More like insurance "is it worth it" analysis
A financial planner suggesting an insurance needs analysis is like a personal trainer recommending a warmup before a workout–it may not be the most exciting part, but it’s crucial for long-term health
Author: Jonathan Llewellyn | Financial Adviser | HFB Private Wealth
Here’s why they’re all about it:
- Protecting Your Goals: You’ve got big financial dreams – retirement plans, a house, maybe even that dream vacation. Your financial planner wants to make sure nothing derails those goals. An insurance needs analysis helps assess whether you have the right coverage to keep things on track if life throws a curveball.
- Avoiding Over/Under Coverage: Too little insurance? You’re exposed. Too much? You’re paying for stuff you don’t need. Your planner is like Goldilocks here – aiming for the coverage that’s just right. They’ll look at your current policies and lifestyle and make sure everything matches up perfectly.
- Life Changes: Did you just get married? Have kids? Buy a house? Life changes, and so do your insurance needs. Your planner wants to make sure your coverage grows and shrinks with your lifestyle, so you’re not paying for a Ferrari insurance policy when you’re driving a Toyota.
- Debt Coverage: If you’ve got a mortgage, University loans, or other debts, your financial planner wants to ensure that if something unexpected happens, those debts don’t become a burden on your family or derail your financial future. Insurance can help cover those liabilities.
- Peace of Mind: They know that insurance may not be the most thrilling topic, but it’s a major safety net. By doing an analysis, your planner helps you sleep better knowing you’re prepared for the "what-ifs" of life.
So, while your planner might sound a bit like a compliance or safety officer right now, they’re really just helping you safeguard everything you’re working towards—like an umbrella for your financial dreams, keeping them dry even in a downpour!