Insurance is an important aspect of people’s financial planning and yet it is marked by myths and half-truths that can mislead those who rely on them. If you are thinking about purchasing life insurance over the Internet or deciding to buy health insurance, it is important to cut through all the myths. In this blog, let’s discuss some of the biggest myths that people have about insurance so that you can make better decisions for your future.
1) I Don’t Need Life Insurance Because I’m Young and Healthy”
Among the most common misconceptions is that it is only required by the elderly or those with health complications. Some people think that they do not need life insurance if they are young, healthy and unmarried. But the fact is that few people know that it is possible to become a client of a life insurance company when you are still young and healthy, which can be regarded as one of the best investments.
Debunking the Myth: The cost of the premium is relatively cheaper when you are young and in good health than when you are older or have some diseases. What this means is that you can freeze at a low rate and have insurance in the future when you may not be in good health. Besides, life insurance is not only a way to support dependents but also to pay for debts, funerals, and other issues that can cause your family problems. Therefore, whoever wants to buy life insurance online or from agencies, do not wait until you are old or develop some health complications; buy life insurance when you are young and be financially secure.
2) Health Insurance Is Only for People Who Get Sick Often
The second most important misconception is that health insurance is only for people who often go to the doctor’s office or who have chronic diseases. This is a common misconception among some people, where they think that they do not require the services of an insurance company to cater for health expenses hence they will be better off should they be required to spend a few amount on medical bills.
Debunking the Myth: It is not a luxury item that only the chronically ill should purchase; it is protection that has value for everyone. Medical complications are unplanned and expensive, especially if one is not insured. Health insurance also goes beyond normal check-ups but also includes emergencies, operations, and other ailments. Also, many plans provide preventive care which can assist you in avoiding medical issues in the future which will be expensive to treat. If you have been waiting for the right time to purchase health insurance, you should not because your health is something you should always insure.
3) Life Insurance Is Too Expensive
Most individuals shy away from purchasing life insurance because they think it is too expensive. This still holds true despite the fact that there are many types of life insurance policies that are affordable depending on one’s financial status. This has resulted in a common belief that life insurance cannot be afforded; hence, people put off getting it until they feel they can afford it.
Debunking the Myth: When it comes to the cost of Life insurance, one would be shocked at how cheap it can be especially when getting a Life insurance quote online. For instance, term life insurance provides a high amount of coverage at a lower price as compared to whole life insurance. The only way is to compare the offers and think about personal budget and necessary insurance. Do not be put off by the myth of high costs, as this will cost you your financial freedom. It may take time and effort to come across a policy that is suitable for your needs and has a reasonable price.
4) Employer-Provided Health Insurance Is Enough
Most employees depend on their employer’s offered health insurance plan, thinking that they are adequately protected. Even employer plans are helpful, but this belief may make you insufficiently insured in case of changes in your life or job.
Debunking the Myth: Health insurance received through the employer is a great privilege, but it might not suffice to cater to all your health needs. These plans have their drawbacks and include high deductibles, co-payments and a limited number of providers. Further, it can be discontinued if you lose your job or switch employers, or if your employer stops contributing to the plan. That is why it is recommended to buy health insurance on your own as an addition to your employer’s insurance service. In this way, you can choose the coverage that will suit you and continue your treatment even if you change your job.
5) Life Insurance Is Only for the Primary Breadwinner
Many people think that life insurance is needed only for the family’s main earner. This myth does not include non-working spouses or stay-at-home parents who, if removed, would
cause a strain on the family’s financial capacity.
Debunking the Myth: The death of a non-working spouse or stay-at-home parent is likely to result in additional expenses such as paying for child care, household help, and other services. These expenses can be met by life insurance and the family can be able to live the same standard of living as it used to. Even if you are not the main earner in the house, it is about time you think about the consequences of not having an income and buying life insurance online.
6) Health Insurance Doesn’t Cover Pre-existing Conditions
For this reason, most people do not go for health insurance because they are convinced that pre-existing conditions will not be addressed. This myth can discourage people with pre-existing conditions from getting the required health coverage.
Debunking the Myth: Today’s health insurance policies do not exclude pre-existing conditions, but they do so after a probationary period. With the help of the rules and changes, insurance companies are unable to reject policies and quote unreasonably high premiums based on pre-existing conditions. If one has a pre-existing condition, it is advisable to take a health insurance policy that offers the needed coverage after the waiting period. This guarantees you an affordable price for health care services in case you need any medical services.
Conclusion
It is important to understand the reality of these myths when you are planning to purchase insurance. Understanding and realizing these myths are important when you are to buy life insurance online. Do not allow myths to hinder you from planning for your financial future. With the right information and attitude, you can select the right insurance products that would provide adequate coverage to you and your family.