August 14, 2018

How to prevent insurance scams and frauds

Choosing your insurance wisely is extremely important. This can help you in avoiding any kind of insurance scams as the insurance frauds are on the rise. People while shopping for insurance may come in contact with various insurance providers and agents. Thus, it can become difficult to decide on the right kind of insurance carrier and if it is at all a legitimate one. However, you can still avoid falling prey to insurance scams if you can have clear idea on the insurance policy you are going to take and if you check if the company is licensed. There are various others things too that you can follow in order to avoid becoming a fraud victim.

Some of the things to check with

Some of the things that are essential to check with if you want to prevent insurance scams are:

1. Don’t reply to suspicious e-mails – It is always better to avoid answering or replying to any and every e-mail. Never reply to an e-mail from a person who you do not know; even if it is about a great offer. It is always better to shop for insurance policies on your own and buy one out of your own choice. Or even if you think that you can at least check out the offer, better avoid replying to the mail. Check out if the contact information (if provided) at all works and if the person is easily reachable. This should be done not once but more than that on different situations and times.

2. Will have to be vigilant – It is important for you to be vigilant about any and every kind of offers and phone calls other than the e-mails too. If ever you are able to suspect or detect any fraud with regards to insurance, you should call at the required number. So, it is important for you to be aware of that number too so that you can call as and when required.

3. Never sign blank insurance claim forms – It is always better to avoid filling out any of the insurance claim forms that are blank.

4. Safeguard personal information – While buying a policy do not give out personal information just like that to the agent or the person you are dealing with. It is extremely important for you to be aware of the whereabouts of the person, if the person is at all reacted to the company in question and if the company too is legal and licensed one.

5. Check with licensing of the agent – You will have to check out if the agent with whom you are dealing in order to buy the insurance policy has a license for what he is doing. This is extremely important otherwise, you will end up losing all your money.

6. Avoid providing wrong information – It is impoartnt to get all kinds of information about the company you are dealing with, the agent you are dealing with and the policy you are going to buy. Similarly, it is also important for you to provide all kinds of details and that too true about you as required, to the right person to avoid being a party to the scam.

Just as it is important for you to be sure of anything and everything you are buying, it is also important for you to find out properly with whom you are sharing your information. It is always better for you to avoid taking out a policy with a company or agent asking you for wrong information just to help you wthn getting a policy.

How to find the right home insurance policy

It’s always a good idea to make sure that your home is fully protected.  You need to make sure that you buy the right home-insurance policy for your circumstances.

Sometimes home insurance isn’t the most straightforward cover to understand, but at the same time it’s very important to understand because it’s how you secure your home from anything unexpected.

Finding a policy that meets your requirements is important and here are some of the best ways to do it:

  • Within home insurance there are generally two different types of cover – Buildings Insurance and Contents Insurance cover.  Buildings Insurance protects the actual structure of your home, whereas contents insurance protects the possessions you have inside the home.
  • Getting the rebuild cost right is vitally important.  Most property rebuild costs are very different from the market value of a property.  This is because the market value is affected by the area and land values.
  • A general contents insurance policy might not cover your most valuable items.  Expensive items like bikes and expensive laptops are not usually insured under an average contents insurance policy.
  • The excess on your policy is important.  If you opt to pay more excess then you may pay a lower premium price.  But it does have it’s downsides in that if you have to make a claim you will need to pay a higher amount up front.
  • Compare different policies and providers by shopping around for your home insurance.  If you just choose the first provider that you find you might be missing out on a better price for the same policy.  Shopping around can save you money in the long run.

Finding the right home insurance policy is something that is important as you could end up paying too much for your policy or having the wrong type of cover for what you need.  The tips above give you a bit of help around how to go about getting the right policy for you.