Insurance can be a
confusing or intimidating subject because of the technical terms as well as
many misconceptions about it. AXA Philippines, one of the country’s leading
insurance providers, dispels some of the popular myths about insurance by
giving basic facts to help you make an informed decision.
Myth
1:
Insurance is expensive.
Fact: Insurance products are designed
for different needs and therefore, vary in costs depending on the coverage. Online
calculators and speaking with a financial advisor can help you figure out the
right plan for your needs and budget.
Myth
2: Young
people do not need insurance.
Fact: Getting insurance while
you are young is ideal since premiums will be much cheaper. You are also
usually less prone to develop medical conditions that can drive up premiums.
Policies will be more expensive the older you get and the longer you wait.
Myth
3: Poor
health makes you unqualified for coverage.
Fact: Some insurance companies
like AXA can cover a range of health conditions that may be excluded in other
health plans. AXA’s health coverage can include minor illnesses as well as
critical conditions like heart attack, stroke, and cancer.
Myth
4: The
group life insurance or HMO coverage provided by your employer is enough.
Fact: While company insurance
can be a great help, it might not be enough to cover your family in the long
run. Your employer might get you a life insurance equal to 1-2 times of your
annual salary, but you could lose it if you leave your job. Having your own
personal insurance policy can help ensure that you and your family will be
sufficiently provided for financially.
Myth
5: It’s
better to save my money in the bank than to buy an insurance policy.
Fact: You can always do both. With
insurance products, you can ensure that your loved ones will be protected in
case something happens to you. Some life insurance products, like AXA’s
MyAmbition, even allow you to invest your one-time payment so your money can
grow. Best of all, it’s available online!
Whatever decision you make
regarding insurance, it’s always good to be well-informed. Talk to a financial
coach who can answer all your questions and can also recommend the product that
best suits your needs. Connect with an AXA financial advisor via www.axa.com.ph/appointments.
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