Facts and Myths About Insurance

February 25, 2021
Investor's Guide

Common Misconceptions About Insurance

common misconceptions about insurance

A lot of people in the Philippines are still hesitant to invest in life because of the number of myths about insurance. We’re here to separate fact from fiction about insurance so you can make informed decisions about your future.

Here’s what you need to know about insurance.

Myth 1: Insurance is expensive.
The number one thing people get wrong about insurance is that it will cost an arm and a leg. A lot of people have avoided getting insurance because they feel that the insurance will cost more than the protection it will offer them.

The good news is that insurance can be quite affordable. Take, for instance, InLife’s Solid Cover plan. For only P55 a day, you can get a life insurance plan that will protect you and your family. You’ll get up to 180x protection (based on the amount you pay annually).

Myth 2: Insurance is only for old people.

While insurance depends on a large number of things, in general, it is actually better to purchase insurance when you are younger than when you are older. For one thing, it will cost you a lot less now than if you were to buy at let’s say age 50. This is because you are still young and healthy, so are less likely to show and develop health problems any time soon. An older person, on the other hand, will need more money to be protected because of the potential number of health concerns he or she may be facing.

Myth 3: You don’t need insurance if you’re single.

Numerous single people have invested in insurance and are happy to have done so! Some are the sole breadwinners of their families and need to look after their health and investments, others are looking to get married and have children in the future, while others are just preparing in case the worst happens and they die prematurely.

Life insurance isn’t just for retirement or to pass on a legacy when you die. It can also be used right now to build your dreams. Take the Wealth Secure plan, for instance. With the Wealth Secure plan, you can fund the lifestyle you want (whether that’s starting a new business, buying a new home, or saving up money for the future) with only P150 a day. Insurance plans like these work by investing your money into six existing funds such as bonds, stocks, or a combination of both and will be managed by an experienced financial investor. This pool of funds will then grow over time, multiplying the amount of money you have put in.

In just five years, you could have the money you need to achieve your dreams, whatever they may be.These are just a few myths and misconceptions people get wrong about insurance. If you have any more questions, talk to one of our Financial Advisors today. They will be more than happy to answer any inquiries you may have about insurance!

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