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The 5 Biggest Mistakes Made By Insurance Seekers

The 5 Biggest Mistakes Made By Insurance Seekers

Insurance is a crucial tool, whether you own a home, a vehicle, when you’re travelling abroad, or when you want to provide some financial protection for your family after you’re gone. It’s a way to protect your life, your income, and your assets. And, without adequate coverage for your needs, you’re putting yourself and your family at risk, which is exactly what happens to a number of people year after year.

Without taking the necessary steps to purchase the right policy, it can end up costing you much more than you bargained for. So how can you avoid this from happening? Learn what the five biggest mistakes made by insurance seekers are in order to prevent them from impacting to you.

Choosing a Provider Based Solely on Price

If you find an insurance company that has rock-bottom pricing, it’s usually not a wise decision to sign anything until you’ve done your due diligence first. Make sure that the insurer has a good rating on Moody’s or another rating agency, check their reviews, and also be sure to read all of the small print. Vetting the insurance company first can save you a lot of money and aggravation down the road.

Failing to Shop Around for Quotes

Many people see a good deal and jump to sign the policy right away. But this is nothing more than a costly mistake. Failing to take the time to compare other insurers and shop around could mean that you’re missing out on better rates and service. To make sure you get the best deal, visit an insurance advisor who can show you a number of quotes that are better suited to your needs.

Not Understanding the Terms

You would be surprised at how many people purchase policies that they don’t understand. In most cases, people skip over the terms and exclusions all together and focus only on the highlighted material. If you make this mistake and an accident occurs, it can lead to some devastating surprises. So remember to never rush through a policy and to always talk to a professional first who can help you decipher any of the information that’s not clear.

Fibbing to the Insurance Company

Little white lies could come back to haunt you. If you don’t provide your insurance company with accurate information that they ask for, you could risk losing your coverage altogether. So be as honest as possible and clarify any information that could be misinterpreted.

Taking a Guess on What You Need

In reality, one of the biggest mistakes made by insurance seekers is being unaware of how much insurance they actually need. This can cause a lot of stress if you miscalculate and are short on coverage. And, since there are many factors to take into account to properly calculate how much insurance is right for you, it’s best to talk to an insurance professional who can help you with this process.

Don’t get caught off guard because of an unexpected insurance mistake. At Rowat Insurance, we’ll help you avoid all of these costly mistakes made by insurance seekers, and instead, help you find the right coverage for your needs so you can get some solid peace of mind.

Rowat Insurance

Insuring Ontario and Quebec since 1955. Trust Rowat Insurance Brokers to look after your home, auto, business and life insurance needs. We always guarantee fast, friendly service and highly competitive premiums. As brokers, we are entirely independent from Insurers and Financial Institutions; we will work with you to analyze and advise on risk, and customize the coverage that is right for you.