The third component of Advanced Planning is Wealth Protection.
Rick and Amy had accumulated wealth, but didn’t feel confident that they had the appropriate protection in place should something happen. How should they title their assets to provide sufficient protection in the event of a death or judgment against them? Did they have too much or too little insurance for their various needs? Did they need life insurance? Was an umbrella policy appropriate?
What a shame it would be to work hard to accumulate wealth, only to lose some or all because of a misunderstanding of how financially vulnerable we can be under certain circumstances.
With such significant resources dedicated toward accumulating and distributing wealth, we must strive to ensure that the wealth is sufficiently protected. Creditors, death, illness, disability, and liability all pose significant threats to clients’ wealth. It is then of utmost importance to inoculate our clients from as much of this as possible.
Even though we do not sell some necessary services, such as homeowner’s insurance or umbrella policies, we do guide our clients through the various decisions that need to be made and help provide some clarity where there is often confusion.