5 Things Your Insurance Advisor Will Tell You That You Should Ignore

When it comes to insurance, you will get a lot of information, both online and from your advisor, most of which will only mislead you. Insurance may be confusing, and even some experts will still give you advice that you will heed to then come to regret later. A lot of people have admitted to having regretted advice they took, and most of these people usually end up canceling their insurance policies or paying heavily for making the wrong decision. 

It is okay to seek advice if you are interested in insurance, but you should know what to take and what not to take if you want to avoid future frustrations. That said, below are 5 things your advisor will probably tell you that you should ignore.

You Don’t Need Insurance If You Have no Children

One of the worst advice you will get about insurance is that you don’t need any if you have no children or other people who depend on you. Even if you are single and you don’t plan on starting a family ever, you will still need to secure an insurance policy. 

You should know your funeral expenses will cost about $10,000 or even more. An insurance policy will help pay off these expenses, and the burden will not be left for your family and relatives to take care of. Also, you should put in mind other financial obligations that you have that may need to be paid for after you are gone. This way, you will not be leaving any financial burden with your loved ones.

You Need Whole Life Insurance

Any insurance expert, especially an agent is likely going to tell you that you need whole life insurance. The truth is that you don’t. And chances are that the insurance agent is more interested in making a huge commission from selling you the policy than actually helping you get the best insurance for you.

Whole life insurance is ridiculously expensive, and unless you are earning a pretty good salary and need life insurance for estate planning purposes. You don’t need to pay for the hefty premiums, most of which cost 10 times more than what you would pay for term insurance. 

Your Best Option Is the Cheapest

This is one of the biggest lies that an advisor would ever give you. When choosing an insurance policy you need to know the cheapest option might not be the best option for you. The worst thing you can do for yourself is to put the most weight on the price alone. 

Apart from the cost of the policy, there are other long term factors that you will need to consider before making a final decision. It may only seem logical to pay cheap premiums, as long as you are getting coverage, but looking at your overall goal, this may have hard consequences on you in the future. According to InsureChance, the lowest quote on the quote engine isn’t the lowest quote for you if you’re a high risk to the insurance companies. 

Instead of choosing the cheapest option, compare the option you have and choose what will suit both your current and future needs. 

A Medical Exam Is Unnecessary

No one should tell you that a medical exam is unnecessary because it is! You don’t want to be skipping that medical examination then end up paying higher premiums than you would have paid if you took it. Also, skipping the medical exams means that you will get lower coverage than someone else who chooses to take it. 

This is a risk you don’t want to take, so take care of your body, avoid or quit smoking, exercise to keep fit and maintain a healthy weight. 

Your Employer’s Group Insurance Policy Is Enough

At work, your employer may offer you an insurance policy, and while it is always a good idea to take it, do not solely rely on it. Group insurance may be a good addition to your individual policy, but it can never be good for you alone. Remember, such policies are usually based on the whole group, so your individual needs will not be considered. 

In such a case, everyone is getting the same type of coverage, regardless of whether you are healthy or not, old or young. In addition, a group insurance policy may not have enough coverage to pay off your final expenses and support your loved ones after you are gone. 

Unlike an individual insurance policy that you can keep, if you stop paying premiums or when you voluntarily leave your job, you will lose your insurance. You will probably not stay at your current job forever, and you might want growth in the future, but that group insurance will not go with you when you choose to leave your job. 

Research Your Options

Before setting out to go look for an insurance policy, do some research because you will need it. It will be easier for you to look for a policy when you have an idea of what you are looking for, even if you will seek an advisor to guide you through. 

 

*** SPECIAL ALERT — June 27, 2020 — THREE of this Year’s Motley Fool Stock Picks Have Already Doubled! ****

We have been tracking ALL of the Motley Fool stock picks since January 2016. That’s 4+ years, 54 months and 108 stock picks. As of Friday, June 26th 3 of their 12 2020 stocks picks have already doubled (TSLA, ZM, SHOP). In addition, 4 of their 2019, 8 of their 2018, 7 of their 2016 and 10 of their 2016 picks have also doubled. Best of all, over these 54 months, the average stock pick is up 111%. That beats the SP500 by an average of 87%. And that’s even accounting for all of this COVID mess that has wreaked havoc on some stocks but presented opportunity for other stocks. THAT is how the Fool does so well!

  • Shopify (SHOP) – April 2, 2020 pick and it is already up 163%
  • Zoom Video (ZM) – March 19, 2020 pick and it is already up 107%
  • DexCom (DXCM) picked Feb 20, 2020 right before the market crashed and it is still up 26%
  • Tesla (TSLA) picked January 2, 2020 before the crash and it is up 123% compared to the SP500 -7% so it is ahead of the market by 130%
  • HubSpot (HUBS) picked December 5, 2019 and it is up 46%
  • Netflix (NFLX) picked November 21, 2019 and it is up 42%
  • Trade Desk (TTD) picked November 11, 2019 and up 111%
  • Zoom Video originally picked Oct 3 and it is up 234%
  • SolarEdge (SEDG) picked September 19, 2019 and it is up 44%

Now, no one can guarantee that their next picks will be as strong, but our 4.5 years of experience has been super-profitable. They also claim that since inception, their average pick is up 424% and now we believe them. You sure don’t want to risk missing out. Many analysts are saying that we have passed the bottom of this COVID crisis and stocks will recover quickly. So make sure you have the best stocks in your portfolio.

Normally the Fool service is priced at $199 per year but they are currently offering it for just $99/year if you click this link

CLICK HERE to get The Motley Fool’s Stock Picks for just $99 per Year! 




GET UP TO $1,000 IN FREE STOCK

WHEN YOU OPEN A ROBINHOOD BROKERAGE ACCOUNT

Robinhood was the first brokerage site to NOT charge commissions when they opened in 2013. They just past 10,000,000 accounts and to celebrate they are offering up to $1,000 in free stock when you open a new account.

Here’s the details: You must click on a special promo link to open your new Robinhood account. Then when you fund your account with at least $10, you will receive one stock valued between $5 and $500. Then, you will get a link to share with your friends. Every time one of your friends opens an account, you will receive another free stock valued between $5 and $500. Click here to learn more about this Special Robinhood offer.

Claim your free stock NOW

(before it’s too late)

Leave a Reply

Your email address will not be published. Required fields are marked *