Frequently Asked Questions About Insurance Comparison Websites

Insurance comparison websites are now one of the most common ways people buy home, car and travel insurance policies. Some comparison services offer also offer business, van, motorbike and a wide range of other insurance products. Using an online comparison service is a great way to search for the best deals without having to make lots of phone calls and complete forms.

The following commonly asked questions about insurance comparison sites will help you to understand how they work and get the best from them.

Should I Just Take Out The Cheapest Policy Offered?

Care must be taken when comparing insurance products, and it’s not just a case of looking at prices and premiums. Excess levels and other product details vary, and it’s important to understand exactly what you are buying. Buying the cheapest policy can be a false economy if you experience problems with cover when you need to make a claim.

Will One Comparison Site Search The Whole Insurance Market?

A typical comparison site will search over a hundred insurance providers for a car or household insurance product. However, there are insurance companies which don’t take part in comparison services. Specialist insurance brokers offer schemes and products which you won’t find online. Young drivers and drivers with convictions for driving offences may not find many car insurance quotes are offered by a comparison website. Homeowners living in flood plains or areas considered to be at risk of landslip may be declined any quotations.

Do I Have To Pay To Use A Comparison Service?

Insurance companies pay fees and commission to list their products on comparison services, so there are no charges to use them. Some insurance providers offer additional products once you purchase a policy, but you don’t have to take these. Additional offers may look appealing, but consider carefully if you really need them.

Are There Are Any Risks Involved In Using Insurance Comparison Websites?

The complex nature of insurance means that you have to take care when shopping for policies online. Buying motor or home insurance isn’t like buying your weekly groceries. It’s important to read and understand the questions that you are asked, as a policy will be underwritten based on your responses. Some sites have answers to many questions pre-filled, and it’s important to check that the assumed responses are correct. A simple error could mean that your policy is invalid when it comes to making a clam. Comparison sites often transfer you to an insurance company website to complete the sales process, and this is a further opportunity to check that your policy information is correct.

Are There Any Advantages To Buying From A Traditional Insurance Broker?

The main advantage of dealing with an insurance broker is that you can speak to someone and get advice about the best policy for your needs. Insurance brokers are highly regulated, and they are required by law to offer professional advice. It’s an insurance broker’s job to understand your needs and suggest the type of insurance policy that will offer the best cover and value. There’s no chance of making an error when buying insurance through a broker, and it’s their responsibility to select the right product. Most brokers have experts to deal with claims, and this can speed the process along and help you get maximum value from your policy.

Insurance comparison websites are a great way to review the market and get an indication of premiums, but you should always look beyond the prices. Insurance only has value when it comes to making a claim, and you’ll have wasted your money if a policy doesn’t pay when you need it to.

An Explanation of Bail Bonds

When someone is arrested on suspicion of a crime, they're taken to jail, and booked and bail bonds are sometimes used to get them out as they await trial. They are a financial obligation that guarantees the person's future appearance in court. It is an obligation the accused person signs to get out of jail and show up in court at a later date. It is a legal paper bought from a licensed agent and given to the court instead of money. When the court has the legal paper, they release the accused from jail to await their court case.

Associated Fees

There are some fees associated with getting bail. The costs may vary by state and the different laws they have. The fees can vary from 8% to 15%, or more, of the amount set by the court to release the accused. All licensed agents are regulated by the state on what they can charge in fees. The regulations say that their fees are not to be excessive, unfairly discriminatory, or inadequate. Some states do not have a set maximum allowable premium that they can charge. Not all states have private agents.

Collateral

You may need collateral for a licensing agent if you do not have the cash necessary. Acceptable collateral may vary depending on the private office. Each office may have standards they use for what collateral is acceptable. Typically, collateral includes real estate, jewelry, cars, stocks, and bank accounts. Other acceptable collateral includes credit cards and personal credit.

If a person misses their court appearance, you may lose the collateral that you used with the licensed agent. Each state has options to fix the situation. The licensed agent is notified there was a missed court appearance and the legal paper is in default. A bench warrant is issued for the arrest of the person. Typically, there is a grace period for the people to turn themselves in and the default is lifted.

Non-refundable Fees

When you pay a premium for bail bonds, you do not get that money back. The fee is what got the accused out of jail, and when they are out of custody, the agent has earned the fee. The fee, or premium, is not refundable. The agent earns the fee by providing a service. They manage the accused and make sure they show up to the court appearances they are required to attend.

Knowing how bail bonds work helps you understand the risks involved. If you need to get someone out of jail, it helps knowing how the process works. Understanding the process can make an unpleasant experience easier to get through. It helps prepare you if you are unexpectedly called on to get someone out of jail.

The UK Insurance Market

Overview

According to the Association of British Insurers (ABI), there are over 400 companies that supply insurance services in the UK, of which just over 300 are ABI members. These ABI members paid £10.4 billion in taxes in the 2010/2011 tax year and paid out over £70 billion in settlement claims, making the UK insurance market the largest in Europe and the third largest in the world. It employees over 250,000 people and is, as a sector, one of the largest contributors to UK economic output.

History

Insurance has existed in various forms since at least ancient Chinese and Greek societies in the 3rd and 2nd millennia BC. It developed in post-Renaissance Europe. At this time, insurers would sell contracts to mitigate the risks of trade such as insuring against the death of the head of a trading organization, the death of trading partners or a head of state, events which might adversely affect their business. Speculative life insurance flourished which became a form of gambling. Contracts could be taken out on the life of military leaders and bets placed on the number of refugees who would be alive at the end of a battle.

Professionalization of the industry began after the Great Fire of London when an entrepreneur opened "The Fire Office" to insure brick and frame homes. From these beginnings, various insurance societies and associations developed, moving on from transactional relationships where people could place bets to form contractual groups, where members could share risks.

Positive aspects of the insurance market

Today, this risk sharing aspect of the insurance market means that insurance firms supply an essential economic and social function. People and businesses can manage short- and long-term risk. The insured receives an insurance policy, which is a contract that details the conditions and circumstances under which the insured will be financially compensated. This contract allows the insured person or company to assume a guaranteed (and relatively small) loss in the form of payment to the insurer in exchange for the insurer's promise to compensate the insured in the case of a potentially much larger financial loss such as one from a house being destroyed or a legal claim being made.

Negative aspects of the insurance market

In 2013, the Financial Conduct Authority announced that it was launching a probe into the experiences of people who have submitted a claim to their insurance company in the UK. The chief executive of the Financial Conduct Authority, Martin Wheatley, has stated that the Financial Conduct Authority will look at the extent at which firms are delivering on their obligation to pay out valid claims, how good insurers are at explaining the process for claims, how well they then keep people informed of progress, whether payments are fair and consistent, and whether firms are acting ethically towards their customers. The Financial Conduct Authority announced the review of the insurance industry after a record number of complaints from consumers who felt that their claims were not being dealt with properly, not being paid or being paid out after delays. Another area that the Financial Conduct Authority has announced that it will investigate is the understanding of policy documents, which form the contract between the insurer and the person or company insured.

Insuring the Life of the Non-Life

Generally, insurance is treated as "complicated" by many, likely because of their lack of knowledge about it and its intimidating diversified types. It is worth familiarizing, if not all, at least the very basics of it for the consumer's benefits and best interest. What comes to play the vital role in determining coverage and its type falls between the "purpose" and "goal."

Insurance per se does not only cover humans (life), but it also covers things (non-life). While most of the population is focused on getting life insurance coverage for protection for themselves and loved ones, people tend to forget that there are also some important things that evidently need coverage for protection as well. These important "non-life" things are those acquired with great value and are extremely vital to humans. The best example for the non-life is your own dwelling place, the house. It can never be a decent living without a roof over our head. It is wise to insure your house and its valuable contents (jewelries, antique collections, furniture, etc.) against theft, natural calamities like flood, typhoon, and earthquake and of course, fire.

Another example of a vital non-life is your vehicle. The comprehensive type of insurance is the most advisable for that matter to take advantage of the full features in case of fire, theft, damage, accident, etc.

Now, you might be thinking that insuring the non-life would mean another expense taken out from your budget. But, you have to go back again to the question relative to determining what your purpose and goal is. You also have to remember that insurance of any sort is designed simply to "PROTECT."

You now must have a clearer perspective why non-life insurance is important as well - in a different level as compared to life insurance. Having said this, you can still save while paying the premiums. Strategically, consider an extremely reliable and stable insurance company and have your house and car insured altogether for a better deal - since you are actually buying insurance in bulk. Practically speaking, make an effort to scout for the company that offers the best and compare! You can also save by opting to pay the premiums in advance like quarterly, semi-annually, or annually. This enables you to have another discount on top of the savings from purchasing the bulk insurance. The best part for non-life which makes it different from life insurance is that non-life insurance premium payments tend to lessen each year, provided there are no past and present claims under your policy. It is therefore your role to be mindful of your insurance standing to prevent claims of any sort that will greatly affect your future premium payments.

To sum it all up, always strive to learn. Be cautious of what is important and not, because it is you as a consumer to benefit from your own learning and experience; and in the event that you don't know how things are, always look for help and assistance. It does not hurt to ask anyway. Get involved.