There are many misconceptions about insurance companies and policies. For one, a lot of people think that insurance is expensive. They think that only those who already have money, meaning those who are affluent, can afford to buy insurance. What do you think? Actually, even minimum-wage earners can afford to buy either life or health insurance. Read more about what experts think.
Millions of Filipino Minimum-Wage Earners in the Population
In 2020, a survey was conducted by the Philippine Statistics Authority (PSA) and it was revealed that in the NCR alone, there are already about 1 million minimum-wage earners. Nationwide, the number more than doubles at 2.4 million, but worse, 8 million are paid below the minimum. How can these people protect themselves and their families if something happens to them and affect their livelihood?
First of all, Ms. Valerie Lagarde-Amora, Cluster Head, Sun Life Philippines, says that we should not limit our capacities by looking down on ourselves. We should not say “minimum-wage earner lang”.
Many minimum-wage earners in the Philippines are already the breadwinners of the family. This goes without saying that a person’s health can break down. Or, despite living a healthy lifestyle, accidents happen that can cause the loss of life or limb. Those who do have insurance do not only contend with the grief caused by the death of a loved one–many times they find themselves indebted, without a home, and without a source of income.
This is where insurance comes in.
What to Buy: Life Insurance or Health Insurance?
Both life insurance and health insurance are necessary to continue the flow of income in the family. “We don’t know what’s going to happen (life). Or when we get sick (health). What’s more relevant? Start with whatever you can afford as long as meron (you have). Start building. After all, one policy cannot address everything,” Ms. Amora explains.
However, if one were to choose which one to prioritize based on current financial constraints, it is best to talk to a financial advisor.
A dedicated and conscientious financial advisor can guide a client on how best to navigate these financial concerns, like going through expenses and identifying holes where the money just goes out unnoticed. Ms. Andrea de Guzman, Financial Advisor, Sun Life Philippines, says, “There is always a plan for everybody,” and a good financial advisor should be able to help a client redirect or prioritize funds to include insurance.
Talk to a financial advisor today. Being open about your income, family budget, and expenses is already restarting your financial journey.
It’s Not Too Late to Buy Insurance and Restart Your Financial Journey
What stage in life are you? Are you still young and single, married with kids, a single parent, or an older parent with grown-up children?
Whatever stage you are in life, you can always start something new based on your income and financial needs. The earlier you can start, the better it is. It can be health insurance or life insurance to protect your family, or it can be building your wealth for retirement planning.
In Conclusion
If you are a minimum-wage earner, it means that you have work and a salary. It also means you have the capacity to buy insurance as well. It can be a life insurance or a health insurance policy, but the important thing is, you have at least one.
Sometimes, life doesn’t go the way we plan. So what happens to your family if you lose your job or your ability to earn? Or worse? The benefits of the insurance policy will help them get back on their feet.
WATCH: Are you a minimum wage earner?
Yes, you can buy insurance even if you are a minimum-wage earner. Start your financial planning journey today.
@mommysigrid Are you a minimum wage earner? Gusto mo bang mag restart ng iyong financial journey? #RestartingYourFinancialJourney #SunLifePartnerForLife #money #finances #insurance #lifeinsurance #healthinsurance #Sunlife #salary #fyp #moneytips #moneyadvice #foryoupage #financialadvisor #getstarted #life #MommySigrid #momlife #momfluencer #mommyblogger ♬ original sound – MommySigrid
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