Everyone with a specific profession needs insurance, in this case, life insurance. A person who has a particular job while working against a variety of work risks, a simple example is a factory worker. In this work, it is possible there will be accidents that befall these workers. If he had insurance, it could cover his medical expenses. The question that arises then is a housewife who works only at home with minimal risk of accidents need life insurance?
If you ask these questions to financial planners, they will answer that a housewife does not need such a thing. In addition to the reason that the risk of their accidents is minimal, these financial planners also hold that there is no or little economic impact if they die.
If you stick to a specific financial plan, you might say that a homemaker does not need life insurance. The reason is that there is no economic impact arising from the death of a housewife. But, if you look at it from another point of view, a husband would be most helpful if his wife has life insurance. When a husband buys life insurance on his behalf, then he helps his wife and children, it’s a good thing. Conversely, when the husband buys life insurance on behalf of his wife, he also helps himself and his children. Continue reading What Makes Homemakers Need Life Insurance?
What is the actual cost of treating critical illnesses such as cancer, heart disease, stroke, and kidney failure? Depending on the illness, how severe the condition is, and the hospital, but probably very high, it can even make you bankrupt. Also, critical illness can reduce productivity so that income will be reduced yet lost.
Critical illness becomes a life-changing event. When a person gets a verdict whether cancer, heart failure, stroke, kidney failure, or severe chronic illness, then his life also changes. All you have to do is set aside a small part of your income to have health insurance and critical illness insurance. Health insurance to pay hospital bills, and critical illness insurance to protect your assets and income. If you can, you can grab both of them. If your budget is limited, then you can take just one.
What is the meaning of critical illness?
Critical illness does not come suddenly, but it starts with an unhealthy lifestyle accumulation. In today’s world, many causes of sickness. Stress in work, air pollution, smoking, mostly sitting and lack of exercise, various foods containing chemicals, etc. Blood sugar, uric acid, cholesterol, and fat accumulation, play a significant role to trigger critical illness. All of that accumulates gradually without you realize.
Talking about life insurance, a lot of people have started using this product. It is because you will get a million benefits if you buy this type of insurance. This insurance product is only for mortgages, but in fact, the insurer still bears the number of dependents paid if the customer in the stage of old age.
However, when someone buys life insurance, many people still make some mistakes. Life insurance is crucial for you and your family. So, to see if a life insurance that suits you, then you should observe first. If you can’t learn more about the protection offered, then this will be dangerous. In life insurance, there are some mistakes you need to avoid when buying them.
Mistakes you need to avoid when buying life insurance
1. You are not providing the data honestly It is one of the fatal mistakes that is often a prospective customer to do to get approval in the filing process. But just because lying will cause when you make a claim, the insurance company will reject it.
To avoid something you do not want, you must be an honest customer candidate. If you have ever had a sickness especially critical illness, then you should tell the truth to the insurance agent when you fill in the application letter of life insurance.
2. Insurance premium The financial ability is the primary factor when you want to buy insurance. But that does not mean it’s the only factor. High premiums should be worth the benefits you receive. The premium you regularly pay to get the benefits of insurance should be following your wallet. It becomes somewhat difficult because a person usually prefers to buy a very cheap insurance premium without understanding amid the benefits they can get. So, you have to observe whether the money you pay matches the benefits you will receive. You can’t only focus on the large-small premium costs. Therefore, you need to compare one insurance product with another product from a different company. Thus, you can see the plus and minus points of each company to determine the final choice.
3. Tempted by illustration Insurance agents always want to get customers, and they use examples that tempt prospective customers, including you. You may feel dizzy because the explanations are too complicated so you just follow their will, and you can’t think further.
This illustration of profit will arise when you buy insurance with an investment element. The numbers of hundreds of millions, even billions that would tempt you. Many insurance companies sell sweet mouths through illustrations, and you must learn first and be careful. You might be better off separating insurance with investment. Continue reading Fatal Mistakes You Need to Avoid When Buying Life Insurance