Six tips for choosing the right insurance company

Publish date 31 January 2016
Six tips for choosing the right insurance company image

Choosing the right insurance company is not an easy task, especially given the financial crises that have gripped Europe in recent years. There are many companies in Bulgaria with attractive offers, so your choice becomes a real challenge. Therefore, we will give you some tips to keep in mind that will help you make a wise decision:

1. Licensing

Not every company is licensed in every country. Carefully check that the company you choose has a license to operate so that it can fulfill the contractual relationship you have with it.

2. Prices

The market is flooded with all kinds of insurance companies that compete with each other with their teeth and claws. And the war is fought mostly on the front of the offered prices - on a closer inspection you would be surprised what a price difference there can be between the same service of two different companies, for example. However, there is a difference in what you will get for your money. So read carefully what they offer you before concluding any contract.

3. Financial stability

You buy insurance that you expect to protect you financially and provide you with security, peace and tranquility. Therefore, choose a company that is likely to be financially stable for many years.

The easiest way to do this is to use ratings from independent rating agencies. There are several private agencies that conduct financial analysis of insurance companies, and their reports can usually be accessed online, by phone, or by visiting their local office.

Remember, however, that a company's rating is just one of several factors to consider before making a purchase. Even if an insurance company does not have the highest possible rating, but offers services that meet your needs, it may be your best choice.

4. Service

Your insurance company and its representatives must answer your questions and be able to cover your needs easily, quickly and efficiently. Never compromise on this. You can get the most accurate idea of ​​the service by talking to people who have already used the services of the company or agent. You can also check the National Database for any complaints or claims that former clients may have had.

5. Security

You need to feel at ease, secure and comfortable about your insurance purchase, whether you have a deal with a local agent, directly from the company or online. Also, make sure you have an office and staff near you that you can contact when needed. Insurance company I and G, for example, has a remarkable presence on the Bulgarian market and offers responsible service to its customers, wherever they are in the country, thanks to its large network of offices, which currently number more than 140 in number.

6. The size

Does size matter? And yes, and no. Most of the largest insurance companies have been in business for decades, which has put them in all sorts of situations, they know the complexity of the insurance business and they know how to manage risk, deal with long-term financial obligations and increase their assets. And these things can definitely be very important.

But that doesn't mean you shouldn't think about smaller companies. There are hundreds of small to medium insurance companies that employ really good professionals who will treat you and your needs with understanding and offer you the best solutions. So don't worry about checking every option you think is appropriate. Because, as the people said - you never know from which hole the rabbit will jump out.

In short - the right insurance company for you is the one that provides you with appropriate recommendations, products and prices, offers excellent service, and has the financial ability to fulfill its financial obligations to you and your beneficiaries when they become due.