The Art of An Investment Plan – Part 3
Do you love your family enough to provide for them even after you’re gone? Have you given any thought to how you can provide for your family after you’re gone?
Stop for a minute and forget about how this subject makes you feel.
I know you don’t want to talk about death, especially your own. So let’s not. Let’s talk about how you can make your life one others envy and last longer than your body.
This is a tough question which will make you think beyond yourself. It will also expose what kind of person you really are: selfish or selfless. Normal people don’t give a thought to what happens to a person after their departure. The uncommon however, have a way to extend their love for another beyond their death. That’s what leaving an inheritance or a life insurance policy is really about. It speaks love beyond the grave.
Now that I’m a mid-lifer, I am happy that I can share a few tips to help others to have a life well lived. Today, you can decide whether you’ll be one of the uncommon ones who have a love for family that will be shown even after death. Let’s talk about being smart about life insurance.
Even Life Insurance Needs Diversification Like Stock Portfolios
You may have never heard this or no one has ever given this much thought until it was too late to do anything about it, but you need to diversify your long term investments that you’ll leave for others. Give yourself options. Most of us get an insurance policy and we’re done for life. Did you know you can obtain multiple policies and should? Maybe you couldn’t afford the one you really wanted at this season in life? It’s okay to get what you can afford or wish to afford now. You can always get another later. In fact, I believe in diversifying this. What if your only policy holder goes belly up or is a fraud? Then your loved ones are left with nothing. Pickup policies along the journey of life. You might wish to have policies for each member of your family or organizations that matter to you. In other words, be a planner.
Don’t be too aggressive in your life insurance policy. Hard times come to us all. There’s no reason you should place all your eggs in one basket. Opportunities will come at your left and right; it’s okay to take advantage. Here are just a few ideas on how you can diversify simply and inexpensively:
- Company provided life insurance. Most employers these days offer life insurance for employees and family members at very reasonable rates. Take advantage in the event something happens to you while employed. This can be one stream of many in your long-term savings for others.
- Personal life insurance. Search for personal life insurance policies that make sense for you. These are the life insurance policies that people try to sell you. Think of this as one item in a portfolio of long-term savings for the people you treasure most and the total long term savings package for others.
- Bank provided life insurance. This one is similar to the employer provided life insurance. Get a good bank or in my case a credit union who offers life insurance at reasonable rates. If you plan on sticking with a bank for decades, why not take advantage of their other benefits. It makes sense and it can make a huge difference.
Today is Friday!
Life insurance is a long term investment like retirement funds. The only difference is retirements are for you and life insurance is for others. At any rate, you should treat them with the same care and attention. It’s your life, your family, your business.