Life insurance eases burdens

LIFE insurance is something not commonly discussed about in Papua New Guinea as elsewhere in the world.
Perhaps this is due to life insurance’s complexity, the posture of those who sell it or merely our preference for avoiding the topic of our own demise.
But armed with the proper information, you can simplify the decision-making process and arrive at the right choice for you and your family.
Life insurance is one of the pillars of personal finance, deserving of consideration by every household.
If anyone relies on you financially, you need life insurance.
It is virtually obligatory if you are a spouse or the parent of dependent children.
Life insurance does not simply apply a monetary value to someone’s life, instead, it helps compensate for the inevitable financial consequences that accompany the loss of life.
Strategically, it helps those left behind cover the costs of final expenses, outstanding debts and mortgages, planned educational expenses and lost income.
But most importantly, in the aftermath of an unexpected death, life insurance could lessen financial burdens at a time when surviving family members were dealing with the loss of a loved one.
In addition, life insurance can provide valuable peace of mind for the policy holder.
That is why life insurance is vital for the bread winner of a single-income household but still important for a stay-at-home spouse.
It is concerning that only two per cent or 160,000 of the 8 million Papua New Guineans are insured. In the PNG society, there is so much reliance on the wantok system that everyone assume that support will continue for the deceased’s immediate family after the death of loved one.
While that is part of the lifestyle, we need to recognise the significance of life insurance, as a vital form of financial protection in the event of accident and sudden loss of life.
Life insurance can be confusing for many.
Jacqueline Joseph, co-founder and chief executive officer of Equal Playing Field recently purchased BSP Life PNG’s Wantok Delite product for a period of 15 years.
She is now encouraging young people to move away from the wantok system, take responsibility of their own lives by getting insured so when one dies – that insurance caters for death expenses.
BSP Life PNG will be part of the two-month nationwide inclusive insurance campaign in the country and will focus on creating more awareness not only around its products but generally making more Papua New Guineans aware of the benefits of having one’s life insured.
Bank South Pacific should be commended for its move in joining the industry.
It is the fifth life insurance company.
With BSP in the campaign, it may be able to break down the silence through its various marketing campaigns which has always been detailed.
We do not know when we will pass away.
It could be today, tomorrow or 50 years from now, but it will happen eventually.
No amount of money could ever replace a person.
But more than anything, life insurance can help provide protection for the uncertainties in life.
Without a doubt, having life insurance coverage will bring you and your family peace of mind.
It is one thing you can be sure of and you’ll no longer have to question whether they’ll be taken care of when you’re gone.