Well, I heard something the other day that just always kind of sets me off. No, it wasn’t the announcement of Bo’s replacement. It was someone telling me that they thought health insurance was a big rip off and had they just put the money away last year, they would be way better off. They just didn’t use the insurance so why pay for it. Obviously, I couldn’t keep my mouth shut when you attack the one thing that I feel people don’t understand and so they see no value. First off, let’s don’t even consider that it is “insurance” and we will use just common logic. If you could purchase a product that would guarantee that you could go a full year with nor sickness, or injury and have perfect health, how much would you pay? Ten thousand? Twenty thousand? Maybe more. Again, this product would assure you of perfect health. Well, by having health insurance and never having to use it means that you didn’t get sick or hurt and so whatever you paid in premium, assured you great health. On the other hand, we know of people who got sick or hurt and those individuals truly find the value of insurance. You see, a hospital stay will run upwards to $50,000 to $100,000 and a major illness or injury can multiply those numbers dramatically. So unless you have significant reserves, you can find yourself owing providers more than you earn in a year. How can you ever pay that debt off? You can’t pay a large debt off with the small amount of money that you would save by not paying premium. Let me show an example of what I mean. Assume that your monthly premium would be $600 per month. You decide to forgo the insurance but that year end up in the hospital and are looking at a $50,000 bill. Because you are saving the monthly premium, you decide to make payments to the hospital of the $600. The hospital is willing to take payments but charges an interest rate of 6%. It will take you over 9 years to pay off that single debt. In the meantime, that means you won’t have money for insurance so the bigger risk is that you have another hospital or care need. Do you see the problem with this logic?
Professional agents need to be extremely diligent when talking to the public. Too many times we don’t stand up for the products we sell. We let discussion such as the one I was involved in sway too many others. Do you believe in what our products do? Are you willing to carry the message to the general public that insurance is not a rip off but a necessary tool for financial independence? Do you understand the benefits your product provides your clients? Do you take pride in protecting your clients? I hope you do and hope you will help spread the word.
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