The covid-19 pandemic has compelled everyone to grasp a few salient lessons for building financial immunity with physical immunity.
Earnings and savings are imperative with a high degree of discipline where consistency is the key to achieving any goal.
The regular income stream usually follows an earning, spending approach. This resulted in the outbreak of this pandemic, forced lockdown recognized that could survive with a set budget, can save even more than expected.
Planned monthly expenses and spending wisely helps in managing the unforeseen. In the right insurance cover that relying only on an employer’s health insurance plan is not prudent.
A large section of the society had neither life cover health insurance. Life is unpredictable, successive waves of coronavirus infections across the globe in the last two years have proved.
And buying life insurance is the topmost priority for creating financial security for family members.
It covers the life must adequately cover all the liabilities such as house loan, car loan, child’s education, etc.
Non-negotiable financial goals are covered in the life insurance plan through that if the breadwinner is not around then these essential requirements are not compromised on, and financial stability is maintained.
The pandemic situation faced people scrambling for medical support and the exorbitant cost of emergency medical services exemplified the need for health insurance.
Health insurance for all the members of the family is a must. Creating emergency funds having provided an emergency fund is huge financial support at the time of uncertainties as it helps stay afloat during financial crises.
The emergency fund to cover at least 3-6 months of living expenses and spending is very crucial. People are suffered huge business losses or had salary cuts or lost their jobs completely during the pandemic.
The emergency corpus would help in sustaining the family till another job and source of earning is arranged; it’s a cushion when the unexpected has become a reality.
No assurance given that such crises will not arise in the future, therefore it is imperative for everyone to create an emergency fund to fight against such unexpected contingencies.
Provision of avoiding debt traps situation becomes ruinous with a financial crisis that strikes due to unforeseen incidents like that of the pandemic.
Always advisable to avoid such high-interest instruments and Spending through credit cards must be limited to the extent we can pay the bills.
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