When purchasing an Insurance policy online do you
1. Understand what you are buying?
2. Wonder if you have the right policy?
3. Worry if the policy will actually cover you in the event of a claim?
4. Hope that you provided the Insurer with all the relevant information, whether they asked for it or not?
5. Have the best cover available at the lowest price?
6. Research the Insurer or Underwriter offering the policy and make sure they are properly regulated in the UK and have adequate financial support if things go wrong?
These are important questions that you should be asking yourself before you buy any insurance policy online.
WHAT ARE YOUR OPTIONS?
1. You could remain with the same Insurance Company
You could just stay with your existing Insurer, you wouldn’t have the worry of shopping around for alternative quotations. However Insurers are known to increase renewal premiums, so if you don’t shop around you could end up paying more.
The other issue is if an Insurer changes the terms of your policy. If you don’t look at alternatives you will be worse off staying with your current insurer. If you don’t check, how do you know if they are still competitive?
2. You could use a local broker
If you don’t have the confidence of purchasing an Insurance policy online, we would definately recommend the use of an Insurance Broker. Firstly they will do the searching for you, secondly they will recommend a policy that meets your needs and therefore if there are any problems or complaints that need addressing, they are an additional layer that you can complain to.
The downside to an Insurance Broker, is that they do not have access to the whole market. You will have to pay either a fee or commission element in the final premium, which may make the policy uncompetitive.
Using a broker is not as convenient, especially if you need to meet with them face to face or can’t get to speak to them over the telephone.
3. Use DEFAQTO to rate the policy and Insurer
I am sure most people have heard of DEFAQTO, as Insurance companies use their star ratings in marketing literature. DEFAQTO market themselves as Independent Financial Researchers. They use DNA or Data Numerical Analysis and assess between 40 and 100 features and benefits rating each policy with a 1 – 5 star rating.
This can be a useful tool, however there are several problems with their system:
1. They don’t tell you specifically what criteria are used to make their calculations. If you don’t know what they are basing their ratings on how do you know if the rating is any good or even consistent.
2. They don’t take price into account. Whilst price shouldn’t be judged in isolation, it is an extremely important factor to most consumers. If you don’t know the price, how can you accurately compare policies.
3. They appear to be biased towards issuing four and five star ratings, when in my opinion these should be reserved for the very best policies. You can find out more by clicking here
4. Use a comparison site
Comparison sites are hugely popular and a great way to gauge prices. However if you don’t understand how Insurance works, they can also be misleading. Comparison sites are geared to show you the cheapest price. If you are shopping on price alone, you could end up with a policy that has very little cover or low sums insured, as the cheapest price does not mean the best cover, or the best value for money.
The other important point to note is that, despite their clever marketing, they certainly do not compare all policies in the market place. Take Travel Insurance for instance. Comparison sites compare less than half the travel policies that are available to buy online. Thats a huge chunk of the market place that is being missed.
5. So what is the alternative?
We review every single policy, that you can buy online, whether it is on a comparison site or not.
Not only do we provide comparison charts based on cover and price, each policy is subject to an in depth analysis. We report on the history of the company, who the underwriters or Insurers are, where they are regulated. We list importants points to note and the advantages and disadvantages of each policy. We look at levels of cover, price, transparency, customer service and complaints.
Finally we give each policy a simple 1 – 5 star rating, so you can see at a glance who has the best policy and who has the best price.
We have to allow for the fact that not everyone is an Insurance Expert!!. So we also provide the following additional information
1. An idiots guide to Insurance Terminology
2. A breakdown of what should be covered under specific Insurance Contracts
4. How to make a claim and how to complain
5. The latest Insurance Legislation
6. Insurance News keeping you up to date with the latest changes
We believe we are the only site to review every single policy, by cover, price and service.
How to Use This Site
You can use this site in a number of ways.
Firstly you can use it as a pure knowledge base. Unlike many sites, this has been written by industry experts and you know the information is up to date and accurate. You should easily be able to find the information you are looking for and if not, feel free to email us on firstname.lastname@example.org.
Secondly you can use it to compare policies and find the most competitive and suitable cover for you.
Download our comparison guides and check which policies come top. You can either click straight through to that site and get a full quotation, or you can read our in depth analysis on the policy you choose, to make doubly sure it is suitable for you.
Using this site will save you time and money, as all the information is under one roof.
Remember We do not sell any policies ourselves and have no particular affiliation, so the information you will get here will be independent and from experts in the Industry.
We intend to review every type of Insurance policy that you can buy online. However you will appreciate that to complete proper reviews takes time. We recommend you bookmark this site so you don’t miss any of the reviews as and when they are added.