“Should I buy from a life insurance broker or directly from an insurer?” This question has perplexed millions of UK citizens from many years. This depends on what’s important for you- cost of premiums, speed and ease of application processing or simply peace of mind. Let’s first understand who’s a life insurance broker. They’re a financial entity that compares a number of insurance providers in the UK and guides you towards a tailored deal for your unique circumstances. They usually get a commission from insurers to promote them but a life insurance broker also works for customers’ ultimate benefit. If you’re wondering whether going through a broker is the right choice, look no further! These 9 reasons will convince you to insure your life with the help of a broker in the UK.
A life insurance broker combs the insurance market for the best insurers and most-worthy deals to help you save money. At-a-glance comparison tables help you glean the facts of each and every deal within minutes. It helps you choose the most suitable and affordable life insurance deal for yourself. As per traditional practice, insurers give out free welcome gifts if you insure your life with them. Nowadays, you can get free gifts from brokers just by applying for a life quote. Thus, you miss out on the best deals when you go direct.
Ease of Use
Every financial institution in the UK- be it banks, building societies, retailers- is selling life insurance in competition to the good-old insurance providers. This presents you with hundreds and hundreds of options leaving you confused and with no progress. A life insurance broker does all the hard work of looking through websites and comparing deals, premiums, benefits and percentage of claims paid. You can refine your search and zero in on what you were looking for, whether it was life insurance for over 50s, term or whole-of-life insurance or simply critical illness cover. A life insurance broker has got is always there!
Decode the Jargon
If you get onto any insurer’s website, you’ll find that they largely focus on selling, selling, selling. What about first explaining to potential policyholders their options? A life insurance broker’s website instead is saturated with articles and infographics explaining life insurance terms in simple day-to-day language. You understand exactly what you’re signing up for, thus guaranteeing peace of mind (and also higher chances of a payout!) You could also speak to a life insurance broker at leisure and not worry about getting complete attention.
Become a Pro
Unless you work in the insurance industry, it’s likely you’re unfamiliar with the ins and outs of life insurance. A good life insurance broker can provide a clear and in-depth understanding of the same. With their blogs elaborating on applying for a life policy, paying premiums and making a claim, you’ll master all the facts and can even identify if your insurer doesn’t pay out. There’s also a customer service team that can help with tasks like writing your policy in trust.
Save Precious Minutes
Taking multiple quotes from a number of insurance provider can be indeed time-consuming. And surely nobody has so much time! Whether you’re a stay-at-home parent, work full-time or a senior retired person, time is precious for you. When you approach a life insurance broker, it takes just two minutes to fill out your personal details and get a custom-made quote within a few minutes. So, you save time on doing your own research and perhaps choosing the wrong insurer.
Peace of Mind
While taking out a life insurance policy, you need complete assurance that your policy has been set up properly to protect your loved ones. The best life insurance broker will see to it that you don’t sign on the dotted line with doubts and queries unsolved. They make you feel more than 100% confident in your choice of a policy. Because of experience, a life insurance broker is aware of the drawbacks and common misconceptions, thus they’ll ask the right questions to narrow down on a suitable and valid cover.
When the time comes to claim on your policy, you might be made to wait unnecessarily for the payout. Individual calls and emails are of little avail. A life insurance broker can act as a mediator and speed up the process. Hassle-free claims are one of the biggest perks of buying life insurance through one of many brokers.
FCA-Registered and Authorised
There’s a thin line between an insurance provider being FCA-registered and FCA-authorized. The former means that your insurer’s name merely features in the Financial Conduct Authority’s register. The latter ensures that policyholders don’t lose out if the institution ceased to trade. A credible life insurance broker is usually FCA-authorised and has great reviews from policyholders.
A Life Insurance Broker Works For You (Not The Insurer)
Salesmen working with a particular insurance company are normally interested in sticking you to a deal to achieve their monthly targets. But, it isn’t so with a life insurance broker. They work for you, the customer and not the insurer. You may ask, “Insurers pay brokers to promote their life insurance!” Well, that’s true yet how much they earn depends on the life policy sold and the insurer’s direct commission. Some brokers don’t charge a fee from customers for their services, others do. So, it’s good to check beforehand, lest you end up paying unanticipated service charges. Remember, a good life insurance broker represents your best interests and focuses on individual needs. Always bear in mind when communicating with a life insurance broker: they’re doing a service for you.
Summary- 9 Reasons You Should Use a Life Insurance Broker
- Save Pounds
- Ease of Use
- Decode the Jargon
- Become a Pro
- Save Precious Minutes
- Peace of Mind
- No-hassle Claims
- FCA-Registered & Authorised
- Life Insurance Broker Works For You