Indians have traditionally shied away from life insurance purchase. However, awareness is steadily rising with more and more people realizing the importance of having life insurance to secure their loved ones from eventualities.
Growing internet penetration has helped buyers in opting for the convenience of online life insurance purchase and exposed them to a world of benefits that sees new buyers being added every day.
So, how do buyers get to benefit from purchasing life insurance policies online and what are the various benefits and advantages? Let's have a look:
Lower purchase cost:
Unlike the traditional methods of insurance purchase, there are no intermediaries involved in the online sales model and customers buy life insurance directly from companies. The lack of intermediaries results in omission of commission charges and reduction of operational costs and other overheads. This results in reduced overall costs for companies, the benefits of which are passed on to the customers.
More coverage for less money:
Rupee for rupee, online insurance policies tend to offer more life insurance coverage than policies bought through traditional avenues, since they have lesser add-on costs being factored into the purchase.
Buyers can access all the information regarding the plans, its features, terms and conditions, etc. on the website of the company. This means that all the information that the buyers have access to is accurate and up to date, thereby resulting in absolute transparency. Also, buyers can review and compare the options available to them and hence, the evaluation becomes easier. Insurance product features and policy nuances can be compared in real-time to understand the implications of a particular purchase before committing to it.
With the advent of social media and various customer forums and websites, a buyer can tap into a lot of information and collective experience of other people and get an idea about the track record of a company, financial or otherwise, and the satisfaction levels of its customers. This is of immense help as it helps a buyer make an informed choice.
Buying life insurance online does have many positives. However, a buyer must keep one thing in mind before he takes the final leap - since there is no advisory involved, the onus of doing thorough due diligence and evaluation before making a purchase is absolutely important. After all, it is about securing the future of our loved ones. So why make haste?