By TINTSWALO BALOYI
JOHANNESBURG – SELF-employed individuals have been warned against mistakenly overlooking the financial benefits of having adequate life insurance.
An expert said this could put paid to the individuals’ brave decision to leave their jobs and start a business.
“Not having adequate life cover when self-employed can result in your family being left in a big pile of debt in the unfortunate event that you pass away,” cautions Lee Bromfield, Chief Executive Officer of FNB Life.
“Even if you had life cover in your personal capacity before starting out, t may still not be enough to cover both the financial needs of your family and business related expenses, regardless of how small your operation may be,” adds Bromfield.
Bromfield advises self-employed individuals looking to take out life cover to consult their bank or financial advisors to determine the best cover amount, as this may vary depending on the nature of their businesses and personal financial commitments.
“Do not let a good intention to be financially independent end up being a huge debt burden on your loved ones, by not having adequate life insurance cover,” he concludes.
FNB Life is the financial group’s life insurance entity.
– CAJ News