Protecting your Wealth
Risk management is an organized strategy for controlling financial loss from pure risks. I plan to minimize risks by identifying all risks, monitoring all the risks, and getting insurance.
Risks for each investment type:
Stocks- risk of decreasing in value
Bonds- risk of the interest rate being too high
Mutual funds- risk of decreasing in value.
For other investment options- a home has the risk of decreasing over time; Land has the risk of you not getting an income to pay the expenses; Condo might also of the risk of not getting an income to pay fees and other expenses.
Auto- risk of auto depreciating in value
Property- risk of interest rates rising
Health- risk of interest rates increasing
Life- risk that returns are not guaranteed
Stocks- risk of decreasing in value
Bonds- risk of the interest rate being too high
Mutual funds- risk of decreasing in value.
For other investment options- a home has the risk of decreasing over time; Land has the risk of you not getting an income to pay the expenses; Condo might also of the risk of not getting an income to pay fees and other expenses.
Auto- risk of auto depreciating in value
Property- risk of interest rates rising
Health- risk of interest rates increasing
Life- risk that returns are not guaranteed
Yes I will purchase insurance to cover my investment options.
Auto Insurance-
Bodily Injury: pays for any injuries to other people involved in accident Property Damage: pays cost of damage to someone else's car after accident you cause Comprehensive: pays for damage or anything stolen from car when happens from something other than a wreck Collision Coverage: helps pay for damage done to your car in an accident Uninsured/ Under insured: covers you if other drive isn't insured Medical Payments Coverage: helps pay for medical bill/ funeral expenses despite who's fault |
Health Insurance-
Basic Health: reimburses you for expenses do to illness or injury Major Medical: helps pay for larger medical expenses Dental and Vision: coverage for check ups, dental procedures, and eye wear Life Insurance- Temporary: offers death benefits, only given for a certain amount of time Permanent: doesn't expire, also has a savings portion |
Disability Insurance-
Group Disability: coverage for member of a group who cannot work due to disability Social Security: gives benefits to people who are retired or unable to work due to disability Worker's Compensation: wage replacement and medical benefits to employees who are hurt on job Property Insurance- Real Property: land and anything attached to the land Personal Property: possessions |
I will purchase my insurance from Nationwide. Nationwide offers all of these insurance types and many more. It also offers a good rate for insurance. As someone who would be purchasing insurance for the first time, it is a safe company to turn to.