Insurance – Buy Online

With the spread of internet, Insurance companies find it cheaper to sell insurance online. Since they do not have to do lots of paperwork and get rid of the agents commission. Of course there is the option of going through the agent, but then costs will go up. Why? Because the agents give you service and you pay for that service. But if that is true, then if you buy online you don’t receive service? You will, but you have to ensure that you take care and ensure you do not have to worry later.

What do I mean by that? When you go through an agent, he helps in filling the form; he takes care of all the small matters. It is a time consuming process, since you have chosen to fill the form online, ensure you fill the form with care. No pain is no gain. So if you save on premium, there would be some pain in filling the form, but it would only be once. This you have to go through so that when there is a claim, it is not rejected because of wrong information.

Another thing the agent does other than filling your form, is reminding you to pay your premium on time. This is very important or else your policy will lapse. Now almost all banks have ECS payment option, so just fill that form and be free of this as well.

As we always say, go for term insurance only, because that is what insurance is all about. Now what would be the difference in a term policy from one company to another, you guessed it right; Premium. So the best thing to do is compare the premiums of different companies for your age and term online.

So have you decided what insurance amount is best for you? If yes, compare the premiums for that amount. Now just because the premium is low, do not go for higher insurance, you do not gain anything for having a higher insurance. In fact you are just increasing your liability. You could use the savings to build your assets. Some companies might give you a good deal if you go for a longer term policy. But here again, your policy should be only till you are earning.

It’s always cheaper to buy a policy when one is young, so buy early and ensure that the policy lasts till you retire.