Do I Need an Insurance Agent?
If you're wondering whether an insurance agent is necessary, this determination test will reveal the answer. After answering a few simple questions, you'll understand if you truly need the expertise of an insurance professional.
Self-Evident Factors
Consider these scenarios:
When your good watch stops working, do you take it to the nearest Shoemaker or the least expensive Shoemaker?
When you experience symptoms such as chest pain, shortness of breath, and arm numbness, do you take two aspirin and call an ambulance or do you self-diagnose and search for information online?
When traveling from New York City to Houston, Texas, do you rely solely on a compass and refuse to use a GPS or ask for directions?
If you answered 'Yes' to any of these questions, you don't need an insurance professional—the same logic applies to obtaining insurance.
Benefits of Using an Insurance Agent
Here are some key reasons why an insurance agent can be beneficial:
Understanding Policy Terms and Conditions
An insurance agent can explain the terms and conditions of the policy to you before purchasing. They can help you understand the specifics of what is covered and what isn't. Registered agents do not charge any fees; you may be charged if you purchase directly online, but this varies.
Human Error and Correction
If there are any human errors in your policy, such as wrong details filled by agents or associates, you can contact the agent to correct these errors. This ensures your policy is accurate and up-to-date.
Future Changes and Updates
Changes to your details such as bank account numbers, mobile numbers, addresses, names, and nominees can be easily handled by the agent. They can update these details efficiently to ensure your policy remains accurate over time.
Claim Resolution and Payment Management
In the event of a claim, an agent can assist you with the resolution process. They will also remind you to make premium payments on time, which ensures you receive the full maturity amount without any disruptions.
Single Point of Contact
Agents serve as a single point of contact for all insurance-related matters. This means you have one person to communicate with, making the process smoother and more organized.
When an Insurance Agent May Not Be Necessary
However, if you're tech-savvy and feel comfortable with online insurance, you can:
Get detailed explanations of policy terms and conditions online.
Compare features and prices using online comparison sites.
Understand that insurance agents typically represent only one company and may be incentivized to sell that specific product.
Contact an insurance broker who can work with multiple companies, providing advice on suitability and pricing.
Note that as an insurance broker, I may be biased. Nonetheless, I believe the information provided here.