This article originally appeared on Independent Agent
Google “college commencement speeches” and you’ll find more than 300,000 results outlining how to write a compelling graduation speech, complete with all the life advice graduates need.
But while most commencement speakers recite lines from Dr. Seuss’ “Oh, The Places You’ll Go” and tell students to dream big, we’re failing to impart one critically important lesson: Some types of risk can get in the way of those dreams. Neglecting to teach the next generation how to properly manage their property-casualty risk exposure does our children a significant disservice.
In the summer months post-graduation, here’s the advice every independent agent and broker should share with their clients’ young adult children.
It could happen to you. Despite feeling invincible, sooner or later, all graduates will have to think about insurance as they “age off” their parents’ policies and face their first losses on their own. For graduates moving to new cities, that could be anything from a burst pipe in their new apartment to an auto accident while driving to work. Helping graduates understand the “when, not if” mindset will ensure they are prepared in their moments of need.
This is particularly important when it comes to liability-related exposures. Graduates may be dismissive about the need to insure the discount-store furniture and hand-me-down contents of their apartments, but they may not realize they need personal liability coverage, which often comes with a renters policy. If a guest sustains an injury at their apartment, they could face significant out-of-pocket costs.