When it comes to insurance, it is not just about paying the premium but getting into an agreement with the insurer that in the event of your demise, the promised sum would be given to the family. The agreement is based on trust and accountability and nurtured by transparency.  However, it is not easy for many to put such a big decision in the hands of an insurer, especially when you are not there to fight out. One of the key reasons for people not trusting insurance companies is because of an experience with a known or heard off, a fractured communication from their end or overall perception of the company.

What are the key reasons for distrust?

Speculative

Many find insurance speculative and not worth locking in money for a period that you have no control on or witnessed. It is like a gambling, wherein insurer is the casino owner and insurers the gamblers betting and risking amounts.

Ambiguous

The complicated policy structure and incapability of insurance company representative to decode it for a layman is another reason that keeps many far from buying insurance and trusting the companies. Interestingly, many find them being sold a policy that does not suit their requirement and feel trapped into the agreement.

Disengaged

Insurance is not like a product sold and forgotten about it. It is a matter that involves life and life after death, and requires engagement from the insurer in the form of a dedicated call centre to respond to policyholder queries and redressal wing to take up issues. However, many of the insurance companies are seen to lag on these aspects and hence impact the trust.

How to resurrect trust in insurance companies?

Certain steps are needed from the insurer to resurrect the trust. These include:

  • Simplify insurance policy structure
  • Win trust via engagement
  • Eliminate ambiguity with precision


We would recommend you to talk to one of our advisers for life insurance quotes.
Any quote that your adviser provides you with will take into account your circumstances, your medical history, as well as your budget!
Call 011-3733-4610 – Monday to Thursday from 11.00 to 19.00 and on Friday between 11.00 and 16.00
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