• Text smaller
  • Text bigger

A moat is important to today’s families – to protect them from catastrophic losses economically, according to economist, columnist, radio host and international speaker Jerry Robinson, who uses his “Follow the Money Weekly” program to discuss the issue.

“If your car were to be stolen, would you want a check for just the amount that you need to get by, or a check for the full replacement value of the car? If your home were to suddenly burn to the ground, would you want the insurance company to send you a check to rebuild half of your old house? Or would you want a check for the full replacement cost of the house?” he questions.

“It is obvious that most of us would prefer to receive full replacement value on our assets, income, and lives, if disaster were to suddenly strike. Yet, this is where most people get it wrong today on insurance. Instead of buying the kind of insurance coverage that they would really and truly want, they focus solely on ‘premium costs’ and not ‘replacement value.’ Why? Because most people fear being over-insured and paying too much for something they may never use than they do in being underinsured and at risk.”

His discussion about such protections cover “Level Two” of his “Financial Freedom Bootcamp,” which addresses basic steps for families to make sure they are in control of their own finances and future.

Robinson suggests, “The truth is that most people are woefully underinsured or improperly insured today.”

“Level Two is all about protection. Back in the old days when a man would set out to build a castle, what would he do at the outset of the endeavor? He would build a moat before he began building the castle. Why? In order to protect everything he was building. It is the same with your financial plan today. You do not want to build up a large fortune just to have it stripped away due to an accident and a shrewd attorney. This is why Level Two is the most important level in your journey to financial freedom,” he said.

Among the most important is life insurance, because a person’s earning potential probably is the biggest asset involved.

“Think about it for a minute. Let’s say that you are 35 years old and you currently earn $50,000 per year. If you are like most people, you are hoping to retire around age 65. Therefore, over the next 30 years, your earning potential is at least $1,500,000.00. (30 working years X $50,000 per year),” he said.

The beginning of the series focused on getting financially prepared.

“Credit in China has exploded by $15.4 trillion, from $9 trillion to an astounding figure of $24 trillion – as much as the U.S. and Japanese banking systems combined,” he explained.

“China’s monetary authorities are now attempting to rein in the world’s biggest credit bubble, which remains extremely vulnerable to higher borrowing costs. The astounding growth in Chinese credit in recent years is unprecedented, and easily qualifies as the largest bubble in world history. Meanwhile, hot money continues to flow out of China. Record amounts of wealthy Chinese investors are moving money out of the country into foreign asset classes (U.S. and European real estate, precious metals, etc.) What’s next? Perhaps a meaningful increase in oversight, or even a TARP-style bailout. But it is virtually impossible that China, and the world economy, will escape this monetary madness unscathed. It’s time to prepare,” he said.

“The ultimate result from the massive debt and money printing across the globe is devastating impacts upon your savings, your retirement, and your job. That’s why we teach our Five Levels of Financial Freedom. We want to provide you with a financial plan that will hold up under all different circumstances, even circumstances we cannot foresee right now.”

Level One is all about emergency reserves. And it’s not just money.

“What good is a maxed out 401(k) when you do not even have enough food and water to last through an emergency?”

He continued, “For some, stocking up on food and water may sound a bit alarmist. If that describes you, I would urge you to reconsider. We live in very uncertain times. All it would take is one major hiccup in the national food supply chain to create mass hysteria and hoarding. In addition, relatively few Americans today produce any of their own food.”

Here’s his program, discussing the other parts of having emergency reserves:

Podcast is 46:36.


Previous podcasts:

Blame Walmart’s slide on ‘higher taxes’

See who’s rejected U.S. dollar now!

Do you have an escape plan?

How to avoid that lousy ‘retirement’ job

What do Cabela’s, Six Flags have in common?

Coming soon! ‘Transatlantic Union’

Economy settling down? Think again

Is this the calm before the storm?

The decline of the global stock market

Signs in the sun, moon and stars

All eyes on stocks rally

‘This isn’t your grandfather’s economy’

Gold dropping? Why not to worry

What’s to love about gold, silver prices

Let the printing presses roll!

New challenge rattles economy’s foundation

Big Brother looking at your bank account

Currency war pushes stocks to new realms

America and the ‘Age of Fiat’

Entitlement liabilities? Try $120 trillion

Paycheck to paycheck, and what to do about it

Boosting your savings – now!

Germans want gold reserves returned

‘The unbelievably bogus debt ceiling debate’

Investing in what people need

Is America on the eve of a civil war?

Becoming your own banker

Again? Feds printing and spending more

Why you should care about petrodollar system

The real story about the fiscal cliff

Last hurrah from a state statesman

Housing starts up, prices grow, and that’s bad?


Learn more about Jerry Robinson’s “Follow the Money Quarterly” newsletter.

“Bankruptcy of Our Nation: 12 Key Strategies For Protecting Your Finances In These Uncertain Times.”


Jerry Robinson is an economist, published author, columnist, radio talk show host, and international conference speaker. Robinson has been quoted as an economic authority by USA Today, FoxNews and many other news agencies. His columns have appeared regularly in numerous print and web publications, including WND. In addition, Robinson is also the editor-in-chief of the popular economic newsletter, “Follow the Money Quarterly.”

  • Text smaller
  • Text bigger
Note: Read our discussion guidelines before commenting.