Having an Insurance cover is important but what is more important is to have the right kind of Insurance product and that too at a right price.
Generally you follow the advice rendered to you by your Insurance Adviser when purchasing an Insurance policy for yourself or family.
But how would you determine that the Insurance plan that you have bought is right for you?
It is not necessary at all that the insurance plan that you have purchased would fulfill your needs and adequately cover your financial risks.
Well you need to see and find out that the Insurance product you have brought from your Insurance Adviser is right for you or not?
The foremost question for you is that, Is your Insurance Agent Selling the Right Plan to You?
So, it is important for you to get the right Insurance product with the right pricing and also from the right Insurance agent.
Here under we list down certain important guidelines that you should follow or take care while purchasing any Insurance product, whether it is related to life or whether it is related to health.
Figure out your requirements
First and foremost it is important for you to figure out your requirements before you call on an Insurance Agent. For example, if you are going for a life insurance, figure out which Insurance plan will meet your requirements. Is it Term Insurance Plan or whether you require a Whole Life Insurance?
You need to calculate your premium paying capacity. For this you have to calculate your earnings and as well as overall expenditures. Then you can even go online and have a detailed study of the various options before you. You can do a comparative study of the various insurance plans by different Insurance companies. Figure out the sum assured you would need and your financial liabilities and future goals too. Doing this will help you a lot in getting the right insurance product from the insurance agent and that too at a right price.
Does your agent ask for your requirement?
A right insurance agent will always first ask your requirements and then pitch the insurance plans accordingly.
So, does your agent ask for your requirements?
You need to see whether your adviser(Insurance Agent) is interested in knowing your requirements or simply focused on selling insurance plans to you without any care for your needs and requirements. A good insurance agent will first know your requirements and based on it will show and explain the insurance plans to you. The focus would be to help you get the best insurance plan according to your requirements. The prime motive of a good insurance agent is to give you the right insurance plan in the right price and not on the amount of commission he or she would receive in selling a particular plan to you.
Does he calculate your insurance cover according to your earnings?
Suggesting an insurance plan cover essentially depends upon your premium paying capacity which in turn depends upon how much you are earning. So your insurance cover should be based on your earnings. Thus you have to see that the insurance adviser takes into the account your earnings.
It is always better not to take insurance plan from an agent which pays no attention to your earnings. Also your insurance agent need to see whether you already have insurance cover or not. Moreover, he needs to figure out how much insurance cover you have at present and how much more you need.
Does your insurance agent forcing you to buy a particular insurance policy?
Well, insurance agents’ commission invariably depends upon the type of insurance plan or more specifically the type of insurance policy sold by them. So certain insurance policies have high commission structure as compared to other insurance policies. This may lead insurance agents actively promote certain particular plans or insurance policies.
So you need to see whether your insurance agent forcing you to buy a particular insurance policy?
If yes, then this may be due to the attractive commission attached in selling that particular policy. So you only need to buy such policies if their features and benefits suits your requirements and you can easily pay the premium too.
Is the product suggested is too attractive?
If the product suggested by the insurance agent is too attractive then you need to check its benefits and features. You may visit the company’s website and check the features and benefits of the policies. Even you can take the advice of some other insurance agent.
Thus you see that you need to have the right insurance product with you at the right price. This will happen if you take the advice of a right and good adviser. You need to make sure that your Insurance agent is selling the right plan to you. By following the above guidelines you can definitely buy the right insurance product at the right price from your insurance agent.