By: Financial Gladiator

Financial Gladiator
Sat, 11 May 2019 04:19:34 +0000

A welcome reminder of the (lack) of value of insurance. I don’t doubt it has its value in certain black and white cases. Here you mentioned two cases of insurance companies not paying up when agreed. I find this deplorable and that is why I prefer to pay up myself if needed.

I, hence, prefer to minimise insurances. I have real estate (given my real estate holdings) and the most basic hospitalisation insurance. That is it.

I prefer to pay cash if needed to get treatment. Hence I have 3-5 years of living expense in cash set aside. In addition my family members get an annual summary of my investment and cash holdings (and how to access them) in writing in case of me being incapacitated to make decisions myself. I have notary agreements in place to access funds in emergency situations.

My family members also know what they should do in case i become a vegetable. Last thing I would want is my family keeping me alive without purpose in case i become a vegetable. For all other cases i can decide myself if that time would ever come.

Most people never think as far as being incapacitated to make decisions. But it is so important to let your loved ones know your wishes, burial preferences, and how to share any excess cash in case of the worst case scenario.

It is morbit to plan for your demise or incapacitation, but it can save a lot of agony, disagreement, and lost money.

I am all for it.