Hardly any one likes insurance but we all need it. Insurance is one of those necessity people avoid, yes it is an unsavory area of life . Even if you are shelling out huge sums to pay for premiums o your business, you are hoping you will never need it. If you do need it, Something bad has happened(which we don’t want). To be honest , insurance can be pretty annoying but we do need it in every areas of our business, life and daily existence.
Insurance is a smart way to protect oneself and business from possible losses that would be extremely difficult to cope with otherwise. It can be adduced to be a risk transfer mechanism .
For the one who is insured, it brings peace of mind and a margin of safety because the uncertainty of possible future loss has been replaced by the certainty of the agreed premium.
It is very important that business insure their property, vehicles, life and other important areas that would be affected should there be an unexpected occurrence during the normal course of life and business.
The insurance industry is seen and they are indeed a big powerful industry who is also in business for returns/profit. Coming from your insurance agent; the words ” you are not covered” when filling for some claims can be heart breaking. This has caused a kind of mistrust between the buyers of insurance and the insurance industry.
Most Buyer’s seem to think insurance companies are only out to milk unsuspecting customers and would avoid paying any form of claim except a certain form of haggling occurs between the insurance companies and the customers.
In all fairness, insurance companies have a lot to deal with which are not always in the open. Having to sieve through mountainous claims especially from groups/individuals who try to cheat the system and cash out on insurance companies and customers with genuine claims. These class of individuals who try to cheat are simply not satisfied with buying “peace of mind “,they want to receive from the insurance companies more than what they put in making insurance companies to protect itself through thorough stringent scrutiny.
However as much as a drag insurance can be we certainly do need it. Every business should incorporate one form of insurance or the other to mitigate risk.
The least we need to know about insurance is, purchase insurance to cover only major losses and not to protect for any little thing that can go wrong.
The insurance industry is quite competitive and they are ways to save money. When buying insurance ,look around and compare before buying that insurance.
To be Continued