Top 5 sexiest insurances to help protect you

“Life is inherently risky. There is only one big risk you should avoid at all costs, and that is the risk of doing nothing.” Denis Waitley

 

Everything we do in life involves some risk. A high-risk activity that, for the large part, is taken for granted every day is driving our cars. Over the last two decades, we have seen an enormous leap in the number of car electromechanical devices to help us avoid accidents or protect ourselves. If you’ve only been driving for the last 20 years, you will take for granted that cars have seatbelts, antilock brakes, and airbags. All these items have evolved to protect us from injury, but the mere fact we know they are there also instills a greater level of security.

Go with me on this analogy of wearing a seatbelt.

I know the risks of driving and what could happen to me. I have no plan to crash whenever I drive my car. However, I’ll still wear my seatbelt, which gives me the confidence to go on the freeway. If there’s an incident, my antilock brakes help me stay in control. If there is a crash, my seatbelt is there, and of course, the airbags too.

If none of that equipment was in the car, I’d be driving around at 20kph and freaking out if any other road users came near me.

The protection gives me confidence.

So, linking all that back to investing. No matter what we decide to participate in, property, shares, or even bitcoin, there’s a risk, and it has always taken courage to invest. The fear of potentially taking a loss is too great for so many Australians that they’ll never end up investing. The result is missing out on building wealth and, ultimately, having the lifestyle or retirement of their dreams.

However, in the world of investing, we have our own versions of seatbelts, antilock brakes, and airbags. These all come under the heading of insurance.