Without a lot of thought, many of you might say, "my house, my car, my boat or my bank account." But for most of us, that answer would be wrong. For most of you, your earning ability is your greatest asset.
Your ability to go into the workplace and bring home a paycheck is your greatest asset. Any disruption could be viewed as a financial loss.
Life and health insurance became important products as we began to recognize that the greatest asset of most individuals is their ability to earn. Since your earning power can be disrupted by economic death in the form of physical death, retirement death or living death, you must deal with that risk or chance of loss. Most of us try to transfer some or all of our risk to an insurance company.