Personal Insurance
Financial planning is about protecting your wealth as well as building your wealth.
It is easy to think that you won’t get sick or hurt and ignore the need to protect the very thing that generates your wealth, your own health and your ability to work. But if accident or serious illness does occur the impacts can be devastating.
It’s worth remembering that no matter how much expert advice you receive or how well you manage your finances there is always a risk that you could suffer an early death or serious illness or injury. Where that leaves you and your loved ones in the future depends on the wealth protection strategy you have in place.
Risks you could face in the future may include:
- Emotional, physical or mental trauma
- Death or serious illness
- Loss of income due to temporary or permanent incapacity
- Damage to your house or other personal assets
- Theft of, and/or damage to business assets
- Public liability and/or professional indemnity risks
Your financial plan should include a strategy to minimise risks that could jeopardise both your present and future plans. In simple terms, if you cannot afford to lose something then you should try to protect your exposure. Insurance can provide a cost-effective protection mechanism.
This may take a combination of personal, general and health insurance policies. There are many different aspects to insurance and it is best to tailor a package that suits your needs as well as your budget.