Many people argue that insurance premiums are "dead money". However choose your insurance policies wisely and you effectively transfer the financial implications of potentially disastrous personal risks to an organization, which can easily absorb them. In other words protect the people and the things that you value most. Here are some products to help you to do exactly that:

What's the most valuable thing you possess? Your home, perhaps, or your pension fund? Your portfolio of shares, or maybe a luxury car? In fact, your most prized possession is probably you or, to be more precise, your earning power.

And if you die, your "human capital" dies with you. Hence, if you have a spouse, partner or dependants, your death can ruin their future. Hence, you need some life cover, but not any old life cover! Another common mistake is insuring the family's breadwinner and forgetting to insure a non-working partner, such as a housewife or house husband. This single mistake can destroy young families, as it costs a fortune - £20,000 a year or more – to buy in the invaluable services that a family carer provides. So, insure both parents, please!

After death, the next biggest risk to your financial future is probably long-term illness. If you are severely incapacitated due to an illness or accident, your income will eventually dry up, no matter how generous your employer is. If you are self-employed and a high earner, you are at higher risk. That's why income should be next on your list.