Our advice to our readers is simple: focus on the now and do what you must to get yourselves and your families through this crisis. Once the world goes back to normal, we will be here to guide you to a financially safer future.
Why Does Insurance Become Vital in the Time of a Pandemic?
The world is under siege by an invisible enemy- tiny but lethal viruses floating around and infecting people at will- and there is little we can do about it other than taking protective measures to keep ourselves from getting infected due to negligence. Face masks, sanitizers, handwashes, and disinfectants are the new normal, but there are some things that are equally, if not a tiny bit more, important to help you look after your life and the lives of your loved one: life insurance and retirement planning.
Of course, the first order of business is to ensure you have a good life insurance plan in place to protect you financially in case of a medical emergency such as accidents, critical illnesses, or god, forbid, if you fall prey to the Covid pandemic raging across the world. As soon as you are financially protected by an insurance plan, you can move to the next step, that is, commencing your retirement planning. Let us take a quick look at how to draw up a blueprint to map out the rest of your life so that you can avoid living in financial uncertainty and be unfazed by anything life throws at you, even if the curve ball happens to be more novel life-threatening viruses.
Step One: Life Insurance
Why should you invest in a solid life insurance plan?
Believe it or not, viruses are not the only risks you face everyday, even though they might be what’s occupying your thoughts at present. Other risks that you are exposed to and should actively work to mitigate include financial risks that arise from not implementing diversification in your finances, missed chances due to unavailability of liquid money, having no life expectancy based planning, unforeseen accidents leading to injury or disabilities that disrupts work, and of course, force majeure.
While risks are an inevitable part of life, risk management comes to the rescue. And financial risk management starts with investing in a good life insurance plan for yourself and your loved ones.
Step Two: Retirement Planning
Retirement may be the last thing on our minds right now, all things considered, but let me remind you that retirement planning is an important task that you must not overlook.
However, it is okay if you want to put retirement planning on hold right now and save up money to ensure you have enough money in hand should the need arise. If you have money to keep aside, then by all means, carry on with your retirement plan as before. But it’s okay to take a break if you’re suddenly finding yourself low on funds due to an unexpected pay cut or job loss.