Life is too unpredictable to know what we might need, and therefore it is good to be prepared. As well as good things, bad things are also bound to happen. For situations for which you seemingly cannot be prepared, you can still be prepared. For such occasions, you can have an insurance policy.

The policy you buy is a promise of assistance when things go wrong, provided you fall within the policy’s terms and conditions. With so many companies, insurance policy options, and confusing conditions and paperwork it seems too big of a hassle to deal with. Still, a policy can become crucial in resolving many situations, so do try to explore options. This guide will help you choose insurance and show that paperwork is not a mission impossible.

1. Which insurance to choose?

There are a lot of plans even in the same types of insurances, so you may need to buy more than one policy. Some are intended for a shorter period, like travel insurance, and some change with the life changes and different priorities, like life insurance. Only your life situation can determine the package of insurance policies that are right for you. 

2. Life insurance

Life insurance is a type of insurance wherein in case of the policyholder’s death, the insurer pays a sum of money to named beneficiaries, in exchange for the premiums paid by the policyholder. This is a policy that protects your family in the case of your death since even burial can be a costly investment, especially if sudden death happens.

3. Health insurance

One of the seemingly most complicated insurance policies, health insurance covers a portion of medical expenses and doctor’s visits. Individuals must weigh the benefits of lower monthly costs against the potential risk of large out-of-pocket expenses in the case of a major illness or accident. The best option is chosen considering health state, genetics, as well as the type of job. General advice is that high-risk jobs are best covered with a few health policies, while low-risk position doesn’t require such care.

4. Home insurance

Homeowners insurance is truly a necessity. It generally covers damage to a house’s interior and exterior, the loss or theft of possessions, and personal liability for harm done to others. However, damage from natural disasters falls under special insurance policies. 

5. Car insurance

Car is a costly investment and it is best if it is protected. Paying premiums will protect you against financial losses occurring from any type of damage done to the vehicle. There is a possibility that by buying a car you will have to get obligatory insurance, thus protecting the vehicle and yourself in the long run.

6. Travel insurance

Anywhere you travel, internationally or not, travel insurance was always highly recommended should any health issues happen. However, the situation with the pandemic has made travel insurance a must. Most comprehensive travel insurance policies exclude pre-existing physical and mental health conditions. You can even get insurance for your baggage and valuables, in case they get lost, damaged, or stolen.

7. What when the accident happens? What is a claim?

If you are fortunate, you may never have to make a claim against your insurance. When a situation happens and you have to file a claim, in the chaos of any type of accident it can be too complicated. A claim is a document with which you are formally notifying the insurance company that you have suffered a loss or damage that is covered by your policy. A claim is namely a call to action for your insurance company but you must be precise and thorough while filling a claim. The next paragraphs will shortly cover the steps to take when filling in a claim.

8. Check the policy and involve the company

The first step after the damage is done and all the people involved are safe, pull out your insurance policy and check if you are eligible for an insurance benefit or payout. You can check this on your own, or with a legal representative of your chosen insurance company. 

You are supposed to notify your insurance company about the incident and ask for necessary steps to make in your specific case. After getting to chat with the company ask for an e-mail with an explanation of your key questions if possible. 

9. Keep every document, conversation, and pictures

The most important step after ensuring safety is to document everything. Pictures, e-mails, confirmation of calls, and discussed content in written form, documents, diagnosis, etc. Each proof of the accident further strengthens your case and eases the process for the claim lodging. 

It is unlawful to record a telephone call in most territories, but do check if the law applies to you. Keep a record of the date and time of the call, the person you spoke to, and the content of the discussion. If there was an important matter discussed ask for an e-mail confirmation on the stated information. 

10. Lodge your claim

After checking your policy contract and conditions, and getting the advice or clearing up possible ambiguities, you can get to lodge the claim. Gather every information relevant to your case, save a physical document and send a copy of it. Contemporary conditions changed the process, as the insurance software companies created platforms for online claim lodging and following the process of claim approval. Additionally, some might offer to fill in the claim online, along with uploading the additional documents. Be open to gathering more information if your insurance agent may ask from you. 

The insurance company can even send an agent that will gather and check the proof to keep the files, pictures, and damaged real estate or goods in the condition after the incident. All the documents that the insurance gathers independently can be shared with you so don’t be afraid of asking to receive those as well.

11. Request revision if needed

If you are not satisfied with the outcome of your claim, you can make a complaint and request a revision. One of the common issues is the incorrect information received over a telephone call, that each conversation was done with a different agent which took more time or changed status from favourable to unfavourable for the insured. These are legitimate questions that can be raised against the insurance companies, rightfully so. Be tenacious until you get to the heart of the issue to be able to finish with the best outcome for yourself. 

12. Beware of penalties

Stay on top of your payment schedule to be under the insurance policy at any time. And if the worst happens, file the claim as soon as possible. Some policies have time limits to lodge a claim and that is why it’s important to file it quickly. Furthermore, complex or old cases can make it harder to gather all documents and avoid additional costs or being left without policy benefit. 

 

My name is Jacob Braun, a writer and a fan of most things online. I write about web design and development, digital and traditional marketing, small businesses, social media-related subjects and most things revolving around the entertainment industry. 

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