6 Things to Keep in Mind While Choosing An Insurance Company

6 Things to Keep in Mind While Choosing An Insurance Company

A good insurance company free of scams and illegal activities is not hard to get. One must keep certain criteria in mind, while choosing an insurance company .That’s the easiest way to get hold of a good and reputed insurance company.
This article deals with the six important criteria s that one needs to look for in an ideal insurance company.

    • Background of the company
      One must carefully check the background of the insurance company to ensure that there are no prior scams or involvement in illegal activities. The company should have tie-ups with International, National and regional banks for helping its agents. It should have online and regional and company agents’ facility so that one can approach the company in all possible ways. Those who are not well versed with the internet can prefer the walk in discussion with the company’s agents. At other times, the representatives should be able to come to the customer’s doorstep to help out with the insurance policy.
    • Quotes and Premiums
      The quotes and premiums of the company need to be looked into. The quotes should be kept such that even the least privileged one can afford it. For national insurance companies, these quotes are decided mostly on standards prescribed by the national agents. However, for the private companies, it is mandatory that before one purchases these quotes one compares them. Online comparison of quotes is the best idea. Also, one needs to know how these premiums are to be paid – monthly, quarterly or yearly or in any other manner that the company fixes. The quotes should not be mismatched with the policies. A company cannot charge a home insurance quote for car insurance. These things should be kept in mind and cross checked with the company and its agents.
    • Discounts
      Many a times, the company offers discounts based on various factors. It is commonly seen that clients above the age of fifty five are offered some discounts. Also, the premium rates are different for unmarried men and women. One should keep in touch with such discount rates and take advantage of them, whenever possible.
    • Types of Insurance
      When one chooses a company, one should see the types of insurances offered by that company. It may so happen that a person is in need of a car insurance, home insurance as well as life insurance. It is beneficial that one chooses a company, which offers all the three insurances. It is not feasible or convenient for a person to purchase insurance policies from three different companies. Thus, to attract more and more clients, a company should offer more insurances in reasonable schemes.
    • Proper Advising Agents
      A company should provide the customer with proper advising agents. For this, the companies need to employ honest and efficient policy brokers. Additionally, many companies go for counselors and field specific insurance lawyers who guide the customers.
    • Review of Customers
      A review of the former and existing customers of the company helps the new customers understand and have a clear idea about the functioning of the company and the benefits drawn from the company.
      These are the six main factors that one should keep in mind before choosing their ideal insurance company.

5 Tips on How to Save Money on Insurance Service

5 Tips on How to Save Money on Insurance Service

All of us take one or another insurance policy and pay higher premiums for it, but only a few are aware about what we are paying for. We become so busy in our lives that we hurriedly sign up with the insurance companies to insure our vehicles, life, business and property, start paying the premiums and then forget all about the policy and its benefits. We never think about the insurance policy before we get into a trouble, which the policy covers or before the policy itself becomes invaluable.

Insurance providers never have policies, which come under ‘one size fits all’ solution. If we fail to review the policies, we miss out on significant benefits in terms of money. There is more than one way to save money on insurance services. Let us review 5 tips on how to save money on insurance service.

  1. Club all the Insurance Policies

In the business world, to ‘put all the eggs in one basket’ is deemed inappropriate. However; contrary to this, having all the insurance policies with one insurance company is considered highly beneficial. It helps to get a good discount on premiums. The insurer can get as high as 15 percent discount. It also helps to track all the policies a lot easier than where you have different policies with different providers.

  1. Prepay Your Insurance Premium

As per the financial position and stability, one can decide to pay the insurance premium monthly, quarterly, semi-annually or even annually. Of all the financial adjustments, it is best to settle the insurance premium on semi annual or annual basis as it helps to save the extra expenses, which otherwise are charged by the insurance companies on a monthly payment plan. The extra expenses on the monthly payment of insurance policy can go up to 2-3 percent of the premium amount.

  1. Maintain Good Credit Score

Many insurance providers offer good discounts to the insured if they have a good credit rating. Credit scores tell all about the person’s identification, their credit history and public records. The insurer gets all the information about the past financial obligations and the way the obligations were settled by an individual or business. Credit scores help the insurance companies to decide the risk cover under which an individual or business falls. A good credit rating is an indication that the insured is trustworthy in financial aspects and will pay the premium on time. So the insurance companies offer the policy on reduced rates.

 

  1. Evaluation of automobile, property and medical history of insured

In case you want to opt for an automobile insurance or property insurance against damage due to fire, theft and accident, then you need to get the vehicle and property, which you want to insure, properly evaluated. Higher the value of the vehicle and the property, higher will be the cost of policy and its related premium. However, in case of life insurance, this rule is opposite. If you have clear medical records, then the chances of getting policy at a reduced price are high.

 

A bit of diligent research can help you save lots of money when buying insurance policies.