It’s commonly thought that you will only know how good your insurance cover and insurer are when you need to claim. However, good research, understanding your chosen policy and working with a reliable partner will help make sure you don’t come unstuck.
Don’t be a victim of unsuccessful insurance claims
Busy healthcare professionals can sometimes find themselves in a position where the cover they have does not meet their requirements, which leads to their claim being rejected.
This often comes down to having too much choice and not knowing what policy to choose, using generic online comparison sites, and terms and conditions varying across insurers.
However, it is equally important to make sure that you choose to work with reputable insurers and brokers who do pay valid claims.
When claims aren’t paid
According to Aviva, the policies with the lowest pay out rates are travel insurance and income protection, with 89% of claims paid compared to 96% across all policies. In comparison, more than 99% of motor claims were successful (not including third party claims, where one in eight were deemed fraudulent).
The insurer says that income protection claims are usually not successful due to the illness not being serious enough to be covered or the customer is not completely truthful on their application.
A 2017 Financial Conduct Authority report ranked insurers based on the chance of customers having their combined home buildings and contents insurance claim turned down. On a positive note, Hiscox, provider of All Med Pro’s Cyber Liability insurance, paid out in 97.5-100% of instances and came joint top of the list.
Consumer confusion can lead to choosing a policy that is not right for you
In terms of home insurance, even if a claim is paid out, underestimating the value of your home and contents could affect your pay out. For example, if you undervalue the cost of your valuables by 30%, your insurer could reduce your pay out on any claim by this amount – this will likely put you out of pocket significantly more than the saving on your premium.
As well as being unsure if your policy provides you with the right level of cover, many consumers are also unsure if add-ons really give value.
For example, personal accident cover sold with motor insurance. What is included in the additional insurance varies from insurer to insurer, and sometimes is surplus to requirement if you already have the cover under another policy (for example, motor break down cover through your bank account).
How can you be sure you are getting a good deal from your insurer?
The key to choosing the right insurance policy is good research, knowing your personal requirements and understanding the terms and conditions of the cover you choose.
The best way to do this is to choose a reputable broker as your trusted partner. When you have a busy work and home life, it is hard to find the time to review your insurance policies. When you work with a broker, they will take you through your personal needs, explain your options and know what questions to ask you in order to determine the level of cover you need.
That works across the board from home insurance to professional indemnity and practice insurances.
Our top tips
- Always read important documents to understand what you are and are not covered for before you need to claim
- Choose an excess amount that is suitable for you
- Be as open and honest as you can with your broker to ensure your policy remains valid
- Find a trusted broker who will continue to look out for your best interests year on year
Speak to the team at All Med Pro for professional, helpful and trustworthy advice on your insurance requirements.