Questions and Answers:The ability to purchase insurance online and avoid high-pressure salesman is a luxury that today’s consumers enjoy. However, the task of searching, comparing and purchasing online insurance can seem overwhelming. InfoFAQ has compiled some important frequently asked questions to help simplify your next online insurance purchase.
Frequently Asked Questions About Buying Insurance Online
What is the advantage of buying insurance online?One major advantage of purchasing insurance online is that you can quickly find and compare coverage between different carriers with out having to speak with a sales person. Sales people take up your time trying to convince you to buy from them, and on the web you are protected from this intrusion.
Is buying insurance online faster than buying it from my agent?In many cases the online insurance seller will be able to generate a policy faster than your local agent. You agent may be busy or have to schedule a time for you to come in, or maybe they are on vacation. The online insurance seller will use computerized systems to automate the enrollment process, which can result in your getting coverage up and running faster.
How soon will my insurance coverage begin if I make the purchase online?Of course this will depend on the provider and also on the terms of the policy. All policies will have a beginning of coverage date, so make sure that the online seller provides you with this information. You can usually print our proof of coverage once you have completed your purchase online.
Do online insurance companies have agents?All insurance sellers, both online and not online, will be required by law to use registered insurance agents to sell you insurance. In the online environment, you may be in contact with your agent by email or an online chat system. The agent is hidden behind the website, but they are still there. You may even be able to call them on the phone, so check with your provider on this.
If I purchase insurance online, what will be covered and not covered?This is an important point, in that the website may not mention what is NOT covered. If they don’t provide you with comprehensive information about the coverage and coverage limitations, call them or send an email. If you don’t get an answer, shop somewhere else.
How do I get an insurance quote online?Getting an insurance quote online is a simple as filling out the company’s questionnaire. They will ask you questions relating to the coverage that you are requesting a quote on. They will need this information in order to calculate the rate that you would pay.
How can I tell if an online insurance company is really legitimate?The reputable online insurance companies will always post their physical address and phone numbers on their website. If they don’t then you should find another provider that isn’t trying to hide behind the internet.
How hard is it to file an insurance claim for a policy that I bought online?When it comes to buying insurance online, most companies only use the internet for the initial sales aspect of the policy. Once you have been signed up using the online process, you will be given a customer support and claims phone number. Filing a claim is as easy as calling the phone number provided to you.
If I try to purchase insurance online, will I be able to get signed up immediately?
Not all online insurance companies will be able to actually give you immediate coverage based on your internet transaction. In many cases the internet is just used to generate a rate quote, but when you want to sign up you must speak with an agent over the phone. This may not take any longer and may in fact help you by letting you ask questions to a live person.
Consumer Safety and Information
Insurance Oversight - www.hhs.gov
The Office of Consumer Information and Insurance Oversight.
Insurance Division - www.state.tn.us
The Official Website of the State of Tennessee - Department of Commerce and Insurance.
State Insurance Regulators - consumeraction.gov
This link provides information on how to reach state insurance regulators that can help to provide state-specific information relating to car, homeowner, health or other insurance policies.
Division of Insurance - www.mass.gov
Office of Consumer Affairs and Business Regulation.
Consumer Advocate - www.wvinsurance.gov
Consumer Advocate is mandated to advocate for and protect the interest of the West Virginia consumers.
Recommended Insurance Websites
State Farm - provides auto, home, life, and health insurance policies and a range of banking and mutual fund products.
insure.com - online consumer information service that caters to the needs of self-directed insurance shoppers.
Prudential Financial - offers individual and group life insurance, employee benefits services, annuities, and a range of investment products and services.
Insurance Sites on the Internet
Liberty Mutual Group - http://www.libertymutual.com
A diversified financial services company, including a multi-line property and casualty company, a financial services company, and a life insurance company.
Principal Financial Group - http://www.principal.com/
Offers a range of financial products and services including retirement and investment services, life and health insurance, and mortgage banking.
Other Life Insurance Information
Variable Annuity Scams Did you know that over a trillion dollars is currently invested in variable annuities nationally? Life Insurance companies and Stock Brokers are making millions of dollars by fooling the public into buying something they don't need.