I often hear people say they are going to cancel their insurance because they don’t use it. Insurance isn’t something you should be looking to get more out of each year than you pay in premiums. It is there to give you better choices when something really bad happens.
Insurance is priceless
For the last 30 years I have been paying into private health insurance. Sure, I get some tax benefits from it, but I have never really understood the value of it. I always thought it was about going into a nicer hospital with better food and more staff. It’s not. It’s about being able to choose your own doctors and get the right care when you have something out of the ordinary.
Last year, at one stage I was seeing my GP, a cardiologist, an endocrinologist, and a surgeon – not to mention the four anaesthetists! The tumour I had was rare, hard to diagnose and often fatal – scaringly, around 50% of cases are diagnosed when they do the autopsy.
It was only by actively working together that my doctors found out what it was and were able to fix it. Without being melodramatic, if I went through the public system and didn’t have the same doctor all the time, I am pretty sure they wouldn’t have found it until it was too late.
Someone asked me recently whether I got more money back from my private health fund than I have paid in over the last 30 years. The answer is probably (given they paid out more than $250,000 for my care), but I don’t really care. To me, private health insurance is priceless.
You are your families most valuable asset
Often people insure their car and their furniture but miss out on their most important asset. Themselves. Too many people I see don’t have the right personal insurance. If they can’t work for an extended period of time, they would not be able to pay the bills. If they died prematurely, their family would be in dire straits financially. Having the right personal insurance is about making sure you and your family are protected financially if the worst happens. It gives you choices.
It is worth asking yourself if you:
- Are diagnosed with cancer and need extended treatment, can you afford to take time from work?
- Cannot work for an extended period of time, how would your family live?
- Have a child who gets sick and needs to go into hospital for an extended period of time, how would that impact your income?
- Died prematurely, what would your family do? Sell the family home? Move to a town where house prices are cheaper?
I specialise in helping people make the most of their money, and part of that is making sure they have the right personal insurance. If you want to discuss yours, book a chat via the button below or contact us on 0417 034 252 or at email@example.com.