Insurance isn’t black or white
When it comes to insurance, it can be easy to think in binary, black-or-white terms. You either have it or you don’t have it. When I ask people if about their income protection insurance...
Category: Insurance
How I money
(Technically, this article should be titled “How WE money” because everything I do, I do it with my wife.) One of the things I pride myself on is providing financial advice that follows the...
What does wealth mean to you? [VIDEO PRESENTATION]
This week I gave a 30-minute presentation to a group of engineers. I talked about investing and insurance, while emphasising the importance of making financial and lifestyle decisions that are in line with YOUR...
You’ll never have the “right” amount of insurance (but don’t let that stop you)
You’ll never have the “right” amount of insurance, and that’s because we’re dealing with uncertainty. Working out how much insurance you need is hard. You can only tell whether you need insurance with the...
Insurance, commission, and the separation of church and state
If you know anything about me – from meeting me personally, reading this blog, or understanding how my business works – you’ll know that I’m very sensitive to conflicts of interest. I encourage businesses...
Do health insurers provide consumers with enough information to make rational insurance decisions?
Health insurers don’t provide advisers, let alone consumers, enough information to make rational health insurance decisions. This is my opinion. Let me explain. Last month I attended a professional development event which included presentations...
Trauma insurance is not a substitute for income protection insurance
Every so often, I stumble upon an insurance adviser who waxes lyrical on trauma insurance, otherwise known as critical illness insurance. They get really passionate about it. It seems to go beyond salesmanship –...
Strategic insurance advice versus insurance product advice
Most personal insurance advice conflates two very distinct types of advice: strategic insurance advice, and insurance product advice. When it comes to insurance product advice, I’m comfortable with advisers being remunerated via commission. When it comes to strategic insurance advice, which relates to whether clients need cover and what level of cover, I’m less comfortable with commission-based remuneration models. In this article, I explain the difference and the basis for my reservations.
I also introduce my course, Insurance for Savvy Kiwis, which is available here.
Insurance – why I prefer stepped premiums over level premiums
As a general rule, I say “no” to level premiums for personal insurance. Your insurance needs should reduce over time, so if you select level premiums, you may end up locking yourself into unnecessary insurance, gambling for a “win” rather than using insurance to manage risk. Take the stairs: use stepped premiums.
If you’re getting personal insurance, don’t go direct
Note: I am NOT advocating for my own services here. I don’t recommend specific insurance products, help with applying for insurance and the underwriting process, or assist at time of claim. I refer clients...