Obtaining the personal insurance you need to protect your interests and safeguard your assets can be confusing. Before you sign on the dotted line you want to be sure that you understand what your requirements are and what's on offer and that the cover you choose is effective, appropriate to your needs and protects what you expect it to.
This means understanding the terms and conditions that apply and how they affect the cover being provided. Having the guidance of a broker who can analyse your needs and who is familiar with the policies offered by providers can make a substantial difference, especially since they may have access to competitive deals due to existing relationships with insurers.
In any case before you commit to any personal insurance cover we recommend walking through the following steps to help achieve clarity with what's involved in selecting the personal insurance cover that works for you.
1. Identify what you want to protect with personal insurance
While many people may not have a clear idea of what types of personal insurance are available, or the scope of what they might cover, it's not hard to decide what's most important: your family's security, your health, big ticket items such as your home and car, valuables with an inherent value such as jewellery or artworks. Researching current prices for replacement costs helps avoid being underinsured.
2. Find out what personal cover is available and what terms apply
Matching up available policies that apply to your needs means finding out what insurers are offering and the terms involved. Once you have done this you'll be in a better position to understand any limitations in the coverage and special conditions or possible exclusions to cover provided. Working with a broker is invaluable in identifying this kind of information because they are familiar with the market and the providers.
3. Considerations for choosing the right personal insurance cover
Factors to consider when choosing which provider's cover is right for you include assessing your levels of risk, understanding the deductibles that apply, evaluating policy limits and indemnity periods and deciding how much cover you actually need (this is why it's useful to have up to date valuations).
4. Factors to think about when comparing personal insurance options
With numerous insurance providers and policies available comparing options can be overwhelming. Starting with your specific requirements and budget, review like for like between different providers. Again, a broker who understands your personal position can help you sort through the options.
5. Understanding the claims process if a loss occurs
Making a claim is the test of the value of your insurance policy and at Gallagher we pride ourselves on ensuring our clients get an optimal outcome. It's important that you understand how to navigate the claims process, what your rights are and how a broker can assist in ensuring a straightforward and timely settlement. Recording damage and having records of what items cost or documentation that establishes current replacement values helps smooth the way.
6. Managing the costs of personal insurance premiums
Paying premiums is a concern for many personal insurance buyers so it's worth investigating cost-saving strategies, such as bundling policies if possible, taking advantage of any available discounts, exploring premium funding options, understanding what might be pushing costs up and whether you can adopt any strategies for reducing the amounts involved — such as co-insuring some risks or adopting risk management measures such as increased security arrangements.
7. Stay up to date with changes to policies or cover
The insurance market is highly reactive so it's a trap to fall into a 'set and forget' mindset as appetite for risk is constantly fluctuating. Pricing trends in collectibles, disruptions in vehicle supply chains and extreme weather events, for example, can have an impact on sums insured values or on premiums. It pays to review cover with your broker at renewal time or you could pay too much or risk being underinsured.
How Gallagher can help
With so many different levels of cover to compare, choosing the right insurance can be a challenge. This is where we can help.
We gather and sift through information to find the most suitable personal insurance options for you so you can be confident the possessions you value most are protected.
