What’s the difference between reassure and reinsure? Not much.
One term is used in relationship language and the other is used in financial discussions. When we think of limiting government to maximize our personal freedoms dragging these words along is very helpful. Why? We interact and the interactions matter. Economy is more than thrift and resource, it is markets of exchange.
Self-governance and liberty require that exchanges with others are guided responsibly.
Reinsurance typically requires a contract. It’s protection for one insurance company by another. Reassurance from your social capital exchanges does not. But don’t forget the latter’s value simply because there’s no receipt.
What can we as individuals do to increase our personal risk tolerance? Strive high through our creative causes while we reassure each other.
I would feel quite deflated if I had to look at a government support check in the mail, so I have developed other ways to reinsure myself. And most of my sense of security carries no receipts. I take on high levels of risk (and freedom) because I have put in time and energy to gradually build a broad portfolio of skills, experience, and friendships that reassure me.
Financial investment advice always starts with ‘diversification’. Yet, my financial investments haven’t always been diversified at times. Why, have I allowed that to happen? Because I acknowledge that I also invest outside the financial industry as well – my knowledge, self-confidence, and thrifty resourcefulness have always been very diversified.
I have no absolute dependents. That gives me extra freedom. But, lots of people depend on me nonetheless.
I’ve dared to let my bank balance tread near nothing at times when I want to leverage all my resources (Make Big Bets!) because I know I have emergency reserves outside the bank that I can replant with. My pack of seeds is cheap, my oatmeal and wheatgrass powder store easily, water currently remains abundant, and I have adequate shelter from the strong social relationships that I’ve gradually nurtured.
Wordnik is my favorite online dictionary. Reassurance
- Assurance or confirmation repeated.
- n. Restoration of courage or confidence; deliverance from apprehension or doubt.
- n. Same as reinsurance.