Fear and the financial plan

Fear can be a positive motivator, and insurance advisers have known that since the days when sales training consisted of different ways to ‘back the hearse up to the living room window’ – metaphorically, of course.

Thursday, November 9th 2017, 9:00AM

by Russell Hutchinson

These days early death is rarer, and we choose not to stay stuck in fear – but rather to emphasise the positive. It is one of the great modern miracles that most tragedies we insure against are survivable. Because people don’t like facing their fears, and sacrificing money and time to work on them, we still have to remind them. But now, the story must not linger in the oncology ward, but move one to imagine a future where the client stands on a beautiful beach in the sunshine: reading the email telling them they have had five years of no-recurrence.

The great value of what we provide is the knowledge both that survival is possible in virtually all cases, and probable in a majority of cases – and that whatever happens you can also survive it financially. Money that will offer you and your family choices.

Or not.

You could choose to stay stuck in your fear and make no plans. For those people who know the fear is there and do not act, they never get to escape it. Sure, you can eat well and exercise more, but you can never entirely erase the risk. So, you should plan for it. That means talking about it, setting money aside, buying insurance, having a Will, setting up a trust, and having a plan.

I know it is work, but it is necessary. I know the money and the time is a sacrifice, especially when there is a new season of your favourite show calling to you. But it is a sacrifice worth making for some peace of mind. It means that when your clients next hear about a friend with bad news from the doctor, after they’ve offered some support, they can go home and think, ‘at least we’ve made all the preparations that we can’.

The other exciting thing about good financial planning is that it releases energy. Instead of worrying about – whatever it is, death, disability, or cancer…, they can move on with the next challenge – like helping the kids with their goals and plans.

Tags: Russell Hutchinson