Is having an insurance policy really a waste of money?
When it comes to the topic of Insurance, people tend to believe that it is a waste of money, especially if we never make any claims.
This is a common misunderstanding because people tend to expect to receive something back instantly during the exchange of transactions. For example, when buying a smartphone, you give money to the seller in exchange for the phone. You can see and feel it instantly. If you want to purchase a service, like a haircut, the barber will style your hair and then you give money to them in return. Contrary to these common transactions, for insurance, the exchange between you, and the insurance company is a promise that when an unfortunate event happens to you or the insured item, your finance will be secured.
In simple terms, if something bad happens to the person or thing that is insured, the company will pay compensation for that loss back. You can think of insurance as your car airbag, you have it installed in your car just in case an accident might happen, the airbag can save your life. However, both you and I never want to come across the day when we have to use it, do we?
Insurance helps you maintain your financial independence by making sure that you never have to rely on others to take care of unforeseen accidents.
For a free consultation, call us at 023 885 077.