Market Meltdown, Insurance Premium Rising, What the Heck Is Going On?
Take a deep breath—there’s a way forward
Hello late starters,
If you checked your portfolio this week and felt your stomach drop, you’re not alone.
Global markets took a massive hit, and it all traces back to one man: Donald Trump. His recent decision to impose a 25% tariff on imports from Canada and Mexico has sent shockwaves through the financial world, igniting fears of a looming US recession.
As a result,
The S&P 500 was down over 8% from its February peak.
Nasdaq fell 4% after Trump didn’t rule out recession
The Dow Jones Industrial Average fell by nearly 900 points in one session.
These are not small numbers. And here in Australia, we weren’t spared either.
The ASX wipeout
Reacting to the shockwaves from the US market, the S&P/ASX 200 fell 1.78% in a single day, wiping out a staggering $49 billion in market capitalisation.
$49 BILLION. IN A SINGLE DAY.
The thought alone felt like someone was grabbing my throat—I couldn’t breathe. And I know many of you felt the same way.
It’s not a great feeling to open your investing app and see a sea of red. If you’re new to investing, this can be downright terrifying. The urge to panic-sell is real.
To sell or not to sell?
But before you hit the sell button, consider this: Market dips can be opportunities in disguise—because now you can snag quality stocks at discounted prices.
I’m not saying you should rush in and buy the dip immediately. You still need to do your research. But if you’ve been waiting for the right timing, maybe it’s time to consider entering the market.
Now, let’s be clear: there is no perfect timing. Many investors hesitate, constantly watching prices, waiting for the absolute lowest point. But when the market actually drops, panic sets in. They start second-guessing their decision, wondering if stocks will go even lower, which leads to overthinking.
History shows that the stock market always trends upward over the long term. If a company has strong fundamentals, innovation, and long-term growth potential, this dip is just short-term noise. It doesn’t change the company’s core value. If you’re unsure, observe. Or ignore the noise and continue to dollar-cost average, as patience is key.
Now, let’s talk about insurance
I know, I know. Insurance is boring. But with premiums going up from April 1st, you’ve got to do something about it now.
For all the non-Aussies, we don’t get health benefits from our employers, so it all depends on our private insurers. The extras—such as physiotherapy, chiropractic, remedial massage, dental, or optical—can make a huge difference.
For example, next week, I’m getting my regular dental cleaning, which my insurer will cover 100%. That’s $200 saved right there.
How will this price hike impact you?
On average, premiums are rising by 3.73% this year, the largest increase since 2018.
Some insurers are increasing rates even higher, so check your provider’s exact adjustment.
For a family policy, this could mean an extra $200 to $400 annually.
Singles might see $50 to $150 more per year.
What about skipping private insurance altogether? Problem solved?
Not really.
Especially if you’re a late starter in finance and still working.
If you earn over $93,000 as a single or $186,000 as a couple/family, you’ll be hit with the Medicare Levy Surcharge (MLS) if you don’t have private hospital cover. This is an extra 1% to 1.5% of your income in tax.
So if you’re making $100K, you could be paying $1,000+ in tax for NOTHING.
At this stage in life, you’d much rather have health coverage than give that money to the Australian Tax Office (ATO).
What action do you need to take now?
To avoid getting hit by the increase, act before March 31. Some insurers (I use Australian Unity) allow you to prepay for a full year at the current rate, locking in your price before the hike kicks in.
Also, look for promotions—some insurers are offering discounts, extra coverage, or waiving waiting periods. Here are a few offers I found:
AIA Health: Join by March 31, 2025, and get up to 10 weeks free over three years.
Apia Health Insurance: Get a 10% credit on your first 12 months of cover (valid March 4–April 30, 2025).
HIF: Get 8 weeks free plus no 2-month wait on extras (valid until April 30, 2025).
Peoplecare: Another 8 weeks free if you join by March 31, 2025.
Note: I’m not affiliated—just sharing deals I found. Double-check with your insurer before making a move.
Final thoughts
Between market chaos, rising insurance premiums, and the cost-of-living squeeze, now is NOT the time to sit back and do nothing. Take action where you can.
Markets fluctuate, but staying informed and making smart financial choices—whether in investing or insurance—will put you in a better position for the future.
Current “Ah-Ha” moment 💡
I just realised that while consistency is important, patience is the key to investing. It’s not a get rich quick scheme—you need to play the long game to win. Those who lack patience often end up buying high, selling low, and losing money. So, be patient. This wave shall pass.
Where my money went this week 💰
A mini yoga retreat. After a stressful week, I needed something to reset my energy. This retreat was donation-based, which made it even more meaningful.
My photo can’t do justice; it’s a beautiful redwood forest. These trees have been here for more than 2,000 years!
The only sounds were the acoustic guitar and the sound of nature.
A special deal this week 💎
If you’re Aussie and haven’t signed up for ING, you’re missing out. Their Savings Maximiser account has one of the best interest rates. I moved from a major bank and never looked back.
If you haven’t opened an account yet, sign up here by 31 March to get a $125 signup bonus. Use my code JYM170 and follow the simple instructions, then wait for the cash back in your account.
I’m on a mission to empower all the late starters to build a better financial future. You’re only too late if you never start.
For years, I spent mindlessly, assuming things would work out. Now I look back and wish I had: Saved more, Invested earlier and been intentional with my money. If you’ve ever felt stuck, behind, or unsure where to start, you’re not alone. Let’s figure this out together.
Disclaimer: Information shared in this newsletter is not financial advice. Always do your own research before making any financial decisions.
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