Risk management ensures the financial impact of illness or premature death doesn’t interfere with your long-term goals. These risks can be solved by properly placed insurance coverage.
THE RISK MANAGEMENT PROCESS
The first step in determining your insurance need is to financially model the impact of the risk. If you become disabled or die prematurely, how will you replace your lost income; and if this income is lost, how will your financial goals be achieved. Once the risk is revealed, you must consider the various insurance options or other solutions available.
THE TOOLS OF RISK MANAGEMENT
- Income Replacement or Disability Insurance
- Term Life Insurance
- Permanent Life Insurance
- Critical Illness Insurance
- Long-Term Care Insurance
- Property and Casualty Insurance
- Directors and Liability Insurance
- Out-Of-Country Health Insurance
- Business Overhead and Expense Coverage
THE ROLE OF YOUR BLACKBURN DAVIS FINANCIAL ADVISOR
Your advisor will identify and quantify various risks in your financial plan. They will then explore the marketplace for the most suitable solution at a competitive price. Selecting one’s insurance product then must be followed by an underwriting process, whereby the advisor works with the insurance carrier to ensure you qualify for the coverage and an insurance contract can be put in place. Your advisor will then continue to assess your needs and determine if changes to your risk management plan are required.