Do you really require life insurance?
S Lakshmi Narayanan Srinivasan
Retirement planner|Personal Finance Coach
Financial freedom is to live the lifestyle of your choice without dependent on an active income
Active income is one which requires your physical present and efforts to generate it.
S. Lakshmi Narayanan- Personal Financial Planner| Financial Freedom Coach- 9945643550
In this series of articles, I write articles on personal finance which will be of immense use to the reader and most of these are born out of my experience of guiding my clients to financial freedom.
Do you really require life insurance?
As a financial planner my first 3 steps to creating a financial plan, guiding my clients to their financial freedom, is to examine their contingency fund, life insurance and medical insurance.
S walked in to my office for a financial freedom consultation. She is in her forties, is not married, and lives with her parents. Her parents are financially independent and does not depend on her income. I asked her if she ever plans to marry. She replied in the negative. My decision on her life insurance is made. She does not require a life insurance
It is not that all people require life insurance
Let us find out what life insurance really is?
Life insurance replaces your present and future income to your family, god forbid, should something happen to you and you go to meet your maker earlier than you thought.
You need not take life insurance of any sort if
Please note that any premium that you unnecessarily pay towards your pure term insurance, will reduce your investments which will hasten your journey to your financial freedom.
Always consult a financial planner who will help you decide whether you need a life insurance cover and if you require, how much pure term insurance you must take.
After all, the safety and security of the people that you love is paramount.