Last weekend when my wife Rashi returned from her kitty party, she shared with me the usual stuff like who bought what, who went where for vacation, who did social work, etc., etc., and one unusual stuff…
…talk of insurance!
I was slightly surprised, as it was a different topic to be discussed at a kitty party. Not that, women are not aware of the importance of insurance, but still, that was not the place to be (I thought so). Rashi elaborated, that one of their members had recently bought iPhone 13 for a whopping amount, hence wanted to insure that.
“Now, Rashi questioned me, “When online insurance is available, why do people look for a reliable insurance agent?” Coming this from my wife surprised me. But it was a very practical and valid question.”
Member asked her, “If I know any reliable insurance agent?” Rashi was amused, as she belonged to the leading insurance brokerage house in Kolkata. She promised her kitty friend to get back to her soon.
Why do we need a reliable insurance agent?
How can we select a good insurance agent?
Why one should opt for an agent over buying online?
The narrative goes like this when all the information about ailments/ medicines is available Online, why do we visit the doctor? We visit the doctor because he knows specifics about your ailment, history of the disease, understanding of the patient’s body, etc. then prescribes the medicine. It is not that, “one size fits all”
The same goes for an insurance agent who enables you to make an informed decision regarding which policy to go for. What is the coverage amount? What are the premiums? Other costs involved? besides exclusions and claims process etc.
Unfortunately, the insurance industry reels under gross mistrust owing to miss-selling, hence it is important to have a trustworthy agent on board.
As an investor, you should be aware of various aspects of insurance. Insurance is a long-term contract between the customer and the insurance company, policy documents are printed in the contract format with proper stamping. Hence, the utmost care and attention should be paid to the agreement. The customer needs to understand policy terms and conditions thoroughly, here the role of the agent becomes critical, who does it on your behalf.
So, it is not right to undermine an agent/brokerage house’s abilities. However, to ascertain their abilities, one should check the level of involvement and dedication of the person in his profession.
