The opinion piece; “How my Financial Adviser changed my life” – southcapenet | Oct 11, 2017 refers.
These types of stories have proliferated over the last few years and are indeed very scary as everyone today knows someone who has cancer, or has died of this terrible disease.
The point of the piece also is to enforce how important sound financial advice is from the outset and also that this advice gets regularly reviewed from year to year as personal circumstances change.
Whilst we focused on the disease aspect of our daily lives, we must not forget that many, many people die or are disabled from motor-related accidents the risk of which is extremely high in respect of anyone who is travelling by any form of vehicle.
Insurance, be it mortality, disability, health or accident, is a grudge purchase and one of those necessary ‘evils’ like a banking account. However the upside is exactly like your story that unfolded, that the insured person would have been destitute should it have not been for the financial advice and solutions that was rendered.
Allow me to demonstrate an incident where there was no insurance held. Child at school in science laboratory, don’t we all know this type of scenario. Kidding around, and an electrical accident causes 3rd degree burns to the teenager, the result of which was hospitalisation for 12 weeks and medical bills in excess of R1,5m. The result was parents selling all their assets to raise the cash to pay for the medical bills. The parents are now practically destitute and will never recover from this financial disaster in their lifetime.
These types of disasters occur daily around us to which we are mostly oblivious.
Let us sit back and think about these things, then realise that we cannot do without this type of protection; there are many solutions that Financial Advisors can recommend that will bring this affordability onto our financial radar.
Ian van Jaarsveld (MBA), (AEP)
MFP Independent Financial Planner
Momentum Financial Planning, a division of MMI Group Limited, an authorised financial services and credit provider (FSP6406). Reg. No. 1904/002186/06