The world is moving so quickly that without planning your next step, you won’t be able to get anywhere.
Hence, having a clear plan for the direction of your future is extremely important. That includes strategizing how you deal with your financial obstacles.
It’s always good to plan your financial milestones and give yourself a reasonable time to achieve them.
Doing all this while making sure that you have enough collateral to lean on if you run into roadblocks. It is also an important part of the process.
That’s where your Life Insurance kicks in.
Making sure that you have insurance to protect everything you hold near and dear. This is an extremely important step in future planning.
Let’s begin by helping you build your future.
Thinking Ahead Of Time
Your financial plan should be tailored to the direction you want to lead the next few years of your life. Based on your age, lifestyle, income, future plans and requirements, your financial plans may differ from others.
Hence, you will need to be in the driving seat here. Build a 2-year, 5-year and 10-year plan and set your goals accordingly.
Shorter goals that don’t require much financial investment can be listed under the 2-year plans and long term goals are pushed in the 5-year and 10-year plans.
This applies to both, your business and your life. So let’s learn how your insurance can help you build a secure future.
Insurance To The Rescue
Depending on the types of insurance you have, you can avail various benefits in the long run. You should also plan your insurance based on your health, needs and expectations.
If you want your insurance to be financially beneficial for you for a longer period, you should opt for permanent life insurance plans.
That way you can give yourself the option to borrow money against your insurance, opt for accelerated medical assistance if you fall sick and you also get tax benefits for the period you don’t borrow any money.
What’s more, the insurance premium also runs longer than the alternative. While a term insurance plan only lasts for the predetermined period; usually until your 60s, permanent insurance can last until you’re 120 years old.
You can say that a permanent insurance plan typically is more beneficial to the direct insurer. But you have to keep paying higher premiums throughout this period to take advantage of it.
That’s where the term life insurance policy is different. You pay a relatively less amount for a certain period and then you’re done for life. Well, by life, we mean the length of the term plan.
If the policy isn’t used till that age then it lapses and you don’t get any benefits of insurance after that. So it only depends on your financial status and your needs on which life insurance policy you should choose.
If you choose a term plan then you should also invest in health insurance. Because unlike a permanent insurance plan, your term plan doesn’t cover any medical expenses.
Of course, those with a permanent plan can also invest in health insurance to make sure you don’t drain your funds in your permanent life insurance policy.
This will also reduce the returns your family gets in case you’re not around to love and take care of them. Hence, the need for health insurance exists in both cases.
So planning your future with Health Insurance and Life Insurance protection is a wise choice.
Connecting The Dots Of Insurance And Your Life Plan
Based on everything we’ve learned, if your financial strength and stability are uncertain and you can’t think of planning for more than 2 or 5 years, you should invest in a term life insurance plan.
That gives you the protection of insurance and also reduces the financial investment drastically.
However, if you fall under the category of people that can think about their next 10-20 years and how you’d lead your life. If you are financially stable and actively investing in your future and life, permanent life insurance protection is the choice for you.
You can secure your life for a longer period and also invest in retirement plans by borrowing from your permanent life insurance.
Plan out your goals and understand where you stand before you decide which life insurance policy is the right choice for you.
You can get in touch with us on 855-5EXCEED for more information.