Imagine this - you’ve finally saved up enough money to buy a car you’ve been wanting to purchase for a very long time. When you go to the showroom to buy the car, the salesperson starts talking to you about insurance for the car. He explains how you can get extra discounts if you also buy insurance along with the car. While he’s explaining, you start to wonder…
Should you buy from them? Or should you purchase from an insurance company? You also have the option of buying from a web aggregator platform. So, where should you buy from? What are the benefits and drawbacks of buying an insurance plan from each of these options?
Let’s find out!
Pros & Cons of Buying Motor Insurance From Various Outlets
Buying From A Dealer
Yes, besides selling vehicles, auto dealers also sell insurance plans. They usually bundle the insurance product while selling the car/ bike.
Buying from Insurance Company Websites
You can purchase an insurance plan for your car directly from the insurer's website. All processes, like the form-filling, documentation, payment for the policy etc. will take place on the website itself.
- Purchasing a policy from an insurer's website will give you assurance that the product you’re buying is genuine.
- You can also get first hand information about the plan you're considering to buy.
- Most insurance companies offer 24X7 assistance; both before and after you purchase the insurance plan. So, you can reach out to them in case you have any queries.
Buying from Web Aggregators/Brokers
Insurance brokers and web aggregator platforms are like an online marketplace, where several types of insurance plans across insurers are displayed on a single page. So, you can research, compare and choose a plan as per your preferences.
- You can easily compare the features, benefits, premiums, etc. of several types of insurance policies side by side.
- Sometimes, you may also get exclusive discounts and offers that you won't get anywhere else. Hence, the premiums might be low compared to insurance websites and dealers.
- Compared to other outlets, your experience might be smoother, as the systems of aggregator platforms are more robust.
- The insurance broker or web-aggregator will handle the claim - not the insurance company. So, you can get in touch with them if you require help or guidance during a claim.
- The agents of some platforms may be a little unprofessional - as they may not be well-trained or have a valid license to sell the policy.
- Brokers and web aggregators may not have a tie-up with some insurers. Hence, you may not find each and every insurance company’s quote on their portal.
- Agents of brokers and aggregator platforms have a target to complete. So, they may insist on closing the deal without providing proper details. And, if they have a premium-based target, they may persuade you to take a policy with a higher premium.
So, these are some of the benefits and drawbacks of buying an insurance plan for your vehicle either online from the insurer or web aggregator’s website or offline from a car/ bike dealer. Make sure you weigh the pros and cons of each of these options carefully before deciding where to buy the policy from.