A 4-Step Checklist for Smart Insurance Clients

Have you ever felt hesitant about buying insurance? We as Sri Lankans, often hear how some, even are sceptical about buying vehicle insurance for that matter. Maybe you've heard horror stories about bad products or pushy salespeople. Even if you're curious about your current coverage, the fear of a sales pitch might keep you from talking to an advisor.

But the truth is; that insurance can be a powerful tool, offering financial security when you need it most and expect it the least. The key is finding the right kind of coverage for your unique situation.

Many advisors such as me, understand this challenge. And to relieve here are the 5 steps which you might be able to use to find your ropes in the pursuit of the ideal coverage for you and your loved ones.?

Step 1: Unveiling the Coverage Truth with Data

I usually start by giving clients a reality check on their existing policies. I call this the Personal Financial Audit. Where I analyze data on the current coverage the prospect has and share the?Gap?what need. This is not new information, this is simply demonstrating the current coverage with the required coverage and finding the difference.?

Why it matters:?In Sri Lanka, and several other countries, it's been understood People are going to be living longer, but not necessarily healthier. This means healthcare needs become even more important when it comes to insurance. You buy insurance for a future payout, but that payout might be way down the line. So, choosing the right insurance at the right stage in life is crucial. Additionally, advancements in healthcare can lead to faster diagnoses and better treatment. The right insurance can make sure you have access to that care.

Step 2: Life vs. General Insurance: Don't Get Confused!

Most clients have a limited budget and want to make sure they're getting the most out of their investment. Being in the industry, I try to help clients understand the key differences between life insurance and general (non-life) insurance, ensuring they get the coverage that's right for them.

Think of it like this:?Life insurance and general insurance are completely different ball games. Guiding clients to the appropriate coverage involves clear communication and carefully explaining each type.

Step 3: Risk-Based Products: A Deep Dive

The checklist then dives deeper into risk-based products, like insurance for general illness and critical illness. And something I tell my clients is that Medical Insurance is not a "One-Fits-All" option.?

Here's the key:?Prioritizing is important. Critical illness insurance might not have been popular in the past, but, if you look at Sri Lanka alone, you will see, that most of the hospitalizations are due to non-communicable diseases, which could lead a person into a Potential Critical Illness. But, this covers a specific class of Medical Conditions. But, General illness insurance, with its broader coverage, should be the priority.

Step 4: Don't Get Stuck on Renewals

Clients get to see both non-renewable and renewable policies, so they understand the advantages and disadvantages of each. The importance is, to get coverage, not to plan your final medical insurance portfolio in one sitting. This can be a progressive approach, over time.?

Your insurance is not an eternal tool. Just like any other tool, your insurance wears over time, due to maybe your social status, change of occupation, increase in income and many more reasons.

Just as any worn-off tool, becomes ineffective, an insurance policy can be the same. When you are planning to use it, if it's not sharp enough to cut through the bills, expenses and costs, it might only deliver a job half-done.?

If you are ready to get Exclusive Global Medical Insurance, you can click this?link.