James Lawson, Partner of Berkeley Wealth Management, which offers independent, unbiased financial advice in Romania, talks about the importance of Life Insurance.
In an increasingly uncertain world financial security is essential. If you were to suffer serious injury, illness or worse the last thing you or your loved ones want to worry about is the ability to cope financially.
Since no one can predict what the future holds, it is vital that we plan for all eventualities and this includes making sure that life insurance is part of your overall financial plan. We often ignore life insurance – however, for a relatively low cost it is a powerful tool to help meet a wide range of personal and financial objectives.
Most people are familiar with life insurance as a way of providing funds to replace lost income in the event that a family breadwinner passes away. However, it can also be used to pay off existing liabilities such as mortgages and bank loans, as well as providing funds for school fees for children and grandchildren.
At Berkeley Wealth when discussing life insurance with clients we focus on four key areas:
Income replacement: Especially pertinent for younger families – as the “breadwinner” you need to make sure you have sufficient life cover in place to protect your family in the unexpected happens.
Wealth replacement: A life policy is an inexpensive way to pass significant wealth to your next generation. It also allows you to spend your own personal wealth today rather than worrying about leaving a cash legacy.
Estate planning: Life insurance written in Trust will ensure funds are available to pay estate duties, expenses and other taxes.
Business Planning: if you’re a business owner you may rely on the number of key people for the successful operation of your company. Keyman, Partnership and Shareholder covers are all vital aspects to any business.
If you are from the UK and you have existing cover it is also important to make sure that you check your policy wording to make sure you’re covered when living outside the UK as many providers do not cover you beyond mainland UK.
I would be very happy to provide more detailed information and advise you which provider and solution would be the best for your unique situation. Please don’t hesitate to give us a call if you would like to know more about this subject, or if you’re interested in a free no obligation Life Cover quote.