First step towards being rich
I was reading through many books to know, how people became wealthy. The first book I read was from Robert Kiyosaki: Rich dad, poor dad. one thing I came to know in each book was that to become rich faster, people have to make their priorities straights. they should avoid buying extra things for comfort and focus on buying assets only.
The first asset anybody needs are insurances. It helps us in case of uncertainty. To free your mind from uncertain events, insurance is necessary. There are three insurances each individual must have.
- Term insurance
- Health insurance (medical claim)
- Accidental insurance
- Term Insurance
This is a protection against your income. what if something happens to you, who will take of your family? how will they manage financially? Term insurance is the answer to that question. term insurance premium can be spanned over 5 to 20 years. with more years, the premium becomes minimum but the total amount paid increases. after paying all the premiums, you will be insured for 65 to 80 years depending on your policy vendor. The kind of death covered here includes natural, accidental and even suicide. your family will benefit the amount insured in case of any event which causes your death.
- Health Insurance
Nowadays many diseases are spreading and chances of you getting ill are also increasing. with big diseases comes the big cost. It can be very problematic if you can not afford these facilities. In such cases, having a medical claim or health insurance can be very handy. Beware that if you think you will get one when there is big operation coming then let me tell you, you cannot avail claim on your current disease. you must have health insurance two years beforehand if you want the claim. Before buying medical claim, the vendor will conduct full body checkup and then will cover your existing diseases only after two years. so cannot dig the well when there is fire. you must be prepared beforehand.
- Accidental Insurance
It is the worst case scenario. If something were to occur to you in an accident then your family won’t have any financial problem. Nowadays medical claim and term insurance include accidental insurance. so you won’t have to buy it separately.
Thank you for reading!
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