Are you torn between getting insurance online or consulting an agent? This article guides you through the pros and cons of these options.
A New Frontier: The World Wide Web
The Internet has provided instant access to all kinds of products and services, and insurance is no exception to the advertisements and transactions made online. Today, many Canadians are shopping for and comparing their insurance from online companies.
Difference Between Online & An Agent
The only difference between online and brick-and-mortar insurance deals is the presence of a broker or insurance agent.
What are the major differences between having an insurance agent and getting insurance without one?
Advantage of online insurance policies
Lower premiums are the main advantage of online insurance policies over local agent offers. The absence of an insurance agent's commission results in a reduced premium.
Prices are also reduced by a lower overhead for the insurer since they do business online.
The Internet allows for quicker withdrawal or payment from both the customer and the seller.
Another advantage is direct selling or quicker sales via professional organization alliances.
Benefits of hiring insurance agents
In terms of committed service and results, an insurance agent delivers. For examples, in provinces like Alberta, an insurance agent can help you understand the differences between private and public auto insurance.
In Alberta for example, the province operates within a private auto insurance system. This means that customers purchase their auto insurance through a private company. Other Canadian provinces such as B.C or Saskatchewan operate within a public auto insurance system. This means that customers purchase insurance from a Government run agency.
If you happen to be moving from one Canadian Province to the next, this could be a critical factor when it comes to understanding coverage and cost.
Unlike online insurance quotes, the agent can visit your office or home personally. The visit enables him or her to review important documents such as leases, mortgages, and sub-leases.
He or she will also be able to guide you thoroughly through insurance-related laws and recommend specific actions.
Those who are unfamiliar with insurance policies and guidelines should get a policy via an agent.
Legitimate Websites vs. Not So Legitimate Websites
The disadvantage of insurance sites lies in their legitimacy.
You are not sure which websites are actually scam and which ones you can trust. With a local agent, you feel safer, thanks to his or her license and the company he or she represents.
You can also double-check that person's name through references or ask for recommendations from friends.