Insurance Is Protection: We Can’t Crowdfund Our Way Out of Crisis

Life is unpredictable. Accidents, sickness, disability, home damage, and even death can happen without warning. As we get older, start families, and own things like homes, cars, or businesses, staying organized becomes more important than ever.

Having our paperwork in order — insurance, important documents, and emergency plans — is not just responsible; it is a way to protect your future.

Relying on charity, GoFundMe, or even your religious community may help very little in an emergency, but these are not guaranteed solutions. They are not a plan. Insurance gives real protection, so your family is not left stressed or struggling when life throws a curveball.

Why Insurance Matters

Think of insurance as a shield. We work hard to build our homes, cars, savings, and businesses. One hospital visit, one accident, or one natural disaster could wipe it all out. Insurance shifts the financial burden from you to the insurance company, helping prevent disaster from becoming a crisis.

Types of Insurance Everyone Should Know

Health Insurance: Covers doctor visits, hospital stays, and emergencies. Even a short hospital stay can cost thousands without coverage.

Auto Insurance: Required in most states. Covers damage to your car and protects you if you injure someone or damage property in an accident.

Homeowners / Renters Insurance: Protects your home or belongings from fire, theft, storms, and accidents on your property.

Life Insurance: Pays your family money if you pass away. It can help cover funeral costs, bills, and other expenses. Choose a responsible beneficiary who can manage it wisely.

Other Important Types of Insurance

• Long-term care insurance: Helps cover personal care if you can’t care for yourself.

• Disability insurance: Replaces income if you cannot work due to illness or injury.

• Flood insurance: Important in areas prone to flooding. Always check coverage details.

• Business liability insurance: Protects your personal money if someone sues your business.

If you sell food, products, or provide services, having insurance is essential. One mistake or complaint could lead to a costly lawsuit.

A Real-Life Example

A brother I know was invited to sell his products at a large community event. It was a big opportunity; he could have earned thousands of dollars. When he arrived, the organizers asked for his paperwork: a business license, insurance, and proof of coverage. He had none. Not even a business card. He was turned away.

It wasn’t personal. He simply wasn’t prepared. This shows an important lesson: opportunities often go to those who are ready.

Understanding Permanent Life Insurance

Permanent life insurance lasts your whole life as long as you keep paying for it. It can provide financial support for your family after you pass away.

Types of Permanent Life Insurance:

• Whole Life Insurance: Payments stay the same, and cash value grows slowly over time.

• Universal Life Insurance: Flexible payments and coverage, with cash value growing based on interest rates.

• Variable Life Insurance: Part of your payment is invested in the stock market. Growth potential is higher, but so is risk.

• Indexed Universal Life Insurance (IUL): Cash value grows with a stock market index, like the S&P 500, but growth is limited to protect your money.

A trusted insurance agent or financial advisor can help you choose the best plan for your needs.

Life Insurance and Health: Start Early

The younger and healthier you are, the lower your cost for life insurance. Insurance companies look at lifestyle choices, including:

• Smoking

• Heavy drinking

• Uncontrolled health issues such as high blood pressure, diabetes, or obesity

Staying healthy can save money and make it easier to qualify for coverage.

Power of Attorney and Beneficiaries

Insurance is more than a policy. It is also about making sure paperwork is in place for when you cannot speak or make decisions.

Ask yourself:

• Who will receive money from my insurance?

• Who will make decisions if I cannot?

• Do I have a Power of Attorney in place?

These decisions prevent confusion and protect your family from financial stress.

Insurance is part of being financially responsible. It protects your assets, your family, and your future. We owe it to ourselves — and those we love — to be prepared.

Paperwork is protection. Preparation is love.