The main reason for buying insurance is for protection, especially for your loved ones. Life is unpredictable and in as much as we plan, life tends to throw us unexpected events that can leave us financially worse off.
For most people, insurance is unexciting and especially when you are paying premiums without seeing any tangible benefits. It therefore human nature to seek more exciting financial products like investment where you can see your money grow.
Insurance is a critical part of financial planning that ensures the investments you are making are protected. Insurance ensures you won’t have to pay the full cost of a loss.
People buy insurance mainly to:
Choosing an insurance policy is a matter of identifying what is important to you, is it your family, house, car, business, your watch, laptop, camera e.t.c. Please note that it can be more than one thing that is important.
