8 Reasons Why You Should Prioritize Life Insurance

Insurance should be in the list of priorities of most Filipino families aside food and shelter.  But because of of non-tangible form and lack of financial awareness, having life insurance is the least priority today.

Most prioritize family needs such food, shelter, medicine, education, and little luxuries such vacations, sports, and good refreshments.  Others prioritize other ventures such business, personal errands, hobbies, and even their lovable pets.  Even me have priorities too.  There is no human I know who knows nothing about any priorities.

In this article, we will discuss different kind of priority.  A priority that most people neglect and avoid.  A priority also they wish they have during the time they need it most, usually a time of sickness and death.

As you reading this article, here are 8 reasons why you should have life insurance as early as today.  C’mon read it right away and make a promise to your self that never avoid people who offers you variable life insurance.

8 Reasons Why You Should Prioritize Life Insurance

  1. Life Insurance is Really About Life – it is very funny when talking about life insurance is only need when a someone else life comes to an end.  It is actually giving life.  When a bread winner successfully met his Creator, if the decedent bought a life insurance in his/her earlier life, his/her surviving relatives will receive financial benefits maybe enough to cover immediate expenses.  The only worry from the family is to grieve to their lost.
  2. Life Insurance is also a Form of Investment – Life Insurance today is not only having life coverage during demise, but also a form of investment.  Variable Unit Link (VUL) is now the new kind of life insurance, where your premiums invested in equities and other securities such bonds and treasury bills.  It simply having a mutual funds and life insurance in one product.  You are now being covered and investing at the same time.
  3. Life Insurance Can Avoid You of Paying Estate Tax – I’m one of the living testament of agonies in paying estate tax, believe me!  The goverment wanted us to secure truckloads of documents (not including poor information campaign about securing documents; such correctly indicating requirements in the government website).  Estate taxes only cover bank deposits, certificate of stocks, real properties, and trust placements.  The good news is, VUL investments are not included in estate taxes.  So, having VUL is now definite choice of investment.
  4. Life Insurance Can Be Also Use for Sickness and Accident – during dire need about health, VUL investments attached certain riders or add-ons to your policy such hospitalization income and lump-sum.  Most companies offer coverage up to 36 kind of dreaded disease that include any type of cancers, cardio-respiratory diseases, and  even brain tumor.  It is also the same with personal accident such riding in a bus, motorcycle accident, and any possible cause of accident that may endanger the life of the insurer.
  5. Life Insurance is the Only Product that is Cheaper When the Buyer is Younger. – the younger you buy VUL, the cheaper it is due to lower percentage of claim.  It will give the insurer/investor to focus in investment side to accelerate fund growth with maximum life coverage.
  6. Life Insurance Can Be Use for Other Non-Life Purpose – Variable Unit Linked (VUL) can also be use for college education, travel purposes, and even for your retirement!  If your fund already reached your target financial growth, why not enjoy your funds and you may use it for your personal needs.  You can read my other article of Retirement Planning.
  7. When You Buy Life Insurance, Your Premium will Never be Change. – if you bought VUL investment and according on the monthly premium from your agent is P5,000.00 /month, this premium will never be change even many years past.
  8. Life Insurance is Also a Lifestyle Need. – in today’s world, lifestyle sickness is very common.  Many people are getting sick due to improper handling of lifestyle.  Worst, you already been offered by a friend to get life insurance but immediately you turned it down without realizing it’s future need.  It’s should be part of everyone’s lifestyle because of having investment attachment that able to see thru internet.

I wish I am still alive and bought a life insurance while I’m still young!  – A dead man’s epitaph

 

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Eleison Cruz

Financial Consultant. Personal Finance and Investment advocate. Author of The Good Asset, a blog that educates people in investments, financial literacy, and life insurance. Visit www.thegoodasset.ph

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