Just exactly what is the ‘right policy’? Certainly, it could be a particular insurance policy – a great bells and whistles disability income policy or a high deductible health plan backed with a generous critical illness option and a rich accident rider.
But maybe it’s more than that.
Maybe it’s about taking stock along the way and planning for emergencies and some of life’s what if’s – before the crisis, before the worst happens. No one needs to buy coverage for every electronic gadget, vacation and toy. But if you count on your monthly income to keep you afloat, it is a good idea to think about ways to protect that income. And how well do you understand that health plan you have? Does it really cover what you think it does? Do you know the difference between ‘non-cancelable’ and ‘guaranteed renewable’? Do you remember the elimination period for your group long-term disability insurance? Is term life really the bargain they say it is? Does any of this stuff matter?
Yes. It matters. It matters if you are counting on any of these plans to be there when you need them. And it matters because they cost you money, and money is hard to earn, and even harder to hold on to.
So back to the ‘right policy’. Learn all you can about the coverages you buy. Learn how they work and what they do, and what they do not, cover. Find an insurance professional who is willing to take the time to get to know you, one who listens to you and answers your questions. You do not need every product or plan; some risks are highly unlikely and not worth losing sleep over, while others are well worth the money.
And of course, you still need to eat your vegetables, get enough sleep and exercise every day. Gran will be so pleased!