Global View Investment Blog

The Truth About Insurance Agents – How to Really Protect Yourself

Here’s a tip for investors: Get asset protection strategies in place now; not later.

We understand that you work hard for your money. So when it becomes serious money, we want to make sure you can enjoy the fruits of your labor. 

But there are a few downsides to having serious money. One is that you become a potential target.

A lot of salespeople will try to lure you in under the guise of “protecting your assets.” For most people this means buying a good umbrella insurance policy with your homeowner’s insurance. But a lot of insurance salespeople will also “advise” you to buy high-cost insurance and annuities


I always encourage investors to avoid investment advisors who sell insurance. Insurance products pay the biggest commissions, so if you work with a “financial advisor” who sells insurance for commission, you’ll likely end up with an expensive solution – and you may not realize it when it’s initially set up.

There are other ways to protect your assets. It’s true that you are a potential target for litigation. But don’t take their bait.

Instead, find a true fee-only financial advisor who can help determine your actual need for insurance and help you shop around for the most cost-effective solution. It can be confusing.

Whether you are a business owner or have accumulated property, this is something you should really take care of now. By not titling your assets properly, you may be taking a great deal of unnecessary risk. You might also benefit from a close examination of trust provisions.

Don’t put this off. Don’t underestimate this risk to your wealth. It’s not just about getting sued. If something happens to you, there could be serious implications for your heirs. Unfortunately, we’ve seen this too many times.

Sadly, in our litigious society, you’re at risk of a lawsuit at some point in your life. That possibility increases when you have serious money.

If you’ve ever been involved in a litigation, you know it can be ridiculously expensive, and in many cases, catastrophic. But all of this is less likely if you are not viewed as an attractive target. Lawyers aren’t dumb. They will not advise someone to pursue a target who is not a good case.

The good news is you can protect your assets so they are out of reach of others – and creditors. This will make you much less of an interesting target. But you have to do it before any hint of a lawsuit exists.

Invest a little in asset protection now to really protect your wealth – just in case.

At Global View, we have an in-house attorney who can help with this process. Or we can work with our client’s own asset-protection attorneys. However it’s done, you really shouldn’t put it off. It’s not worth the risk.


Ready to discuss your assets with a true fee-only financial fiduciary? Contact Global View to see how we can help.


Other Threats to Successful Individuals

Unfortunately, the more successful you are, the more threats there are. There are a lot of threats you may not even know about yet. 

As a Greenville financial advisor, I’ve seen a lot. It’s unfortunate, but our team has seen very successful clients come to us after something happens, such as:

  • Significant investment loss
  • Divorce
  • Lawsuit
  • Unexpected business downturn or job loss
  • Serious illness or disability
  • Death of a loved one

Most of us have family or friends who had to change their lifestyle when they found themselves in one of the above situations. It’s never easy. But there’s another threat you may not be personally familiar with: Greed.

The financial services industry is intentionally deceptive to profit from you! As a successful person, you understand there is a buyer and a seller in every transaction. And for capitalism to work, both parties win. But imagine a situation where the seller can profit at your expense! Because you have been successful, you’re a lucrative sales target. 

The staff at big banks, brokerage firms and insurance companies are trained to take advantage of you when you are most vulnerable. They understand buyer behavior and are trained to push your buttons. This means they know exactly when to pounce.

The financial services industry is a confusopoly by design – the industry purposely confuses customers for personal profit. And it has a lot of victims. 

At Global View, it’s our mission to prevent you from being a confusopoly victim.


Financial Self-Defense

When you’ve got serious money, financial planning becomes less about getting there and more about staying there. You’ve got a lot more to lose than someone with less resources. And your resources make you a target.

Think about it: A lawsuit doesn’t have to be right to cost you a lot to defend. Talk to someone who has been involved with what appeared to be a completely frivolous lawsuit. People know that, and you may be targeted at some point in your life.

If you are a business owner, your risk increases.

Same with divorce. Yes, occasionally, a divorce can be sorted out civilly and assets can be preserved along the way. But that’s not always the case. Especially when lawyers get involved. The expenses tend to increase dramatically. You can think it won’t happen to you, but that can be an expensive assumption.

The first step to financial self-defense is to know who you are talking to. You may not be aware that there are no limits or regulation on who can call themselves a “financial advisor.”

The person you’re talking with might be an experienced, credentialed, independent expert. Or they might simply be a salesperson, trained primarily to sell you certain products. Be sure to check their credentials, experience and qualifications before engaging (or continuing to work) with anyone. Otherwise you could very well be getting product pitches veiled as real advice.

I suggest you use this same caution when talking to an accountant. Accountants, in general, may mean well, but their objective can often be to reduce tax preparation complexity and taxes; not maximize after-tax wealth (which is more complex).

Because we have an accountant on staff and an attorney on staff, we are going to look at these issues overall. Not isolated. We make sure we consider all aspects of your financial life so that you can decide, for yourself, whether the extra cost of asset protection strategies make sense. For you.


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Ken Moore

Written by Ken Moore

Ken’s focus is on investment strategy, research and analysis as well as financial planning strategy. Ken plays the lead role of our team identifying investments that fit the philosophy of the Global View approach. He is a strict adherent to Margin of Safety investment principles and has a strong belief in the power of business cycles. On a personal note, Ken was born in 1964 in Lexington Virginia, has been married since 1991. Immediately before locating to Greenville in 1997, Ken lived in New York City.

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