De Dios (center), and BDO Senior Vice President and Chief Investment Officer
Frederico Rafael D. Ocampo (right) discussed how life insurance products help provide
financial security to Filipino families amid economic challenges during BDO Life’s media
conference titled, “Life Insurance: One of BDO’s growth drivers,” moderated by ANC
News Anchor Salve Duplito (left).
In the hypothetical scenario of being the primary provider for one's family, the sudden occurrence of a debilitating illness, a serious accident, or the untimely death of the breadwinner could lead to significant financial strain. The resulting expenses, such as medical bills and funeral costs, may compel affected families to incur debt, liquidate assets, or seek government aid. Life insurance is a critical safeguard against economic hardship in such circumstances.
Despite the common perception associating life insurance with affluence, it is an indispensable asset for middle-class individuals, particularly those shouldering the primary financial responsibilities within their families. Just as fundamental as food, shelter, and clothing, life insurance should be regarded as essential to ensuring a family's future.
The middle class encompasses diverse individuals striving to improve their circumstances. This demographic comprises urban office workers, overseas Filipino workers supporting their families through remittances, and hands-on entrepreneurs striving to establish and nurture their businesses. These individuals embody the roles of providers, visionaries, and familial cornerstones.
While aspirations for material wealth are understandably prominent, safeguarding against potential economic upheavals is routinely overlooked. Although wealth accumulation is crucial, proper financial security necessitates a careful balance between accumulation (building wealth) and protection (ensuring that wealth is not lost due to unforeseen events).
The difficulties brought to the fore by the COVID-19 pandemic underscored the vulnerability stemming from the absence of a life insurance policy. Job displacements and escalating medical expenses served potent reminders of the pressing need for financial protection, notably in middle-income households.
Life insurance is not just a financial product, it's an essential contingency plan (Plan B). It acknowledges the reality that, despite aspirations for prolonged and fulfilling lives, unforeseen circumstances can disrupt one's carefully laid plans. Having a “Plan B” in place can make you feel prepared and proactive in managing life's uncertainties.
The country's low insurance penetration rate hints at a persistent undervaluation of its national significance.
I have consistently championed the imperative of protection, particularly for middle-income families. The overarching objective is upholding a family's established lifestyle without the primary financial provider, ensuring their security and confidence in the face of unforeseen events.
At BDO Life, we are unwavering in our commitment to rendering life insurance accessible and pertinent to the Filipino working class. We understand their challenges and are conscious of the significance of providing a product that authentically aligns with their requirements.
Diverging from traditional insurance providers, BDO Life provides the convenience and credibility characteristic of a banking affiliation. Our clientele can seamlessly avail of our services through our expansive branches, our intuitive website, and, soon, a dedicated mobile application. This seamless integration renders insurance more accessible and relatable to the difficulties of everyday Filipinos.
Every individual merits financial security, regardless of income level. Life insurance represents the foundational stride towards establishing a robust financial structure. It shields a family's future and grants the reassurance necessary for the focused pursuit of individual aspirations.
Let us re-conceptualize life insurance as a pivotal component of financial planning and embark upon the primary stride toward guaranteeing a secure future for those we hold dear.