The Financial Advisor Advisor

For many of us in our twenties, we might suddenly find ourselves surrounded by insurance agents, or Financial Advisors, as they are more commonly known as today. That’s really no surprise, considering how well it pays, and the flexibility of the job, which makes it a good side hustle for students.

Insurance is important, and we should protect ourselves, but that does not always mean getting the most expensive plan. Unfortunately, not all of us are financially savvy enough to know what’s best for us. Hence, the need for a Financial Advisor (FA). This then begs the question, how do we pick a good FA who has our best interests at heart?

Well, lucky you! After discussing with a few friends who have dabbled in the world of FAs before. I’ve consolidated a few tips to help you pick the right FA. Does that make me the world’s first Financial Advisor Advisor?

Whenever a new FA approaches you, you first want to find out why they are in this line of work. If they are doing it as a side hustle while studying, ask if they intend to go full-time after graduation. If they aren’t, you’re gonna have to find another FA once they graduate. Personally, I wouldn’t want to go through the trouble of finding someone new in 2-3 years, as most policies have a much longer time frame of 15, 20 years or more. Even if you want to support a friend who is an FA, do take this into consideration.

If you’re unable to find an FA who is full-time or plans on going full-time, don’t worry, there are other ways of ensuring you’re getting the right plan. With the sheer number of Financial Advisors (FAs) today, the realm of insurance has become a buyer’s market. And that’s good for us, customers. I’m sure most of us know at least a few FAs, so if you’re unsure about the plan that advisor A has recommended, go ahead and consult other FAs that you know. If advisor B claims to have a better, more appropriate plan for you, and you agree, then go ahead with advisor B and purchase the plan from him/her instead.

One red flag to look out for is if your FA is selling you a plan on your very first meeting. The first meeting should be for them to know you better and understand your financial situation. After which, they will do their research and come back to you with policy recommendations in subsequent meetings.

Finally, even if you have the most trustworthy FA, it is important for us as customers to understand what we’re spending hard-earned money on. Take that 15 to 20 minutes to read through the contract and clarify any doubts you have.

With that, I hope these tips will help you find a reliable Financial Advisor that you can trust to navigate you through the intricacies of the world of insurance.

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