Your World Without Life Insurance: 5 Mad Risks NOT to Take!

If you’re one of those millennials who are educated about the importance of getting a life insurance plan but haven’t picked the right time to buy a policy or keep postponing it till another year, this article will, hopefully, extinguish any inaction on your part. If you’re a superhuman who thinks that no kryptonite in the world (and outer space) combined can take you down, this article could be your saving grace! Please read on, because here’s 5 risks you definitely do not want to take in times like these:

Risk #1. Leaving Your Surviving Dependents Unprotected

Are you the sole breadwinner of your family? One doesn’t invest in life insurance for his or herself—it’s a measure any wise adult takes to look after their loved ones even after they’re gone. With a life insurance policy in place, you can effectively replace lost income should misfortune hit, keep paying for your child’s education, and make sure your beloved spouse inherits financial security in his or her time of need. It’s a sure sign you’ve come of age, when you can prepare for what’s ahead.

Risk #2. Letting Debts Swallow Up Your Loved Ones

What happens to your loans, or your dependents’ instalment plans, if you are no longer around? Like your loved ones, they go on, month after month, collecting debt! Now outstanding loans would be taken care of if you happen to buy the right life insurance at the right time. But what if you don’t do so? It’s one thing for your loved ones to deal with the sorrow of loss, and another to suffer the crushing burden of being repeatedly harassed by debt recovery agents. A life insurance is your best continuity plan, for instance ManuWhole Life insurance ensures death plus total and permanent disability (TPD) payable to your appointed loved ones in one lump sum upon your death or TPD. In such an event, you will be leaving behind a legacy of love and security, not liabilities.

Risk #3. Letting Taxes Tax You Till You Go Mad!

Not many millennials know this, but insurance holders enjoy the often underestimated benefit of substantial tax deductions come April, yearly! Ironic as it seems, the more policies you hold, the less taxes you pay. What a relief! You work hard daily for your income, and a percentage of that gets painfully deducted from you every month. However, to save on income taxes, there are many options to choose from such as  a Term Life, a Whole Life insurance, or an Investment-linked plan with a Medical Card, to reduce your taxable amount. To learn more about Lembaga Hasil Dalam Negeri’s tax reliefs (2019 year of assessment for individual residents), read more here.

Risk #4. Having Long-Term Goals Without An Insurance Plan

Not everyone is lucky enough to strike the lottery ticket or chance upon a million-dollar inheritance from a rich relative. For the rest of us, there’s life insurance! It is a practical instrument that keeps you invested for the long term so you could achieve future goals like buying a home or planning for your retirement. 

If you are pondering about Investment-linked plans, imagine the flexibility to cover various type of protection needs while staying invested in investment-linked funds suitable to your risk appetite and achieving your desired returns. Some sees it as a form of savings, with the extra money paid on premiums gets invested to accumulate cash value—which you can withdraw anytime from the policy when you’re in need of sudden additional cash. 

To stay protected and reach for your life goals, check out our Manulife Investment-Linked Plans today. (Be sure to read the fine print to understand the potential risks and returns when opting for an investment-linked policy.)

Risk #5. Waiting till life insurance gets more expensive (or you don’t qualify at all!)

Insurance premium gets heftier the longer you wait. Generally, when you’re young, single and sprightly, with a good family health history to boot, that is the best time to buy life insurance. Your insurability is at its peak, and you can enjoy cheaper rates! 

Also, be aware that when you purchase life insurance, you will need to declare any pre-existing self or family illness. By insuring yourself before any illness strikes, you can ensure that you qualify for insurance claims when you need it most. On the other hand, if you suddenly fall ill minus an insurance plan, you may not be qualified to purchase one at all. 

Why take that risk? Have a life policy in place that remains in force in case your health takes a downward spiral later on, or any other unexpected family emergencies arise. This applies especially to singles who are providing financial support for ageing parents or a sibling with special needs.

Let’s face it, life is risky. Full of uncertainties. Buying a life insurance policy allows you to measure the risks and seize every new day, unafraid.