by Ramoth Watson

We live in an age where financial tips are just a click or a podcast away.
Turn on the radio, scroll through social media, or watch a popular money show, and you might hear someone giving a caller or viewer very specific instructions: “Buy this type of policy, never the other.” It’s short, confident, and sounds like it must be right.

But here’s the truth: insurance decisions are personal, not universal, and when advice skips the fact-finding, you may end up with a policy that doesn’t fit your needs at all.

Opinion vs. Professional Responsibility

A licensed insurance advisor is bound by law and ethics to:
• Ask detailed questions about your income, assets, debts, dependents, and goals
• Take into account your age, health history, and family situation
• Factor in your tax position and estate plans
• Recommend solutions that meet suitability standards set by regulators
• Document why the recommendation was made and how it meets your needs

This process protects the client. It ensures you don’t overpay, underinsure, or buy a product for the wrong reasons.

Someone speaking from a public platform, however, has no such obligations. They can recommend their preferred approach to millions of people without knowing any of them personally. Their advice is based on their personal philosophy, not on your specific facts.

The Danger of Blanket Statements

The most common “shortcut” recommendation is:

“Only buy term insurance, never buy permanent insurance.”

That sounds decisive, but it’s also incomplete. While term insurance can be ideal in many cases, there are circumstances where permanent coverage is a far better fit:
• Estate Liquidity: Permanent insurance can provide funds to cover estate taxes or equalize inheritances.
• Business Continuity: Many buy-sell agreements require permanent coverage to ensure business ownership can smoothly transfer.
• Charitable Giving: A well-structured permanent policy can create a lasting charitable legacy.
• Special Needs Planning: Permanent coverage can provide lifelong financial security for dependents who will never be financially independent.
• Final Expense Planning: Ensuring funeral costs and debts are covered without relying on savings.

Blanket statements ignore these real-life applications, and may leave families or businesses financially exposed.

The Illusion of Simplicity

Quick-fire media advice feels good because it removes complexity. But financial decisions are complex, that’s why licensed professionals exist. If it were truly as simple as “always choose X,” there would be no need for personalized planning.

The reality is that life changes. The right solution at age 30 may be wrong at 50. Children grow up, debts are paid off, businesses are started and sold, health changes, and insurance strategies must adapt.

How to Protect Yourself

Before following advice from any book, show, or influencer, ask yourself:
1. Do they know my personal situation?
2. Are they licensed to give regulated insurance advice?
3. Have they explained all my options, including the trade-offs?

Treat general media advice as financial entertainment, not as a prescription. For a decision that could impact your family’s financial future for decades, rely on someone who is both trained and licensed to act in your best interest.

Parting shot:

Your life, goals, and financial picture are unique, your insurance plan should be, too. The safest route is to work with a licensed insurance advisor who will design a plan around you, not around a radio sound bite.

Discover how strategic and intentional planning can reshape your purpose, legacy, and impact by booking a consultation with us at www.planforpurpose.com. Also purchase a copy of our book “More Than Just A Payout: How Life Insurance Builds Security and Opportunity” @ https://a.co/d/eAEQe78