• Tuesday, June 25, 2024
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41 million people set a life insurance new year resolution, here is why

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Have you noticed that seventeen days have already rolled by into the new year? After the festivities to welcome the new year, it is unravelling to many that the time to set this year’s agenda is gradually ageing.

With the prevailing global economic and financial realities, it has become imperative to be more deliberate in choosing the new year’s resolutions. Beyond the superficial, which are not insignificant, it is paramount to resolve to be more financially prepared for the unexpected this year. This plan should be at the top of your resolutions for the year.

One of the ways to be more financially prepared for whatever side of the coin life offers is to put in place risk management tools that ensure you live comfortably and head above water, no matter what life offers. One of such tools is a life insurance policy, and it is backed by data.

According to Insurance Barometer Study by Life Insurance Marketing and Research Association (LIMRA) and Life Happens, “an estimated 41 million people say they need a life insurance cover, but do not have it and are ready to add it to the to-do list for the year”. This data shows that a large percentage of people are embracing the need to have life insurance coverage while encouraging others who do not yet have it in their plans to do the same.

So, why is having a life insurance policy a must-have that about 41 million people around the world decided to build it into their new year’s resolution? Is life insurance such a big deal? This edition of Life Conversations identifies three reasons why setting a new year resolution around getting a life insurance policy is a priority.

Safety net for your loved ones

An efficient way to genuinely care for your loved-ones, who depend on you financially is to have a sure-proof plan that guarantees immediate financial support for them should life happen. While it is thoughtful to create beautiful memories and fun moments with those you genuinely care about, providing a safety net for your loved ones is much more critical. In this light, you must have a plan that ensures that the various support to your loved ones, such as education, health, and overall financial well-being, is not truncated should the surprises of living on mother earth suddenly whisk you away. This is the point we all say, “God forbid!”. True, but fortune has always favoured those smart enough to plan against unforeseen circumstances.

Indeed, these 41 million individuals have come to understand that genuine love should transcend beyond being present and that protecting your loved ones starts now. With a life insurance policy in place, you can proactively set up your loved ones on the part of financial security that ensures that a considerable sum is set aside for them, and their needs are taken care of, should you suddenly leave mother earth. For others who chose to take a chance, data show that their loved ones are more susceptible to economic misfortunes.

Shore up a cash reserve

The need for life insurance goes beyond providing proactive financial security for loved ones; it is also an opportunity to build a cash reserve that acts as a risk buffer for the future.

This step is a typical example of the local adage of “using one stone to kill two birds”. That is, build a cash reserve that you resort to when you are financially short, an assurance for wealth transfer to your loved ones, should the unforeseen happen. What a masterpiece financial management tool that unlocks wealth creation, wealth protection and wealth transfer in one go.

It is inexpensive

There is a massive misconception that insurance is expensive or designed for the affluents in society. It would amaze many how inexpensive insurance is, globally.

An example is a 20-year life insurance policy by an American insurance company with a sum assured of $500,000 (about N225 million) costs about $19 (N8,500) monthly. Incredible how 8,500 monthly contributions can potentially turn into a N225 million windfall for your loved ones, right?

In Nigeria, even those who earn at least the current minimum wage of N30,000 monthly can still make their loved one’s millionaires in the event of death. How so? This is where Leadway Assurance’s Life Insurance policy comes in.

The Leadway Life insurance policy offers a uniquely designed plan to help policyholders protect their dependents in the event of their sudden demise for as low as N10,000 annual premium contributions. With this policy in place, the named beneficiaries are assured of N1,000,000 in claims payout.

Knowing the irrepressible advantage of a life insurance policy, Leadway Assurance is deliberately at the forefront of educating Nigerians to build a safety net for their loved-ones whilst fostering a savings culture. This education also helps to correct the misconceptions about insurance and enlightens how life insurance remains one of humanity’s most effective future planning financial tools.

If you are interested in looking for how to protect your loved-ones proactively and efficiently with the Leadway Assurance Life insurance policy, speak with Leadway’s Financial Management Experts or kindly visit www.leadway.com or scan the QR Code at the top right or call the Leadway Assurance Financial Management Experts on 01-2800-700 or email [email protected] for professional advice on the next steps.