How can you assess the fairness of the premiums for life and other personal risk insurance policies, in client speak.
To do this you need to understand and appreciate that for many clients they do not have a basis for relativity when it comes to life insurance premiums.
When presented with premiums for a protection solution strategy involving the purchase of personal insurance policies, a table comparing premiums of one insurance company to another really DON'T assist in illuminating the client on the price relativity.
This is because our comparison table compares relativity in our world - the financial services world. It's easy for a financial services professional/ life risk agent to feel comfortable with the comparison.
What the client needs is a comparison with costs that they can relate to.
Making the insurance premiums relevant and reasonable means looking at the premium comparison through a clients eyes.
One way of doing this is to compare the impact of simple life events to major life events AND THEN compare the costs of how they protect themselves against these "simple" life events versus how they could protect themselves against these major life events.
In simple straight forward and relative terms, tables like these position the need for insurance with relevance in regard to its importance AND position the price in a way that the client can appreciate the relativity.
Based on rates in Australia for a 40 year old male non-smoker, it's hard to understand why more people do not protect themselves at coverage levels like these for trauma and life insurance.
We were unhurt but hire car written off. Recovery ,paramedics, fire service all attended. It was horrifying. We had to get documents off to London to claim within 31 days. life insurance quote
ReplyDeleteIt takes work but comparison shopping is certainly a wise move to get a good and attractive life insurance package. This may seem like a bother, but only by making a proper comparison can you determine which plan can give you the best insurance benefits at the lowest possible rate.
ReplyDeleteRegards,
Chris from getlifeinsurance.co.za