We have all heard of this saying before: “The best time to get insurance is when you are young and healthy”
But why is it so? What are the consequences of not doing so
Because besides the fact that insurance will be cheaper when you are younger, you will never know what might happen to you.
If you happen to sustain any severe injuries due to an accident or contract any illnesses, you’ll have a chance of not becoming insurable!
Because insurance companies will see you a bigger risk, as the chances of them paying out to you will be higher!
So in order to protect themselves,
Insurance companies will do one or more of these things to reduce their risk:
1. Increase your premiums (which is called loading)
This means you have to pay more for your insurance coverage.
2. Exclude coverage on your pre-existing conditions
For example, if you have a spine injury and if they decide to exclude it, you will not be able to claim for any spine related treatments!
3. Reject your entire application as a whole
This means you won’t be covered and you will have to bare the burden of paying your own medical bills for life, which can run up to hundreds of thousands of dollars depending on your medical condition in the future.
So these are the main reasons why it’s so important to get yourself insured when you are young and healthy.
If you are unsure whether you are fully covered or not, you can contact your trusted Financial Advisor or leave me a private message.
If you wanna check out the video version of this article, check it out here !