Hindsight is a great thing, especially in the insurance industry. We’ve all known someone who would have done things differently « if only they’d known. » In light of this, we thought it would be beneficial to tell you about some of the most common insurance mistakes that we see. Over the next few weeks, we’ll share some of the most common (& expensive) mistakes that can be easily avoided.
Insuring at the bare minimum (or less) :
While no-one wants to pay out unecessarily, it’s important to avoid the temptation to save money by going too basic to the point you have inadequate insurance. Clients will sometimes make the mistake of believing it will never happen to them but unfortunately, we know only too well that sometimes it does.
Admittedly, the cost of insurance has sky rocketed over the last couple of years & understandably we all want to do what we can to keep our premium at a minimum. However, the incremental cost between paying for too little versus paying for the right amount of coverage is usally not much. It’s certainly not worth the risk of having inadequate protection for you and your assests. Paying a lower premium for inadequante cover is quite simply money down the drain !
Opting for the highest coverage when it’s not required :
On the flip side of paying for inadequate cover, you also don’t want to be paying for something that you may not need. Online platforms in particular, will often present either the bare minimum on their price comparison searches but also, will sometimes « go large » on general quotes. We often get new clients who have been paying for things for years for their old insurer that they quite simply do no need !
If you’re not the type to file insurance claims for small losses, you will save money by opting for a plan with a higher excess and a lower premium. By doing this, you could then put the money you save into a high interest savings account to be used if you do need to file a claim.
The secret is in getting the right balance. At First Assurance we take the time to talk through through your insurance needs with you before, drawing up your policy. Our experienced, native English Speaking Client Manager, will be able to advise you on the add ons you need &, on those you don’t.
If you’re unsure as to whether you current policy is the right fit then, get in touch & we’ll take a look.
Don’t get caught short ! You don’t need to be – that’s what we’re here for !
