We’ve all seen the plethora of information out there on how to be a better person.
But what about something more concrete, more actionable? Something that you can do (and should do) that makes you a better person right away?
To this end, we proffer advice straight from the heart: Buying the right Life Insurance. Note that we stress that it must be done right, meaning it is suitable for you and fits your objectives to a T. Making an impulse purchase that you regret shortly after does not count!
Without further ado, let’s examine why buying insurance properly transforms you into a better person – in more ways than one.
1. You are (or become) a more responsible person
There are actually 2 points to raise about responsibility and insurance .
Firstly,Insurance is bought by people that have a sense of responsibility. They know that they are responsible to their parents, their spouses, their children, and even to society as a whole.
Case in point. It is obvious to see the responsibilities of a married person with children. What about a fresh graduate who is single and not supporting anyone? He actually has a responsibility to be financial independent regardless of what befalls him. (Serious illness, or disability for example) Does he still expect his parents to be financially responsible for him as an adult?
Everyone in this world has responsibilities – but only people with a sense of responsibility will take proper action. Buying Life Insurance correctly means you have joined this virtuous group of people.
Secondly, you are a more responsible person when you take responsibility for your actions. You read up, you assess, you compare. You meet different representatives and make your decision to buy the plan(s). Henceforth, you and you alone bear the responsibility of that decision. Not the agent who sold you the plan – he or she may resign. Not the Insurance company – their terms and conditions were stated right from day one, and made available to you.
Do not be mistaken – financial representatives and Insurance companies must do the right thing and they have their own responsibilities as well. But this does not mean that you can place the responsibility of your choice squarely on them right?
Put in another context – Would you drive more recklessly just because you have a seat belt on? A responsible person would not.
2. You care about the details
Signing on the dotted line is easy, anyone can do it. Like the 32 year-old civil servant who bought a car found out, the hard way.
But making the right decision about any insurance policy requires more than just a legible signature or distinct thumbprint – there actually needs to be the correct assessment process in place before the decision is made.
Here is where you stand out as a person who has made the right commitment for insurance – you care to pore over the details, fuss over the fine print, and get to the bottom of the policy before you actually commit.
You are not making a rash decision, you are carefully considering all the angles and possibilities. Is the insurance cover type the ones that you need? Does its tenure cover you adequately? What exclusions does it come with? How long do you have to maintain the policy to breakeven?
Is the insurance cover type the ones that you need? Does its tenure cover you adequately? What exclusions does it come with? How long do you have to maintain the policy to breakeven?
These questions are all carefully thought of and weighed in the mind before one buys insurance – provided we do it the right way.
As they say, the devil is in the details.
This attitude of caring for the details will put you in good stead for other aspects in your life: your career, your relationships, and even your health.
3. You know how to budget your finances
Part of buying the right insurance also stems from spending the right amount of money on it. The plan may be suitable for you – but it is unwise to spend ALL of your disposable income on it, regardless of what fantastic returns may be projected.
Life Insurance, when bought correctly, leaves you with more options and more financial security – it does not leave you teetering on the edge of paycheck to paycheck. It is a misconception that Life Insurance is expensive and it is hard to maintain. Check out the other myths of Life Insurance here.
You are a better person when you think about the budget that you have (limited, I presume) and know how to balance it out between the different life priorities (Insurance, savings, investments, and daily expenditure etc)
Quite different from the days when we received pocket money from our parents. $10 dollars received in the morning, $10 dollars spent by nightfall.
Have you progressed from those days already?
4. You plan ahead, and think about the future
It is said that the best leaders in the world today look toward the future and direct their present efforts accordingly. The late Mr Lee Kwan Yew was a prime example of that – it didn’t matter if Singapore was a backwater in the 1960s. A backwater with little in the way of natural resources and technology. What mattered more was the future.
On a more individual scale, the same process also happens to a person who takes up the proper life insurance. He is then thinking about the possibilities that lie upon the horizon, not taking a Que sera sera attitude.
Life Insurance is all about preparing for a better tomorrow – no matter what tomorrow might bring. Which is why the most celebrated war leader of all time had these immemorial words to describe Life Insurance:
If I had my way, I would write the word “insure” upon the door of every cottage and upon the blotting book of every public man, because I am convinced, for sacrifices so small, families and estates can be protected against catastrophes which would otherwise smash them up forever. – Winston Churchill
Every properly insured person takes a leaf out of his book. Incidentally, it also displays that you know the meaning of delayed gratification, a big indicator of future success in an individual.
5. You are free to attain financial freedom (or free to dream big dreams)
Each time we gaze upon the pyramids, we have to marvel at their sheer size and their testament to durability. They were built long before we were born, and shall remain long after we have become part of history.
Yet their longevity stems from a basic principle: Having a strong foundation. Compare this to the leaning tower of Pisa. (Both are tourist attractions, albeit for slightly different reasons)
Life Insurance is that foundation upon the pyramid of personal finance is constructed. Once you have secured a rock solid foundation for yourself, you are then free to pursue the path to financial freedom if you so choose.
Starting a business? Investing in a start-up? Taking positions in the stock market? Planning to end world hunger? All these endeavors can be taken once you are secure in your foundations.
When you pursue big dreams and lofty ideals, doesn’t that make you more likely to contribute to society, rather than playing it safe?
Once in your life, try something. Work hard at something. Try to change. Nothing bad can happen. – Jack Ma
A solid financial foundation makes chasing your dreams so much easier.
The Last Word
The inspiration for this article came from recent news about a lifestyle “influencer” who seemingly bought the wrong insurance and made a bid to reach out and complain about her advisor and also the insurance company.
Such a pity! As if the Life Insurance Industry doesn’t have enough of such negative news.
Fundamentally, Life Insurance is a tool to be used – or misused. It is really up to us, the consumer to make the most out of this instrument.
Don’t wish it was easier; wish you were better – Jim Rohn, American Motivational Speaker
We hope that we have made it easier to understand Life Insurance, and hope that it makes you a better person than you already are.
www.ClearlySurely.com aims to eradicate the knowledge gap between consumers and Life Insurance. Our Vision is that one day, every Man, Woman, and Child will be properly insured.