myths Archives - Jennings Financial Services

Three realities and three mistakes

If market declines make you nervous, then you’re not alone. Especially now, when COVID-19 and its economic impact are fuelling feelings of uncertainty around the world. But while bear markets can be extraordinarily difficult, they also can be moments of great opportunity. Investors who find the courage and conviction to stick to their long-term plans are often rewarded as markets bounce back. To help put recent markets into perspective, we outline three facts about market recoveries and three mistakes that investors should avoid. Three facts about market recoveries Fact #1: Recoveries have been much longer and stronger than downturns The good news is bear markets have been relatively short compared with recoveries. They can feel like they last forever when we’re in them but in reality, they are much less impactful compared to the long-term power of bull markets. Although every market decline is unique, in the US, the average bear market since 1950 has lasted 14 months. The average [...]

9 Myths about Life Insurance

9 Myths about Life Insurance Myth # 1 – Life insurance companies don’t pay claims There’s a common perception that life insurance companies will do everything they can to avoid paying claims. In fact, 92% of all life insurance claims are paid in the first instance. And OnePath Life has paid 93% of claims for policies taken out with a financial adviser during 2018. As long as you fulfil your duty of disclosure when you apply for cover, and you’re covered for the medical condition you’re claiming for, you should be confident your claim will be paid. Myth # 2 – I'm young and don’t have kids or a mortgage, so I don’t need it Life insurance isn’t all about providing for debts and dependants. It’s also about looking after yourself. Think what would happen if you became ill or disabled and couldn’t work. Would you ask your parents to bear the financial burden? Or would you rather have income protection to help [...]