In times of crisis, many people rely on their insurance policies to secure their financial wellbeing. However, it is true that not all Filipinos get to enjoy the benefits of being covered.
In 2018, it was found that life insurance in the Philippines is still viewed as a liability rather than an asset, with only 16% of middle- and upper-class Filipinos owning life insurance products. You may be looking at paying for insurance as a burden now, but there will come a time when you’ll realize that getting covered is more of an investment that can safeguard you and your loved one's future.
Here are a few significant moments in life that can convince you to get life insurance.
1. 18th Birthday
Parents understandably only want the best for their children, and there’s no better assurance than providing them the protection of life insurance. Parents (or teens who can afford to do so) can apply for life insurance for their children once they reach 18 years old, which is indeed the best time because an early application may give them the lowest rates for the best coverage.
2. Landing Your First Job
Think of getting a job as the first step into building your wealth, as you begin to earn money by yourself. You can place your compensation into a worthwhile investment by applying for life insurance; or if you already have one, you can pay for supplemental benefits that offer a more comprehensive range of coverage not only for you but for your loved ones, as well.
Having life insurance is also a step towards paying for your retirement plans. Like in the case of getting life insurance as early as 18 years old, preparing for your golden years is ideally better off done while you’re still young as it will give you ample time to grow your retirement fund.
If you have a somewhat dangerous job or have to go abroad for work, life insurance is an assurance that your family is protected from any unwanted financial burden should anything happen to you while working.
3. Getting Married
Being wedded to your partner means sharing your life with someone. As your partner becomes an extension of your life, this also means that you have to safeguard him or her. Whether physically or financially, you can protect you and your spouse by applying for insurance that is perfect for married couples.
4. Having a Baby (or Two)
It’s been said that you can only truly understand the significance of insurance when you start being responsible for another person’s—your child—life.
As a parent, your priority in life is to secure the future of your children, which includes making sure that they will have access to education no matter what happens to you. In this case, life insurance and additional coverage can help pay off your child’s education should you meet an untimely accident that renders you unable to provide for the family.
Don’t forget to review your existing policies and check your beneficiary designations as you may need to update that once you have kids of your own
5. Starting a Business
Truth be told, you may need to apply for different policies if you’re starting a business, like property and liability insurance. However, it’s not uncommon to get life insurance, especially if you’re offering it as a healthcare plan for your employees (if you have any).
You’d also need a plan to cover you and your business partners. In the unfortunate event that you or your partner dies or become disabled, life insurance can buy the share from the surviving family of the disabled or deceased. In the process, the assets of concerned investors are also protected.
6. Buying a Car or a House/Property
Large purchases like a car or house require thorough planning. It’s a huge financial responsibility because it entails getting a loan or mortgage. Should anything happen to you, having life insurance can help your surviving family pay off the loan minus the financial difficulties.
Owning a property means incurring estate taxes, which your surviving family would have to settle upon your death. If you have a life insurance policy like Build Estate Plus, your family can use the coverage to pay off these taxes.
Aside from this, you may also need to equally distribute your estate among your family, who may or may not want to inherit a home or business. Life insurance allows the insured to get the value of the assets in cash so that the estate can be disseminated to heirs equally.
Get an All-in-One Solution
Ultimately, life insurance is made to safeguard you and your family’s financial wellbeing against uncertainties. No one can predict what will happen in the future, so the best way to avoid any burden is to be prepared for them with help from insurance.
Do not wait until these events have happened before you take action. Prepare in advance and consider applying for life insurance today. BPI-Philam’s Bancassurance Sales Executives will readily answer all of your questions about your preferred insurance policy. Learn more by visiting any of the 800 BPI branches today.