Is Life Insurance Worth It?

Posted on: 17th January 2022 in Insurance

It is a question that has been asked numerous times. The answer is YES, life insurance worth every single penny you will pay for it. But why does this question come up again and again? Life insurance is not a tangible product, whilst most people believe that nothing bad will happen to them when it comes to health. Therefore, people tend to ignore its importance with significant consequences.

Below you can read a real story, shared by one of Holborn’s advisers, showing how important it is to take out life insurance on time and reduce the pain of your loved ones when you are no longer with them.

A real story about life insurance

“This is a story of a relentless pursuit of a prospect who, along with his colleagues, were to be part of a group life scheme that I was setting up. The initial twelve employees completed all application forms, they completed the medicals where it was appropriate.

Except for one person. One gentleman was always too busy. I chased him, I hassled, I chased again. His forms were incomplete. I chased again. His medical was postponed twice. I chased. Eventually, on August 24th last year, he was accepted onto the group life scheme. I got paid an insignificant amount of money for that premium.

Three months after being accepted to the scheme, I met his next of kin. He, a 57-year-old man, had died of a heart attack. She, his widow, had no funds, no will and it was a mess. But, on that day, we had started the process of a claim to provide her and her family with 300,000 pounds. I felt I got paid in thanks for doing the right thing. Bringing a smile of relief to a lovely lady and that was my payday. “

Protecting your family and loved ones with insurance

What is the moral of this story? That it is best not to leave anything to chance or not procrastinate when there are ways to mitigate risks, especially when these are associated with the wellbeing of your family. The story shows that doing the right move allows your family, your loved ones to suffer a bit less for your loss and focus on living after the shock.

Taking out a life insurance policy ensures that your loved ones would be protected should the unthinkable happen. We have all heard stories about people who have had to deal with unforeseen health conditions or even abrupt deaths, which have forced them to modify their way of life or placed them in a challenging financial situation. You wouldn’t like them to be confused and distressed when peace of mind is needed.

It can boost your retirement plans

It is possible to assure a consistent monthly income stream with the help of life insurance policies. Investing in an annuity is similar to investing in a pension plan: you can put money aside on a regular basis in a life insurance product and receive a consistent monthly income even after you retire.

Insurance for new parents

Especially when it comes to your children and being a new parent, taking out life insurance should be one of the foundations of your financial plans. Aside from the typical expenses, a mortgage or the funding of a child’s education plan may prove to be a significant financial burden for those who do not have the same level of income as you. Speaking to a professional consultant would assist you in determining how much life insurance you need and how much you would be required to pay in the form of a monthly premium in order to meet those requirements.

Are you interested in life insurance? Ask Holborn

There are many types of insurance that you should know about before you decide which one suits your goals. Since many people do not have the knowledge to judge which insurance is right for them, we would recommend getting help from a professional and fully qualified financial adviser. Holborn’s advisers are experienced and trained to identify your needs and suggest the right solutions in line with your plans and budget. If you are interested in learning more about life insurance, fill in the contact form and we will get in touch with you to discuss your options.