Imagine a world where health insurance doesn't exist. On the upside, you don't have to pay any health insurance premiums! On the
downside, if you become sick you're responsible for the full amount of your healthcare. What if you had children? The risk of unknown payments for healthcare would require all of us to save a much larger amount of money to set aside just in case we needed it. This burden would be in which of the following categories?a. fear and worryb. loss of needed goods and servicesc. need for larger emergency fundsd. less personal savings to spend on desired items
The burden of having the knowledge that enough money is required to take of your children's health is simply the need for larger emergency funds. When you begin to set aside money that will be used in the future or you are saving for potential loss in the future, then it is simply an emergency fund. You are not saving out of fear and worry, nor are you spending to save on something you desire. No one likes to spend money on health related issues and no one knows when he or she would get ill, thus "need for larger emergency funds" is the correct option.
