Although it makes sense to contact a life insurance company to cover their dependents in the event of their untimely death, there are integrity issues related to insurance companies and agents.
Although it makes sense to contact a life insurance company to cover their dependents in the event of their untimely death, there are integrity issues related to insurance companies and agents. In general, there may be 3 ways that your life insurance company is cheating you. We have enrolled them for your benefit.
Sales coverage that you do not need!
Insurance companies thrive on the fact that most people do not understand their life insurance needs. With the standard products, they try to sell you a coverage that you may not need, but that is lucrative for them. Insurance agents speed up the process so that you skip the fine print and enroll in coverage that does not fit your needs. The trick is to play with your fear factor and sell yourself a heavy insurance, even if you do not have dependents.
We coax you to pay “cash”
We strongly recommend that you do not pay your premium in cash to an agent. Also, be sure to get a receipt for payment. There are numerous fraudulent entities that pose as real insurance agencies that extract cash in lieu of the insurance premium.
They ask you to sign in blank spaces on a form, assuring you that it is just a formality. Once he has fallen in love with his trick, he runs out of insurance coverage. The worst thing is that most of the victims only get to know this scam, when they have encountered some setback and there is no insurance to cover them.
Attracting you with benefits!
Insurance agencies and agents have a way to promise incredible benefits with a life insurance policy. Life insurance agents could offer you plans, with the guarantee that the policy would run without premiums for a specific period. Some agents do it intelligently and offer you huge discounts for signing up for a new policy, while replacing an old one.
The trick is that the previous coverage is terminated and the new coverage does not start due to the complicated bottlenecks in the procedures. Thus, exposing yourself to risk without coverage.