Do you have runaway insurance?
For most of us, insurance is a buy and forget experience.
We buy insurance when we have something new to protect, then we forget about it until we are reminded of it. This happens one of two ways. When the renewal letter turns up in the mail or our inbox once a year or when something bad happens.
If you can relate, you are likely to have runaway insurance.
Read on to find out why this is and how you can get it back on track.
The point of insurance is to protect us financially if and when something bad happens. When that day comes and our insurance is not up-to-date, we may not be covered the way we think we are. This usually means money out of our pockets. Sometimes, lots of it.
Why you should care about runaway insurance?
Over-insurance is a possibility. Who does not like having money back in their pocket? Perhaps you have car insurance that still covers your under-25 year old kids but they are no longer driving it? Or, you are still paying for insurance for an ex-spouse because you have not updated your policy? Or, the value of your valuables may have depreciated but you're still paying for what it was once worth?
Under-insurance is another possibility. No one wants to find out they are not covered by insurance when the time comes for it. Have you bought jewellery or items that is worth more than what the standard Content insurance covers? Have you changed jobs and your income has increased sizeably since you last reviewed your life or income insurance? Will you be able to afford to buy a replacement car if you are at fault in an accident, if you only have 3rd party cover today?
Everyone cares about money and insurance usually cost us in the thousands of dollars (tens of thousands for some). Why are we not staying on top of it?
What causes runaway insurance.
In the lead up to creating our Quashed platform, we spoke to dozens of Kiwis. We found out first-hand that many Kiwis have three or more insurance policies. Some with six, seven and more.
Start counting. You may be surprised with how many you may have. Cars, home, content, health, life, income, pet, travel... the list goes on!
On top of having multiple insurance policies, these covers are typically not held with just with one insurance provider. They are spread across multiple providers and insurance companies because no one does it all.
Think about where are your insurance covers? Are they with insurers, banks, credit cards, brokers, employers, travel agencies...
The problem with our existing insurance experience is that there is no one-stop-shop where we can buy and manage all the insurance we need.
If it existed and our insurance policies are all with one insurer or provider, there is a good chance that we are making a choice out of convenience, not because we are getting the best policy on the market.
Should we be choosing to protect the things that matter to us and our finances based on convenience? We don't think so.
Most insurance companies or intermediaries only provide a limited range of insurance product that does not meet all our insurance needs. The end result is it becomes a hassle that requires us to deal with multiple parties in order to properly protect all the things that matter to us.
Insurance brokers may come to mind, but even many brokers specialise in certain types of insurance and not all, which means you will usually be passed on to another broker. We'll leave this topic for another time.
How Quashed can help get your insurance back on track?
At Quashed, one of our goals is to keep insurance front of mind without the hassle of multiple calls and emails to all the different insurance providers.
We want to help you and me stay on top of our insurance. This way we can have a peace of mind knowing we are protected.
Our solution is a simple and transparent online platform that lets you and me bring all our insurance from different providers into one place. This way we can stay on top of our insurance easily and much more as we continue launching new features that will make it the only platform you need to manage all your insurance needs.
Try Quashed today and let us know what you think.