THE SITUATION OF LIFE INSURANCE IN THE PHILIPPINES

As we get older, our priorities and goals are switching, and our perception in life becomes deeper. When we start working and earning money, we create budgeting plan, set aside the basic necessities and our luxuries. Money becomes indispensable for people who consider their selves as breadwinners or the main sources of income in their families. As the generation revolves, the quality of living has an economic value as long as the purchasing power is able to compensate the growing needs of the humans. In economics, it is always necessary to discuss the demand and supply, and the resources versus the wants of mankind. You will notice that in studying economics, the demand and supply are set apart by a gap while the resources and wants are set apart by scarcity and unlimited. It is also the same as our ability to earn money and some determinants that will adversely affect our productivity. When an employee becomes sick, he would ask for sick leave so he could redeem his strength or in a serious illness, he would get hospitalized so he could be treated. And a worst case scenario, one life might be gone due to malignant illness or accident. In the Philippines, it is just a usual incident seeing on the news about killings and accidents. In the Philippines, many Filipinos are being admitted in the hospitals and some are unfortunate and simply die because of inaccessibility of medical services and assistance, lack of educational awareness about life insurance. According to the Philippine Information Agency, there are 92% of Filipinos covered by PhilHealth. And this is a common mistake that most Filipinos understood in terms of insurance. Government’s health insurance is a government responsibility that must be given as a result of a collective effort of tax contribution of Filipino taxpayers. Life insurance is totally different.

Life insurance is another form of a long-term individual investment. It is almost the same concept as educational plan; except for the purpose, it is being used. A life insurance is a contract, whereby a party agrees to pay another a certain sum of money (in the form of investment) in the event of the insured’s death from any cause not excepted in the contract or upon surviving a specified period of time or otherwise contingent on the continuance or cessation of life. Its main provision is to protect against financial loss, substitutes certainty for the uncertainty. The value of life insurance contains the solutions to the problem of protecting human life values against inevitable economic loss through death, disability and old age. In the Philippines, there are several life insurance companies who are solely operating as insurance companies, but there are other insurance companies which are affiliated with different local banks. The application can be done directly to the local banks or to the insurance agency. By investing in a life insurance, a policy owner is entitled to basic services of life insurance such as family protection during premature death, retirement income during old age and guaranteed savings during disability. Among the benefits that a policy owner is entitled are death benefits during premature death, maturity benefits during old age and cash values during disability.

With numerous changes the way Filipinos live, life insurance must be part of priority plan in the income distribution. Whether an overseas worker or a local employee, life insurance must be taught and to be spearheaded by the government so it will be more adaptive and more participative. Health insurance might be good to a certain extent, but it is always best to live with confidence and comfort knowing that a Filipino is secured at all times. Since the government is the central institution in executing projects, the government must serve an exchange platform in ideas and information through several seminars and training. In this way, it would be more accessible and citizen-friendly with the objective of harmonizing the conflicting views on matters of life insurance.

Educating the Filipinos is the best way to introduce the importance and the benefits of life insurance to the public. Getting and being insured is a right of all Filipinos. This will help to alleviate the disparity of level of rich and poor in the society. An insured citizen will build confidence to the development of the local community and will surely provide big impact to the sustainable development of the nation.

 

To know more about life insurance, schedule a FREE and NO OBLIGATIONconsultation NOW. Email me at billones.arnold@gobrighterlife.com

Disclaimer: This website reflects only the views and opinions of the author and is not part of any official communication tools of any life insurance and investment company. The views and opinions on this website do not necessarily reflect those of the company, the management, the advisor/agents and the employees of any insurance or investment company.

WHY LIFE INSURANCE MATTERS

gobrighterlife.insuranceAccording to study, 9 out of 10 Filipinos are not prepared for retirement. Filipinos are anxious about what will happen after they stop working. According to the source “From Challenge to Opportunity: Wave of the East Asia Retirement Survey”, before retiring, there are three things they worry about: poor health, exhausted savings, and no one will care for them. 78% of elderly retirees are actually living with the care of their children. In the survey, most of the people object the idea of family being the main source for lifetime support. 66% of Filipinos do believe that government should be responsible for providing income for retired people.

Why must life insurance take over?

  • Worry no more. Imagine yourself in your old age free from worry where to get monthly income. Retirement may be worrisome for others but you don’t need to be anxious over the next day if you prepared it earlier. You’ll get bigger retirement funds if you start saving or investing ahead of time.
  • Your own income will save your family’s relationship. We don’t want to be a burden to our family when old age comes. 45 out of 100 retirees depend their lives on their relatives. True, your grown-up children may not complain about anything when taking care of you, but how about the family of your children? Besides, your children have their own family responsibilities – they pay bills, pay for their children’s school expenses, and for other essentials of their family. Having your own income will avoid conflicts between you and your child’s spouse.
  • You can travel! After your retirement, you may think how to spend the rest of your lives. You lived your whole life working day after day with insufficient rest. It is now the right time to live your life the way you want it to be. You can spend traveling after your retirement or spend a vacation with your family.
  • You should have enough money. After retirement, you must make sure that you have enough money to spend for your basic needs, money to pay for your bills and mortgages. Who is the one responsible for paying these bills if you did not prepare yourself for retirement?

Life expectancy for female Filipinos lasts until 72 years of age. Let us say you retire at the age of 60 – that is 12 more years to live. This is our calculated value we have when you spend ₱50.00 per meal three times a day:

₱50x3 meals a day = ₱150.00x365 days per year = ₱54, 750x12 more years of life expectancy = that is ₱657, 000

This calculation is limited only for your food expenses. It doesn’t include other expenses you need to pay for your lifetime. That is why you need insurance at the time of your retirement. As long as you are living you need money to supply your needs.

  • Old age means poor health sometimes. The average retirement age in the Philippines is 60 and not beyond 65. It means, with that age, you can feel the weakness because of old age. Is your retirement pension enough for medical expenses? Many citizens feel that pension is not enough to cover all their expenses. This is true when it comes to medical expenses. It takes a lot of money to spend. Insurance will help you to lighten your burden.

Worry no more, you can retire with peace of mind.

Retirement should not be scary. It should mean well job done, and retirement is a treat for yourself after many years of serving, but only if you had a better preparation back then. Gone were the days you need to wake up before dawn, the days where you go through many hassles just to reach your workplace in time. Gone were the days where you badly want to spend your time with your loved ones but there is a pile of works you need to finish. Gone were the days of stressful nights. All the fantasies you had a long time ago are now at your hand and that will be all possible with life insurance. Long vacations? Staycations? Shopping with kids? Treating your family?

 

To know more about life insurance, schedule a FREE and NO OBLIGATION consultation NOW. Email me at billones.arnold@gobrighterlife.com

Disclaimer: This website reflects only the views and opinions of the author and is not part of any official communication tools of any life insurance and investment company. The views and opinions on this website do not necessarily reflect those of the company, the management, the advisor/agents and the employees of any insurance or investment company.

 

WHY YOU SHOULD INVEST IN MUTUAL FUNDS

Rather than saving money, many embraced the idea of investing money to make it grow. Saving your money into your bank account is also a good idea, but its interest is too low compared when you invest your money to mutual fund.

Then, what is mutual fund?

Mutual means a group of people coming together or having the same goals. Funds mean a pooling of money. A mutual fund is a pool of money invested by investors who wish to maximize their wealth. Therefore, it is a group of people putting their money together and their main objective is to invest in securities such as stocks, bonds, money market instruments and similar assets. The professional fund manager is the one responsible for developing and maintaining a diversified portfolio of security investments.

Why Invest in Mutual Fund?

  1. Big Interest Rates. In fixed deposit, the annual return will be 8-10%, but mutual funds can give you bigger returns of 12-15% every year. Some mutual funds can even give almost 8-10% percent every month or 70-80% annually.
  2. Financial Experts. Fund managers are experts when it comes to managing the investments given to them. Typically, fund managers were post-graduates in finance degree. They studied several years related in stock analysis, and investment management. They are an expert by qualification and experience.
  3. Mutual funds are bringing small investors closer to financial markets. The fund manager who is an expert by qualification and experience takes action in investing your fund in form of mutual fund units. You do not need to release a large amount of money in this business scheme. With the average price of stock, you can participate in capital gains of potential companies.
  4. Tax-free. Mutual funds do not deduct tax at source of dividends, mutual funds themselves are totally exempted from tax on all income on their investment.
  5. “Do not put all your eggs in one basket.” Mutual funds manage your money in a diverse portfolio. That means mutual funds are managing to avoid risky investments.
  6. Keeps Money Market Active. It provides stability to share prices, safety to investors, resources to prospective entrepreneurs.
  7. Providing Research Service. Investment is done purely on basis of thorough research, and the investor gets the benefit of the research done by the fund.
  8. Support Capital Market. It provides a sustainable domestic source of demand for capital market instruments. It also provides valuable liquidity to the capital market.
  9. Promote Industrial Development. It provides financial resources to the industries at market rate. It creates a demand for these capital market instruments.

“Do not put all your eggs in one basket.”

When investing, we are minimizing the risk. Investing in mutual funds is a good choice to multiply the money you invested. As quoted “Do not put all your eggs in one basket”, it applies with investing money in mutual funds. We do not want to lose our hard-earned money, but we make sure that the money we earned is gaining interest. In mutual funds, you let your money work for you, instead of you working for money. Start your investment now! More time spent investing means more time money gaining!

“Don’t work for money, make it work for you.”

To know more about life insurance, schedule a FREE and NO OBLIGATION consultation NOW. Email me at billones.arnold@gobrighterlife.com

Disclaimer: This website reflects only the views and opinions of the author and is not part of any official communication tools of any life insurance and investment company. The views and opinions on this website do not necessarily reflect those of the company, the management, the advisor/agents and the employees of any insurance or investment company.

TOP 5 REASONS WHY LIFE INSURANCE IS IMPORTANT IN THE LIFE OF FILIPINOS

gobrighterlife.com.insuranceMost Filipinos avoid or don't want to talk about life insurance because it means discussing benefits from someone’s death. Before, only the beneficiaries can enjoy most of the insurance benefits. Up to now, this is what instills in our minds and one of the reasons why life insurance is not popular in the Philippines.

If you will ask someone to choose between phones, laptops or other gadgets and life insurance for sure they would choose gadgets because they can easily see and enjoy their benefits. They would think that life insurance is just an expense because they are paying for something they haven’t enjoyed.

Time has changed; nowadays life insurance has many benefits to Filipino family. Let us discuss some of them.

  1. INCOME REPLACEMENT

We work hard to provide family needs and give the best to them. However in case, the breadwinners die a natural death, sickness or accident, dependents will definitely be affected. This can be emotional, psychological but most especially financial. Without the breadwinner’s income dependents will struggle where to get money for paying school bills, household bills, buying foods and other daily expenses. This could affect their financial and emotional stability. Proceeds from life insurance policy can act as an immediate replacement to the breadwinner’s lost income. Family members can use this either to start a business or invest in any financial tool that will earn an income to support the monthly expenses. Just make sure to manage properly so that funds would not dry up.

  1. EDUCATIONAL FUND

Most Filipinos believe that the best inheritance they can give to their children is education. But nowadays education is getting more expensive and the government’s support for education is limited. The premature death of parents or breadwinners will cause uncertainties for young children’s future. Good thing, some life insurance policy now can cover, if not all but, part of their children’s education expenses. Since this is a life insurance the premium will be waived in cases of total disability.

  1. MEDICAL EXPENSES

“Health is wealth. “ I always hear this since I was young but only realized what it meant when I experienced it. Hospital bills, laboratory examinations, and medicines will drain whatever savings you have especially if you are not prepared. Some life insurance policies offer benefits in case you acquire one dreaded disease. Depending on the type of policy, the amount of money will be immediately available after submitting the required documents.

  1. EMERGENCY FUND

You can withdraw from accumulated fund value to finance emergency situations. These fund value may not be easily accessible like bank’s ATM but will definitely a big help.

  1. FUNERAL EXPENSES

Death is inevitable. Nothing can replace you from their heart, but planning ahead with life insurance can make things easier for them. Death benefits from life insurance can cover funeral expenses without additional hardship and further stress for them.

Life insurance is never a fun conversation to have. But when you talk to someone who genuinely thinks of your welfare, you may find life insurance as something you want and not only need, to protect your family, dependents, business and even your legacy.

The best time to get life insurance is NOW. You don’t know what tomorrow brings so it is better to be prepared.

To know more about life insurance, schedule a FREE and NO OBLIGATIONconsultation NOW. Email me at billones.arnold@gobrighterlife.com

Disclaimer: This website reflects only the views and opinions of the author and is not part of any official communication tools of any life insurance and investment company. The views and opinions on this website do not necessarily reflect those of the company, the management, the advisor/agents and the employees of any insurance or investment company.

 

8 REASONS WHY YOU NEED LIFE INSURANCE

Gobrighterlife. com.InsuranceAmazing Facts with Life Insurance

Everyone struggles to attain a good future, comfortable, and a happy family life. Every person works all day and an average of 260 days a year. Why? We all work to have adequate foods on our table and to support our daily needs, but have you thought about your future? Are you going to work for the rest of your life to support your needs? Will your salary last until your last breath? Tomorrow may have their own anxieties but being prepared now will make things easier in the years to come. If you are in your 20’s, you may think that planning your future is too early or saving a penny is not important if you’ll have pension soon after your retirement. But is it so? People barely ponder over the importance of lifetime insurance, but probably it will save your life!

You’ll never know what tomorrow brings, but with life insurance,  you ensure your future!

8 reasons why you need life insurance:

  1. You’ll never know what tomorrow brings. There are lots of uncertainties in life. Unexpected illness or accidents may happen at times we least expected. Having a life insurance will save your family’s future. Even when you’re gone, insurance will help your family pay the mortgages, college expenses, and bills.
  2. Death should not be a burden to your family. Do you know that the funeral service costs range from 18,000 at the lowest end of the market to a whopping 2.5 million? Your family has enough burden to handle, including their emotional stress. If you buy life insurance, it will pay for your funeral service, and your family will not need to worry about payments for funeral services.
  3. We can’t escape the reality – we get old and we get sick. When terminal illness suddenly appears, the family will do everything to pay for your hospital expenses. Hospital expenses are more than enough to consume all your savings. Spending for hospital expenses also means being financially bankrupt or unstable. Lifetime insurance can pay for hospital expenses when unwanted circumstances arrive.
  4. Insurance frees your family from debt. The surviving family members may experience tremendous burden when unwanted debt pass through them. Lifetime insurance will help you cover all your financial responsibilities after death.
  5. Before death, we make sure we leave something for a good cause. If you don’t have much family to handle, or you are living single in your life, you can choose to let a charity benefit from your insurance.
  6. Insurance is affordable. Most of the people don't consider an insurance because they think it’s a lot of money to spend, but little did they know that without insurance, you can lose more money than you expected. You don’t have to invest all your money in lifetime insurance. You can invest an amount of money depending on your means.
  7. It saves your business from financial loss. When a business holder or business partner dies, the business is at stake. Insurance will save your business from financial loss and instability and it will help the company to be stable.
  8. You don’t need to work for the rest of your life. Lifetime Insurance can supply your retirement. With life insurance, you can invest a certain amount of money for your retirement savings and in return, it will be useful for future use. Retirement savings invested in lifetime insurance can be used as long as you live.

The family is where the love is, life insurance express it the best way.

Investing in Life Insurance will give you enough peace of mind. It also gives peace of mind for your family as well. Imagine them free from burden when unexpected happenings occur. If you are the one paying for bills, and they depend on you, you have to consider an insurance to ensure your family in the financial state. Insurance is not limited to elderly or those who are raising a family. It applies even to the young ones who are just starting a job. When you save early, you can benefit more in the future. Get covered while you can, so you’ll never regret it in the future when getting insurance turns to be hard.

Will you wait for tomorrow? NOW is the right time to ensure your future!

You don’t know what tomorrow brings so it is better to be prepared.

To know more about life insurance, schedule a FREE and NO OBLIGATIONconsultation NOW. Email me at billones.arnold@gobrighterlife.com

Disclaimer: This website reflects only the views and opinions of the author and is not part of any official communication tools of any life insurance and investment company. The views and opinions on this website do not necessarily reflect those of the company, the management, the advisor/agents and the employees of any insurance or investment company.

 

Blog Post Title

Blog Post Title

What goes into a blog post? Helpful, industry-specific content that: 1) gives readers a useful takeaway, and 2) shows you’re an industry expert.

Use your company’s blog posts to opine on current industry topics, humanize your company, and show how your products and services can help people.