Consummers say they are comfortable haggling on a price for their health, life and car insurance, but new research shows they aren’t doing it.
The latest iSelect Insurance Index survey shows we’re much more likely to bargain for products, rather than services such as insurance.
Paul Cross, general manager of corporate affairs for insurance advisory firm iSelect, says regardless of the type of insurance you seek, shopping around is important.
“Don’t assume if one company is showing you a discount that this is the best you can do,” Cross says. “Often there are better deals out there, especially for car insurance.”
Premiums and benefits can vary significantly from policy to policy and company to company, so get a range of quotes.
Cross says one of the reasons people aren’t haggling is because insurance is seen as complex and can be confusing.
“If you’re shopping for one company’s insurance, you can spend up to 20 minutes on the phone going through the process, so doing that over and over again with different companies is hard.”
Australians rate their enjoyment factor when buying insurance as similar to getting an injection or doing housework, with 52 per cent saying they avoid it, don’t enjoy it or hate it.
Cross says the key is having the right insurance that matches your personal needs and reflects your age and stage of life.
“For example, a young, single person with no debt will need a very different level of life insurance compared to someone who is married, with young children and a mortgage,” he says.
Another important thing to remember is to renew your cover to make sure you’re getting the type of insurance you need.
One in five Australians either don’t remember when they last reviewed their car, health or life insurance policy, or have reviewed it more than five years ago.
Cross says consumers should not compromise on quality.
“Saving money is great,” he says. “But the right insurance for you isn’t necessarily the cheapest or the most expensive, for that matter.
“Whether it’s a choice of hospitals and specialists or no excess on your car insurance, be definite about what is important for you and don’t compromise.”
Source : Herald Sun
