What makes Online Term Insurance Pocket Friendly

The ongoing reforms in the insurance sector in India have paved way for a number of customer-friendly products and policies. Today, if you want to buy an insurance policy, you would come across dozens of large and established corporate houses providing insurance services in the country. The proliferation of online platforms further makes exchange of information more smooth and robust. As a matter of fact, it is much easier to adopt online platforms for buying an insurance policy. Here are the top reasons why it is cheaper to go for an online term insurance.

Cost of marketing

Traditional marketing is much more expensive for insurance companies. Also, they find it difficult to track the impact of marketing schemes offered through media such as newspapers, magazines and outdoor advertising. But in the case of online media, the impact of a marketing campaign could be tracked with the help of tools and technologies. This is one of the major reasons, why insurance service providers are choosing this platform over traditional media.

But how does it matter to you as a consumer? It does. Because the cost of marketing is ultimately borne by an end customer. If this cost goes down, an insurance service provider comes into a position to pass on this benefit to consumers. There are chances that a consumer gets more attractive pricing and additional benefits on buying online term insurance.

Elimination of middlemen

Online transaction eliminates the middlemen. In this case, the insurance service providing company saves on the commission being paid to an agent. Again, this benefit could be passed on to the consumer. The benefit may not come as a direct benefit as such costs are not revealed openly in the public domain. However, they affect the company’s cost of operations and profitability.

Instant updates and information exchange

Buying an Online Term Insurance Plans In India also enables you to operate your online account. All the information about your policy is available at the click of a mouse. You do not have run from pillar to post at insurer’s offices to get details about your policy. An online account is much more efficient and you find yourself empowered enough.

Security

An online term insurance rule out the possibilities of loss of policy, which may happen in case of physical policy. Loss of physical policy document becomes painful as a policy holder has to file an FIR (First Information Report) at the police station, then inform the service provider and undertake a procedure to get another copy. But in case of an online term insurance, all these aspects do not come under play at all. A win-win situation for both company and consumer. However, Insurance seekers should go ahead and compare various insurance plans provided by insurers in order to find the best suited insurance plan to the consumer. This insurance comparison is done using insurance comparing websites such as policy.com.This website provides a detailed analysis of the terms and conditions governing the insurance plans.

Source: http://www.policyx.com/blogs/why-online-term-insurance-is-cheaper/