Wet memories….

When I met Vishal (name changed) in 2001, he was just 28; young, aspiring, dynamic, sales manager. He was working with leading multinational company, handling dealers’ network of fax machines & photo copying machines. He was full of enthusiasm. Though he was on a very high post, he was quiet humble. He always used to treat me like his younger brother. Similarly, I had great respect for him. At that time I was working as a Marketing Executive with one of the leading dealers of fax machines in Mumbai. We had done many joint calls for photo copying machines. I used to enjoy his company.

He & His wife were staying at one of the famous suburbs of Central Mumbai. I believe they were newly married couple in 2001 when I met her wife for the first time. He became father of a charming baby boy later in 2008. Meanwhile, he worked in many leading companies in office automation in order to get higher packages. He bought a flat in the same suburbs on loan. He was very ambitious. When I joined Insurance business as an agent, he greeted me & said “Well done, Malay, you have got lot of potentials; you will surely succeed in your new profession.” At that time, he was also planning to quit his job to do his own business on a large scale. He told me “Itna High paying job chhodkar toh kuchh bada hi karna padega – chote se kaam nahi chalega”. I was looking at his eyes with a great respect. He bought a big life insurance policy from me when he had not started his business yet. Almost for 5 years he paid all premiums regularly.

I believe, he stared his business in 2011 or 2012. His company was also doing well. He lapsed his all Life insurance policies in order to meet working capital requirement of his business. He was walking on the sword which was having axe on it’s both the sides. I tried to make him understand the importance of Life insurance & how important it is to keeping alive the same for a businessman like him. “Your capacity to earn is” is the main source of income for your business as well as your family. There are certain threats which may stop your income permanently. Death (Natural or Accidental), Critical illnesses, Accidental disabilities are some of them. We must insure our “Earning Capacity”. But Vishal chose to keep this part of his life vulnerable & unprotected.

We must have a “Fire wall” between Business Finance and Personal Finance. Investments having “Risk Free Growth” (like LIC endowment policies, Fixed Deposits, PPF, Bonds) works as the “Shock Absorber” during the turbulent times. He had already put all his personal wealth on stake in order to succeed in his business. He used to say, “Malay, wait for some time, I am settling my business in such a way that I will no longer require your policies… 8% – 9% mein milta hi kya hai?” (At that time LIC endowment policies were yielding around 8% interest p.a.) I tried my best to make him understand the importance of Life insurance & saving based insurance plan, but he was not in a mind set to comprehend my any suggestion.

Meanwhile, by taking stress for high paying jobs & later business responsibilities, he had developed Diabetes, hypertension, cholesterol & many more disorders, at a young age of 37.

Finally, that big day arrived. He was on a business tour with his younger brother. At the time of getting repaired his car wheel puncture, his heart collapsed. Within a 15 minutes of time-span – he passed away. He was just 44 when he left this world. Leaving behind a beautiful wife & charming son aged 9. Not only that, he had left behind an unpaid Home Loan, Business Loan, many creditors & unsecured future of 2 aspiring lives.

His partly paid LIC policies provided negligible paid up value as they were in lapsed condition & unpaid since 2013. His LIC policies could have handled all his liabilities & responsibilities, if he could have understood the purpose of Life insurance & saving based instruments.