Keep IT Simple

As a traveling career person, there are plenty of risks and uncertainties that come my way. First and foremost of these risks are my personal physical safety since traveling entails a lot untoward incidence that may come anytime. And then there are also worries associated with my family and the house that I frequently leave behind.

So I have made it a strong policy on myself to get insurance as a necessity. When I have a insurance portfolio, I can have a sense of peace or mind and security because in cases of emergency, there is always support to come easily.

But for many people, insurance is not a basic need because some insurance policies have prohibitive costs. After all, there are more important things to attend to like the basic need for food, shelter, medicine and clothing.

But for those who really see insurance as a necessity (and in this modern times, many people really consider insurance as a necessity), there are ways to cut cost on getting insurance premiums. One of which is getting a self-insurance and this can be done by maintaining an adequate insurance reserve fund. Basically, a self-insurance fund is just a stash of cash that one sets aside for insurance needs. But by maintaining such a personal reserve fund, one is really allowing himself to acquire some of the risks. And it is in acquiring some of the risks that one can reduce the cost. In essence, self-insurance is keeping rates down and releasing extra funds to purchase additional needed insurance.

One way of self-insuring is eliminating my need for certain types of insurance policies that I can assume the risk myself. For instance, I can eliminate getting extended warranties on appliances or full coverage automobile insurance for a car that is of little value.

I can also make my home and auto deductibles larger and doing such I can be insuring myself for the amount up to the deductible which will definitely lower my premium payment.

I can also lengthen my disability period to save further no premiums. Disability insurance is indeed indispensable for me as a traveling working person and I can make myself afford such insurance if I use self insurance to permit me to be able to accept a longer waiting period before I my disability insurance kicks in. In turn, I will be able to reduce premiums.

Finally, I can switch to emergency medical health insurance which only kicks in after a larger deductible. By using this, I can use my self insurance to pay for my visit to the doctor and monitor certain medical procedures.

Going for self insurance, I can save extra money and I can use this money to invest in something else to make it grow. In my case, I usually invest in short term investments so that the money can be quickly turned into easily useable cash without large loss in value. Insurance is really necessary and can be easily afforded when wisely planned.