Insurance or Investment

What comes first? - Insurance or Investment 

Many prospective investors come to me asking for schemes where they can get good returns.

But I don't start with investments. I start by asking them if they have taken health insurance and life insurance. Mostly, their answer is no. Even if they have taken, the coverage amount is low. It is then, that I tell them they should first buy/increase their health and life insurance cover. The investment comes later.

They say they first want to invest and later on spend on insurance. They consider insurance as an expense. This is so wrong. In fact, money spent on term insurance and health insurance may be the best investment. It safeguards the family if an unfortunate event were to happen.

During a crisis related to health, all your savings could be wiped off without sufficient insurance and in case of death, the family could suffer greatly due to loss of income.

Yes, dealing in investment is my main work but I know; that without proper insurance, investments may not last long.

Do review your life and health insurance. If you want my engagement, I am available.

CFP Vaidy