ALL ABOUT INSURANCE – DIFFERENT PERSPECTIVES INVOLVED

Nowadays, it is very much essential to pay insurance for every asset one possesses. Cars, home, life, health and much other insurance are available. The highlighting point is that, though everybody is paying insurance, many of them hardly understand the complete meaning and purpose of insurance. On the other hand, insurance people who deal in selling them to public know how difficult it is to make people buy their policies.

Different Perspective in purchasing insurance

Of course, people do not trust the car dealer in showing the best car within their budget and advise them on how to spend wisely. They very well know that it is up to them only to find the best car that suits them. Likewise, a real estate agent cannot be relied upon completely by people for showing the best house in the area to buy it. Even a child knows that sales and marketing people will want to dispose their product to the person who got attracted towards it.  But in the case of insurance companies, it is totally a different scenario.  People trust the insurance companies and buy policies to cover their expenses. Of course, there arises a question why and how this is possible.

Promise in return

State mutual Insurance is one among the most popular health insurance policies. These are the companies that accumulate large wealth through selling mutual insurances to their policy holders. Actually, when people pay money to buy a product or a service, they get that product or avail of the service. They can easily realize the conversion and understand the transaction. However, when a person buys an insurance policy, what he gets is just a paper of promise and nothing else. This promise of protection during a loss becomes a great feature when that person avails of the claim. At this particular period when the policy holder utilizes it, the rates are far higher than the amount used for actual purchase.

Beware of insurance when it becomes a waste

However, not all insurance companies are reliable and trustworthy. There are many insurance companies that have proved to be a scam. They run their business only for the purpose of getting more money from the public than necessary and become wealthy in the fast method.

American way of insurance

The cost involved in health insurance of USA stock carriers is a definite one. The policy cannot be assessed. However, this does not include the stock companies. Hence most of the mutual insurance companies are expected to provide non-assessable policies only. The next aspect is the definite contract. The contracts carry the following paragraph:  “The Company is a perpetual mutual corporation owned by and operated for the mutual protection and benefit of its members in accordance with law and in accordance with the charter and bylaws of the company as now in force and as the same may be amended from time to time.”

Hence the policy protection terms may vary from time to time. However, reasonable changes and the by-laws affecting them only can be accepted.



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