Public awareness to purchase insurance products is still very low. This is mostly due to allegations of harm or constraints that would be obtained if you purchase an insurance product. Is that true?
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This is needs to be clarified. Life insurance is an important part of financial planning. However, misunderstandings about insurance can prevent people to get the benefits. Later, when there are problems, he should have realized long time ago to buy insurance. In order for you not be fooled by rumors or what people say about life insurance (which is not necessarily true), you should first identify the most popular myths about life insurance.
1. Young and single people do not need insurance.
Are there someone who suffered when we die? However, although we do not depend on others, we still would leave credit card debt, mortgage, loan cash, until the funeral expenses. Life insurance policy generally will cover these costs.
Faster or earlier you buy insurance, you can get lower premiums. Insurance will also ensure the costs that you spend when you are having health problems later.
2. Only people that already have children who need insurance.
According to Michael Bonevento, senior financial advisor at Ameriprise Financial Services, Inc., Those who are married and married with children, or married with children with special needs, may must have to purchase insurance. Even so, there are many examples where single people also have insurance.
When single people came from a poor family, it could leave an insurance claim for it family in case of problems. Therefore, he took the insurance to make sure his families do not experiencing financial problems when he died.
3. If a company already providing insurance, why should buy insurance?
Many companies that provide life insurance or health insurance for employees, the value may be equivalent to your salary a year. This may be a benefit for you, but what if you do not work anymore at the company? If you cannot predict when you will experience the risks that might happen? What if suddenly you have to be hospitalized? It may be too late if you just buy the insurance when it is needed to anticipate the pecuniary loss that may arise due to the risk.
4. Life insurance generally too expensive
When purchasing insurance, you will be given the option for premiums charge in accordance with your ability. Premiums selected by someone young will certainly be lower than someone already established. Moreover, in addition to paid annual, there is also the premium can be paid monthly. The value of this premium can be improved when you are getting good financial condition.
5. All insurance policy are same
All products or merchandise, each must have its advantages and disadvantages that manifested in the policies form. The policy may use the same term, but the substance of what it can be cover different. So when you buy an insurance product, do not just consider the price. Read the policy provided carefully so you do not feel cheated later.
6. Housewife do not need to buy insurance
You may do not have an income, but you still have to provide the facilities needed by the family. For example, child health, food and clothing needs, home care, and so forth. If the husband dies suddenly, or not able to work again, those needs should certainly on your own. Well, life insurance can guarantee your safety when the couple is no longer present to meet your needs.
7. Purchasing insurance is complicated
It takes time to process your insurance purchase, including the approval of your proposed insurance demand. However, the current financial planner has been implemented aka insurance agent pick up the ball. This means that they are come to you and take care of everything. If less obvious with the rights and obligations, you also can be access it yourself at its website. You also can be comparing it with other insurance products. If it is less clear, you can schedule another meeting with your agent.
