If you're looking for a easier and faster purchasing experience on life and health insurance plans, it is already under way.
Current changes have been instigated by COVID-19 and the need for more social distancing. But from an advising standpoint, perhaps the changes are for the better! Here's why...
Some personal insurance can be bought online
Travel insurance is mainly bought DIY online.
What you need is pretty straightforward and the total premiums? $30 or $40 only.
It is simple enough to skip thorough examination of plan details. There's a chance your dinner bill would cost even more!
Although motor insurance cost more, it is also mainly DIY online purchase.
The key reason is because everyone's needs are roughly the same.
There isn't much that needs personalisation. What you need is mainly to protect you as a driver from liability and repair costs.
Life insurance shouldn't be bought online
However, life insurance needs are very different.
What you want covered as a single will be very different from what you crucially need once you are a parent.
There can be simple rules of thumb such as to cover 10x your annual income for life insurance. It has proven to work for income replacement and liability coverage very well.
But even so, how much you need at age 25 will be very different from when you are aged 50!
Check the infographics below...
Benefits of engaging an adviser you are comfortable with
Engaging an adviser is NOT NECESSARILY MORE EXPENSIVE. This is not just speaking up for me individually but as to all advisers who help their own clients well.
Direct purchase plans are not always the cheapest. Moreover:
1) Insurers have discounts when plans are bigger and you can save premium by having an adviser who is savvy with planning.
2) Underwriting process can be smoother with an experienced adviser.
3) Independent financial advisers can help with underwriting with multiple insurers to get the best offer for you.
I have a handful of ex-advisers who became private clients of mine.
They are certainly competent enough to determine what roughly fits them in terms of needs.
For example, when they have a newborn, they know about health insurance differentiating points as well as life insurance benefits when buying young.
I conduct research and plan comparisons on the latest options in the market to fit into their puzzle.
ZOOM Meetings to communicate effectively both ways!
Trust is established during a face-face discussion.
It always feels a stronger discussion than a phone call and more so an email.
Communication is only 7 percent verbal and 93 percent non-verbal. The non-verbal component is made up of body language (55 percent) and tone of voice (38 percent).
In this Circuit breaker (CB) period, I've done close to 10 ZOOM private client meetings.
What I've came to realise is that meetings are as effective as a physical face to face meeting. Well almost the same other than the familiar handshake.
It has been time effective for both the private client and myself.
Singlife insurance plans done virtually
Singlife has a very well developed online system that makes it easy for both of us if we need to put through an application.
Below are some solutions for life and critical illness coverage that we can do non face-face.
There is no extra premiums as compared to buying directly yourself. The discounts are the same!
MOST IMPORTANTLY, in having proper planning, you benefit a lot more in covering yourself!
There are other insurance solutions that we can also do without a face-to-face meeting.
Hopefully, all the processes also get a lot smoother with time.
Health insurance with AIA done virtually
I've done for quite a few families on getting their newborn a health plan with AIA.
AIA's healthshield goldmax has no waiting period for congenital conditions. Currently in terms of plan limits, it is one of the best in the market.
The AIA Healthshield goldmax has a remote location sign off which can be done virtually.
If you also have a newborn or young kid, read the article below
Conclusions and how to get started
You may have the extra time now to get your insurance portfolio in order.
Inviting you to click below to get in touch to relook at your insurance coverage now.
PS: In addition, we've regular blog articles on financial planning and videos on proper investing!