Internet is taking over our lives and it has changed completely the way people shop, bank and even buy insurance.
Internet has spoilt the e-consumer for choice and convenience. Slowly but massively there has been a sea change in attitude towards e-consumption.
In the heydays of the internet there were questions regarding the credibility of the seller, security of payments and the quality of the product delivered but all of that has changed.
However, internet being the great denominator also gave a platform to anyone who was willing to be heard. This made transparent highly transparent.
A survey has found that savvy young people are most likely to buy insurance online than any other financial product on the internet.
‘ Life Insurance’ is the most searched keyword amongst financial products after stocks on the internet. Life insurance is the most popular financial product online.. Below are reasons why buying insurance online is good:
Young people often postpone important financial decisions like buying insurance, owing to lack of time or awareness etc. Hectic paperwork and time consuming visits to insurance offices are now reduced to few clicks and phone calls.
Millennials will physically storing paperwork or for the matter physically storing anything is such a pain. So the internet takes care of the dirty work.
Finding an adequate insurance cover online is now a walk in the park. Websites such as myinsurance.com will let you compare, choose and select the plan best suited to your needs.
Managing your policy digitally means doing away with the need to maintain and safely store paperwork, which can be such a drain on energy and resources. The time that is saved can be used elsewhere with family or on a hobby.
Online plans are cheaper and the premium to be paid works out to be 30-40% cheaper than offline plans. For example, ‘ HDFC Life click2protect’ plan provides an insurance cover of up to Rs 1 crore at just Rs 23 per day per less (depending on certain factors).
The reasons for the premium of online plans being cheap is because there is no middle-men involved thereby saving their commission. Some agents might get you into believing that online policy holders do not get the same treatment as other policy holders but that is not true at all.
Major insurance providers have oft and again debunked this myth. Another reason for low premiums is because there is no intermediary – read agents- and the buyer is perceived as a low-risk customer.
Not only can you compare plans on the website but also read related policy documents, read reviews of the service provided by the insurer, and see claim settlement ratios and other crucial information which can helps make you this crucial decision.
The absence of agent from the scenario doesn’ t change anything. The customer doesn’ t have to collect all the information on the desired insurance plan all by himself.
A phone call to a web insurance aggregator like myinsuranceclub.com should be enough. Therefore, the possibility of mis-selling gets eliminated since all the information at the consumer’ s disposal. The user has complete knowledge of the product and is fully aware what he is getting into.
Convenience of comparing different policies: Websites such as myinsuranceclub.com allow the users to compare different plans.
Comparing gives the buyer a better understanding to choose an apt plan. Social media can be used to get reviews or information about the targeted plan or company.