Protecting your family from financial damage after you are gone is still your duty. The only way to make sure that this happens is by getting some funeral insurance. With almost every type of insurance, you talk of probability. However, with this particular one, you talk of what happens next after death occurs, since it is certain that it will occur.There are various categories in this type of insurance. Listed below are three of those categories.1. Whole life insuranceThis category is sub-divided into two parts – the insurance part and the investments part. Therefore, anytime you make payments every month, a certain amount will go to the insurance part to keep it active and the other amount goes to the investments. Upon your death, the invested money and benefit from the death insurance goes to the beneficiaries. The beneficiary to cover funeral expenses and other expenses as well can use this money in any way they find fit. However, this type of insurance does not demand that the beneficiary uses the money specifically for funeral expenses.2. Term life insuranceThis type of insurance does not deal with investments. It just deals with insurance on either monthly, quarter a year, half a year or yearly basis. In the case that you die before the time allocated, then the benefits go to the beneficiaries. However, in case the death occurs after the term indicated then nothing goes to the beneficiaries and the benefits go to the drains. This point makes this type of insurance a big disadvantage. What makes this insurance better than whole life is the fact that the premiums in this case are lower.3. Pre-need insurancePre-need insurance is not anything like term life or whole life insurance. It is it structured in a way that it is covers specifically the funeral expenses. Whole life and term life opt that you name a family member as your beneficiary. Pre-need insurance opt that you name your funeral director instead as your beneficiary. The family member could spend the benefits in a way they wish. A funeral director signs a contract that sees to it that everything is done as planned before the death. The major disadvantage in this type of insurance is that it does not cover anything else apart from funeral expenses. In case you left behind mortgage, then it is upon your family to deal with it.Ensure an agent does not lie to you that these are the only existing types of funeral cost insurance. Getting quotes from different companies about these types of insurance will ensure that you do not go wrong.
An Insurance broker is basically a bridge between the clients and the various insurance companies which are out there. His primary task is to make sure that he offers his client, which may be an individual or an entire organization of sorts, the most suitable deal which would act in the client’s interest. For doing so, he must possess the right amounts of knowledge of the insurance market and the high’s and low’s of it so that he may be able to provide the right kind of deals to his clients.Besides having knowledge about the insurance market, he must also be able to formulate insurance policies. However, the activities and tasks of a broker depend greatly on the kind of business he is dealing in and the kind of clients who belong to that business. For instance, if the company at hand is large, the broker may be focused on one major aspect of that business, so that he could focus all his attention on that, without being distracted by minor facts and figures. If the company or the business is on a small scale, then the broker may be involved in a number of functions; he would then not be focusing on one aspect, but he will rather be overlooking the entire thing.Insurance brokers are of great importance and these days especially, they are in great demand. Big companies and serious businessmen are always on the lookout to expand their businesses, maximize the profits and minimize the losses and for this they need people who would guide them, the right way. Here’s when they require the services which are given only by the insurance brokers.So, at a glance, the job of a broker may seem simple, but it is actually more complicated than that; they are required for a number of tasks which include being able to understand the needs of the clients, what they want and what they do not. They must be able to maintain relationships with these clients, being able to hear them out and then give them what they want, accordingly. They must also be totally aware and up-to-date with the policies of the company and if there may arise a need to correct or update any policy, they should be able to do so effectively. They must also have great negotiating skills and are also required do their research work, thoroughly, before finalizing a deal with their clients.
It is almost certain that you have heard or you know someone who has complained about an insurance company that did not pay their claim or they did something unorthodox that cost them more money. You have heard bad and nasty episodes of people complaining about the insurance industry. The sad part is that some are true and the unfortunate bit is that the client makes most mistakes on applications. Sure, the insurance agent should have gone through it and advised accordingly, but they did not. This is why you need an insurance broker because they would like to be the intermediary, and will strive to ensure you get the best service available.What then should you look for in a good insurance company?
They pay claims
Ask your broker to recommend the best company for the kind of cover you want and have a sit-down with them to understand the differences between the companies. The most important thing you should want to know is if the company is faithful in the payment of claims and if they do it on time. A good insurance company should be able to follow its mandate and pay you when you deserve it. You also need to understand that you have to be in line with the contract when you are involved in, say for instance, an accident to get the full claim.
Companies that have embraced products such as online term life insurance quotations means that they are striving to reduce the time it takes to serve a client and they should be the first consideration because you can get quotations from the comfort of your house or office. This also means that when it comes to processing claims, you will be in a good place since they have minimal paperwork and only efficient and functional departments.
An insurance company is as good as the policies it sells. If they are too good, you need to be careful but if they seem fair and affordable; you might want to consider using this company. These policies should offer flexible ways of paying such as banks, mobile money services, and the internet and so on, instead of always going to their office to make the payment, which could be very time wasting and tedious. They should be time and client-needs conscious. Compare their services with other insurance companies before finally settling on one.