The benefits of having an insurance adviser
Generally speaking, when you buy direct you cut out "the middleman" - a retailer who buys wholesale from a manufacturer. They mark up the product's price and sell it to you. In this day and age there are plenty of direct on-line insurance companies out there. These companies "cut out the middle-man" by selling direct to you, rather than through an adviser. However, while you may think you are saving money by going direct, that typically isn't the case. Moreover, by dealing direct with an insurance company, a consumer takes on a level of risk that they may not realise even exists.
Traditionally, insurance companies did not sell to the public. Instead their products were offered to consumers by “agents” or “advises” who had to be professionally licensed to deal directly with the public. Consumers actually paid the agent nothing because it was the insurance company who paid the agent a commission, and this commission was not added to the retail price.
Calling the retailer an adviser is not an accident. The insurance adviser is actually your legal representative - your agent - to the insurance company. The adviser is certified and carries with them the fiduciary responsibility to be your advocate. They must put your interests first over and above their own, or the insurance company. Even though the adviser is paid by the insurance company, they work for you.
There's Benefits in Seeking My Advice
Getting advice on an insurance review ensures that you’re getting the best Insurance policy for your circumstances. Contact me for invaluable advice.
An independent adviser can do important things for you:
Advisers will stick up for you at claim time - something a computer screen cannot do!
Advisers have at their disposal the ability to quickly check prices and cover with many different insurance companies. Since rates vary widely an independent adviser can very likely get you a better deal than you can get for yourself.
Independent advisers are a one-stop-shop for all of your insurance needs.
Insurance is a complicated subject. It’s an adviser's business to understand it,
and communicate it to you so you understand it as well.
In almost all cases an ordinary consumer will benefit from having someone who deals with this subject for a living advise them on a 50+ page contract.
Good News - Bad News
The above is the good news with regard to what an adviser can do for you. What about the bad news? Even the bad news has some good news inside of it for the consumer: If an adviser makes a mistake they are subject to a code of practice and they can face disciplinary action. Which brings us to another problem that you create when you go direct. You have no licensed, regulated insured adviser acting on your behalf. You are now taking full responsibility for your decisions, and for any mistakes you may make. No more safety net.
There is nothing wrong with buying direct on-line insurance, however, if you deal with an adviser, there are certain services and protections you are going to get that an on-line insurance service simply cannot provide.