How often do you look at the specifics of your insurance coverage as it pertains to your overall financial health? When’s the last time your financial advisor spoke to you about your insurance needs?
If you’re like most policy holders, it has probably been a while. If you take a look at the details of your policy today, you might be surprised at what’s covered and what’s not.
This is especially important for successful individuals and families, as many may have inadequate existing coverage or lack coverage entirely. If a catastrophic event were to occur involving your home, you could be paying out of pocket if the expenses exceed policy limits.
You want to beware of gaps in coverage—appraisal or cap gaps, overall valuation, or replacement costs—and take steps to close them to avoid having to dig into your investment accounts should something happen. Set up a time to talk to both your insurance agent or broker and your financial advisor. Letting them know what has changed—and what will be changing in the future—is critical to your financial security.
Unsure about what needs to be in the conversation? This might help:
https://www.thinkadvisor.com/2018/02/27/a-hidden-risk-that-could-sink-a-nest-egg
Additional resources are available at chubb.com/financialadvisor
Fran O’Brien is Division President, North America Personal Risk Services at Chubb.
The opinions and positions expressed are the authors’ own and not those of Chubb. The information and/ or data provided herein is for informational purposes only and is not a substitute for professional advice. Insurance coverage is subject to the language of the policies as issued.