Buying insurance can be said to be easy and difficult, because there are many considerations that must be considered. Especially with the high competition between insurance companies as it is today. However, there are some important factors that you should know before you buy insurance. So, what are the tips for choosing insurance? Here's the review.
Tips for Choosing Insurance Products:
1. Understand yourself.
As insurance holders or buyers, we must know exactly and clearly our needs. Insurance products are so many and varied. Selection according to needs should be a priority.
In the early stages, health insurance is needed by those who start collecting insurance investments. Health insurance covers medical expenses, including hospitalization. Furthermore, life insurance bears the risk of future uncertainty.
This insurance provides a guarantee of a certain amount of funds for the bereaved family if the policyholder dies. This means that we transfer the risks faced by the family in the future to the insurance company.
If both of these insurances have been owned, then we need insurance for the goods owned. For example, home insurance is free from fire, car insurance for loss or accident can also be made including third parties.
If you already have it, then think about very specific insurance and be offered to the public. For example, job title insurance or professional indemnity insurance. This insurance is needed by doctors, stock brokers, and MI.
2. Find the desired insurance and insurance companies offer.
Insurance companies offer many products and vary greatly from one company to another. For this product, buyers of insurance products must pay close attention to the products offered. If necessary, the buyer can consult with friends or insurance experts.
When looking at these products, buyers must understand the legal language of the product brochures offered. The premium for the same product can be different for each insurance.
3. Taking into account the ability of the insurance to be purchased.
If the buyer wants only insurance, the premium is an expense, not an investment. The following year the buyer must pay the premium again and there may be an increase in the premium due to inflation or costs incurred by the insurance company.
Don't force yourself if you can't afford the insurance. It is better to postpone and carry out the following year. If buyers push themselves, other posts must be sacrificed in order to buy insurance products.
4. Matching insurance products with the ability of funds.
This is the process of making decisions for the selection of insurance products to be purchased. If the desired insurance product is multiple, and is offered by more than one company, that is very good information for the buyer because there are options.
5. Discuss the contents of insurance products from insurance companies that have been selected according to the ability of funds.
This discussion is very important because brochures that are given to read are often ignored, and we are not careful enough. All brochures and information from sales agents should be discussed with parties who understand the law, so that the choice is more secure.
Because it costs money, buyers can ask friends, or “friends of friends” who understand it. Small expenses such as lunch may be borne to increase our knowledge.
6. Choosing an insurance company is equally important.
Insurance buyers must be clear and careful so as not to make the wrong choice. Insurance buyers should know the track record of the company. The ownership status of the company is sometimes also a selection factor, but not the main factor.
There are insurance companies that are still small, but whose track record is very trustworthy. Insurance buyers can ask customers or insurance buyers from the company. In fact, you can ask the party whose insurance has been paid according to the agreement.
Big companies also often do things that are not fair. We often hear that insurance companies are very keen when collecting premiums, but very difficult when disbursing insurance claims. The delay in disbursing claims is generally because the company is still investigating an incident that caused the claim to arise.
Foreign or local ownership is also often an option. Foreign owners are usually more experienced than local. However, buyers can judge for themselves regarding these characteristics. Good management will always pay attention to its customers. Usually insurance companies hold meetings with their customers to get acquainted so that many of their products are purchased.
7. Sign the insurance agreement.
At this stage, it is necessary to pay close attention to whether the contents of the agreement are in accordance with our offer and wishes. Buyers do not be tempted by the sentence that everything is according to your wishes. If the answer is a raw material from the company, the buyer must be careful and ask to be postponed to suit the buyer's wishes. What is written in the agreement becomes the grip of each party.
In buying insurance products, buyers always meet selling agents. Don't be tempted by the attitude of the agent who wants to close the purchase quickly because the buyer can make the wrong decision. Buyers should not pay attention to signs of being very interested in a product.
Caution is needed. Purchase funds do not belong to anyone else, but yours. Loss or risk of an insurance purchase error is still borne by the buyer, not another party