Introduction
Insurance has become a common product intended to help people identify, manage, and protect risks. The decision to have such a protection is evidence-based and allows individuals to prevent unexpected losses. In some cases, government policies compel individuals to purchase insurance coverage in an effort to protect the interests of members of the public. People who are self-employed can consider specific types of products to protect themselves and their immediate family members against different risks or events, such as life, health, and income protection insurance plans.
Insurance Types
Individuals who remain self-employed would need to consider different insurance types that can meet their needs. The first product type for such individuals is known as income protection. This kind of insurance allows them to remain guaranteed of some form of earnings even if their businesses and professional fields are affected by unpredictable events (Wolfe & Patel, 2019). The second one would be that of critical illness insurance and it is intended to protect the individuals when they become sick or get injured while performing their duties. It is necessary that such individuals consider the advice different consultants give to ensure that they can pursue their aims. The third insurance type available to self-employed persons with dependants or family members is known as life insurance (Wolfe & Patel, 2019). The identified dependants will be assured of payments if the breadwinner dies.
Market Needs
The selected market to target for insurance provision is that of self-employed people. The segment would capture the needs of policyholdersâ family members and relatives. A proper understanding of the changing needs and expectations of this market could result in practical strategies to identify, target, and fulfill them. Most of these demands would be informed by a wide range of factors, including family size, clientâs profession, presence of terminal conditions, and income level (Berkowitz et al., 2021). This information could support the formulation of a personalized approach that will help the marketers provide the best insurance cover and financial support.
The first outstanding need associated with the selected market is that of insurance cover. Self-employment remains a viable option for individuals who want to grow and maximize their achievements. However, the existence of uncertainties and the absence of pension schemes make such a model vulnerable to negative future events. Under such circumstances, it becomes necessary for me people in the field to identify and purchase the best insurance product in accordance with their needs. The second issue is the desire to take good care of immediate dependants and other family members (Wolfe & Patel, 2019). To meet this market demand, professionals in the insurance industry should customize their products in such a way that most of the individuals become empowered and capable of pursuing their social, economic, and life goals.
The third need associated with self-employed people is the ability to find a reliable insurance company. Within the past three decades, many people have failed to acquire proper coverage since they did not believe in the viability and practicality of the offered insurance products. Marketers in this field should examine this unique need and address it using proper incentives and engage in honesty business deals. The fourth critical concern is that of accurate information regarding some of the notable risks, their possibilities, reliable insurance plans, and decision-making processes. Self-employment remains a diverse sector since the involved people pursue their financial goals using different skills and operate in diverse industries (Berkowitz et al., 2021). Insurers should be aware of these peopleâs demands, especially when it comes to the risks and challenges associated with their specific professions. Companies that provide high-quality information to such individuals will find it easier to attract more possible customers.
Importance of Insurance
Most of the self-employed people have family members and relatives who depend on them for basic needs and education. With the sector characterized by numerous risks, including possible revenue loss, fire outbreaks, and theft, it becomes necessary that more individuals consider the importance of having the best insurance product. This move will ensure that they are prepared for unexpected events and be able to continue pursuing their goals. For example, a person who has insured his business or professional practice will not be affected should his or her premise be damaged in an inferno (Wolfe & Patel, 2019). A citizen who does not have insurance cover will be unable to restock his or business after such an occurrence.
Consultants and professionals in the insurance market identify diseases and disabilities in a personâs life as strong reasons for getting the best cover. It is usually appropriate that self-employed persons acquire the best product to protect themselves against different uncertainties. In the event they occur, these beneficiaries will receive timely payments and continue providing for their children and other family members (Renahy et al., 2018). The absence of a reliable policy means that the victim will be unable to complete his professional duties, thereby failing to meet the needs of all family members.
Marketplace savings are unique insurance products calculated in accordance with a personâs overall income. This coverage will allow the individual to continue pursuing his or her goals. Individuals can choose life insurance in an effort to safeguard the future needs and expectations of their couples and family members. In the event of sudden death, such dependants will receive timely payments and be able to continue pursuing their social and economic goals (Berkowitz et al., 2021). Self-employed individuals should be aware of the benefits associated with these products before making their final decisions. This strategy will allow them to make informed choices and consider how they can support the needs of their dependants.
Protection Products
The above sections have identified some of the needs associated with self-employment and the most appropriate products to address them. Marketers of insurance policies should be aware of the relevant products in the sector and how they can meet the expectations of different clients (Renahy et al., 2018). This kind of knowledge allows them to provide timely guidelines and instructions, thereby making it easier for the targeted clients to make informed decisions. Several protection products are, therefore, available for these potential customers to choose from.
Life Insurance
The life insurance cover stands out as a suitable product for self-employed people. Main features associated with it include a customizable tenure, flexibility in the payments of premiums, and issued in the policyholderâs name. Additionally, it provides room for nominees, could include investment option, and payable upon maturity or death (Renahy et al., 2018). In terms of uses, the policy would be applicable to individuals who would like to insure their lives against death. The identified beneficiaries would be entitled to payments upon the demise of the policyholder.
This product delivers several benefits to both the policyholder and the identified beneficiaries. For example, it provides replacement for lost income should someone dies while pursuing his or her career goals. It helps meet the educational needs of children (Segodi & Sibindi, 2022). It will cater for outstanding loans and debts associated with the policyholder. The product will support various obligations that the individuals could have performed, such as taking care to elderly members of the family. In some cases, this kind of insurance cover will provide home mortgage payments. These benefits explain why life insurance remains a viable option for members of this selected target group.
Health Insurance Cover
The common features associated with this form of coverage include the provision of timely discounts, access to a wide range of medical support and procedures, renewal discounts throughout the policy term, and room for copayments. The consideration of these aspects explains more people would be willing to acquire this form of insurance. In terms of uses, individuals would rely on it to acquire the much-needed medical services and care (Segodi & Sibindi, 2022). The cover could meet the expenses incurred for minor or major surgeries, dialysis, maternal health, and psychological support.
This insurance cover presents unique benefits to the policyholder and the identified family members. First, it caters for hospital costs arising from a wide range of treatment processes. Second, it allows the individual to continue pursuing his or her professional goals without worrying about medical expenses (Berkowitz et al., 2021). Third, purchasers can consider the importance of post-treatment costs associated with certain medical complications. Fourth, the individual can be evacuated or provided with ambulatory services depending on the severity of the medical condition.
Income Protection Insurance
Self-employed people can get income protection insurance to meet the needs of their children and other family members. Its features include provision of regular payouts based on a personâs income and offers support until the individual can start working again. The plan can meet expenses associated with the job or profession. Such payments are available to the policyholder until he or she dies or even retires depending on the policyâs agreement (Berkowitz et al., 2021). The primary use of this cover is to offer financial support to people whose incomes could be jeopardized or affected by unexpected occurrences.
The main benefit of this policy is that it provides regular income to people who have become sick or cannot complete their roles. The individual could get such payments until his or her retirement age. The plan is capable of addressing other issues affecting members of the family due to the presence of regular disbursements (Segodi & Sibindi, 2022). These benefits explain why there is a need for self-employed persons to consider the income protection insurance product and eventually realize their potential.
Conclusion
The above discussion has revealed that self-employed people can consider different insurance products to protect themselves against unprecedented events and challenges. These individuals present a unique target market that insurance companies should study carefully and offer desirable policies. Most of the individuals can consider income protection, life, and health insurance products since they resonate with their demands. A proper sensitization approach is necessary to make it easier for all key stakeholders to support each other and ensure that the targeted policyholders achieve their maximum potential.
References
Berkowitz, S. A., Gold, R., Domino, M. E., & Basu, S. (2021). Health insurance coverage and self-employment. Health Services Research, 56(2), 247-255. Web.
Renahy, E., Mitchell, C., Molnar, A., Muntaner, C., Ng, E., Ali, F., & OâCampo, P. (2018). Connections between unemployment insurance, poverty and health: A systematic review. European Journal of Public Health, 28(2), 269-275. Web.
Segodi, M. P., & Sibindi, A. B. (2022). Determinants of life insurance demand: Empirical evidence from BRICS countries. Risks, 10(4), 73-86. Web.
Wolfe, M. T., & Patel, P. C. (2019). To your health: Health insurance, selfâemployment exit, and older entrepreneurs. Journal of Small Business Management, 57(2), 593-615. Web.