DIY Insurance

[Donut]

discovered this in HWZ.

 

any one has bought from this?

 

http://www.diyinsurance.com.sg/portal/home/index.jsp

One of the members, claiming to be CEO of Providend that started this DIY portal, explained:

Hi all, I am Chris, and I am the CEO of Providend, the firm that started DIY Insurance. Been reading some of the comments here and thought it might be good for me to clarify certain things.

1. The reason why we say that we refund up to 30% commissions rebate is because for local hospitalization plans (ie shield plans) there is no rebate. This is also stated on the portal. Other than shield plans. We rebate 30% for all plans currently. There is no rebate for shield plans because the commission is small and our experience is that servicing cost is very high. However, after listening to feedbacks, we will word it better.

I didn't want to spend too much time explaining rebates because one should not buy insurance just because of rebates. But the reason why we can give rebate is because

a. This is an online platform. We don't have to hire a lot of salespeople to chase for sales. Our client service managers serving the clients are trained, and licensed. But they are salaried based with no sales incentives. As such, we can lower our cost and pass it back to the clients.

2. The DIY way is not for everyone. Clients who prefer to use the portal must be prepared to do some work, and they are:

a. Use the life stages planner to know what insurances you need at this stage

b. Use the calculators to calculate your needs

c. Compare the insurance using our product comparison engine

Once they have decided how much they need and what to buy, we will still provide sufficient product advice, explaining the features and benefits, as well as a fine print, just like how good advisers will do, before client sign on the dotted line. In fact, we will also double check their needs before they sign off to make sure they are buying the right stuff. For participating in this planning process, we refund the clients 30% of the commissions.

We don't think this portal will replace the true advisers. They have a value. For clients whose needs are really complex and complicated, they should see an adviser. They can either see Providend's advisers or their own advisers. The website can be a resource for them to know more about insurance as they engage their advisers.

3. Having said the above, we believe that most people's insurance needs can be simple, especially so if you believe in using low cost term insurance. Something that we have been advocating for the last 10 years and still advocating through DIY Insurance.

4. For the Prudential adviser whom have said that the term plan by Pru is cheaper, it is always possible. Insurance companies priced their products differently based on product range, gender and age range. If after checking with AIA, GE and Pru (the 3 insurers that we don't represent), and you have used DIY Insurance to compare it against their quotes, and you find that these 3 companies are cheaper, you can always choose to buy from the 3 companies. This is what DIY Insurance is for, it is a resource that is now available for the consumers.

In summary, what we hope to achieve at DIY is this:

1. Transparency

2. Lower cost of distribution if clients are prepared to participate in doing a bit of planning (which is really not difficult)

3. Good service.

We believe that consumers will appreciate honesty, transparency and good service.

For the industry, the good advisers will always have their role. We don't intend to replace them. We can't. We would be too presumptuous and arrogant if we think we can replace these advisers whom have spent years cultivating good relationship with their clients.

DIY is just an infant. We are glad many have given good feedback and encouragement. We will continue to improve, add more features to better serve the consumers. Thank you all!

 

[oleandero]

sometimes its essential to have a trusted agent to sit down and explain the policy to you. thats why i dont like to buy insurance from strangers or people who call colds me. the slight difference in premium will be justified by the service that you receive as well.

 

its just like buying those online insurances (ie, cheaper personal accident plans and travel insurance). i have friends asking around how to claim and what to do when they need to claim for such online policy. yes, the companies have hotlines to cater to the questions but how much time do you have to hold onto the phone and wait in Q for live agents to pick up your call from the hotline?

 

and even after you got hold of those live agents, they refer you to their website to download the forms, fill up and snail mail to them. all these take up your precious times!

 

all the above vs just picking up the phone and dialing your agent, explaining what happened and they settled the paperwork & chasing of the claims for you. which would you prefer?

 

plus after checking out the DIY insurance, they have limited companies that you can compare before purchasing..

 

at the end of the day, you will get monkeys if you are only willing to pay peanuts.

[Kangadrool]

you agent?

 

No doubt agents have their roles, but agents are humans also, can resign, die........, etc, and whomever takes over may not be your liking....... So, when it comes to a time you need him/her the most, he/she might not be around.

 

One of my insurance company's agent keep changing until I lost count.....

 

Actually, (good) agents are not that important during purchase period, but rather during claim period. But then, the industry is designed in such a way that agent's role during claim's process is optional rather than compulsory.

 

sometimes its essential to have a trusted agent to sit down and explain the policy to you. thats why i dont like to buy insurance from strangers or people who call colds me. the slight difference in premium will be justified by the service that you receive as well.

 

its just like buying those online insurances (ie, cheaper personal accident plans and travel insurance). i have friends asking around how to claim and what to do when they need to claim for such online policy. yes, the companies have hotlines to cater to the questions but how much time do you have to hold onto the phone and wait in Q for live agents to pick up your call from the hotline?

 

and even after you got hold of those live agents, they refer you to their website to download the forms, fill up and snail mail to them. all these take up your precious times!

 

all the above vs just picking up the phone and dialing your agent, explaining what happened and they settled the paperwork & chasing of the claims for you. which would you prefer?

 

plus after checking out the DIY insurance, they have limited companies that you can compare before purchasing..

 

at the end of the day, you will get monkeys if you are only willing to pay peanuts.

 

Edited July 1, 2014 by Kangadrool

[oleandero]

you agent?

 

No doubt agents have their roles, but agents are humans also, can resign, die........, etc, and whomever takes over may not be your liking....... So, when it comes to a time you need him/her the most, he/she might not be around.

 

One of my insurance company's agent keep changing until I lost count.....

 

Actually, (good) agents are not that important during purchase period, but rather during claim period. But then, the industry is designed in such a way that agent's role during claim's process is optional rather than compulsory.

 

 

 

used to be..

 

oh well.. my policies were handed by many agents as well until my this agent.. i think he shouldnt be moving out.. seems like hes doing well.. lol..

 

yeps.. deffo agree wrt the claiming.. alot of followup to do and bang table for appeals when necessary. imagine if you're already injured or ill, do you have the strength and time to chase after the company for claims if they reject for whatever reason they may give?

[Invigorated]

As we get more financially savvy, diy insurance offers a lower cost so y not?

 

Agents still have their role to sell to those who are not too familiar with the plans.

 

Guess there will be a day where buying will be simplified n just be done online like how we get car and travel insurance.

[magaritas]

If u hv knowledge of Insurance & Claims may consider to DIY. A lot of times, we do not know what we are buying as friend (insurance agent) ask us to buy, we buy. Thus, some policy may be duplicate. When u want to surrender to cash out, Insurance Agent, will tell u not to surrender.

[Yewheng]

If u hv knowledge of Insurance & Claims may consider to DIY. A lot of times, we do not know what we are buying as friend (insurance agent) ask us to buy, we buy. Thus, some policy may be duplicate. When u want to surrender to cash out, Insurance Agent, will tell u not to surrender.

Actually when surrender policies early, the person will stand to lose then gain most of the time.

 

Surrender policy early will result in :

1. Getting less then what is put in if it is an endowment plan.

2. Losing coverage , this must weigh. As in when one bought a insurance at age 20plus as compared to age 30plus, the premium is different with the same coverage .

3. Any pre existing condition that is covered when policies is/are bought early when at pink of health during that point of application will be lost. Next time when want to buy again , insurance companies will price higher then those who is at good health condition, or there maybe exclusion or decline case depending on the seriousness of the person medical condition.

 

DIY insurance is good for people who knows exactly what they are doing and have a good degree knowledge of insurance and also working out how much exactly the person need to get insured for, it's not for everybody. Most of the common guys here work in all other sector of jobs except insurance or financial industry will not know exactly the needs and the different types of policies to begin with.

 

Ask yourself 2 key question:

1. Are you the type of person that don't mind to DIY when come to do claims for insurance? Some people will actually prefer to have less headache when come to insurance claim etc as there is another person to help them do. ( No right or wrong here, just a preference of choice )

2. Do you have sound knowledge of the different type of policies, coverage and planning at different life stages? It sounds simple, but not everyone knows exactly the details of it even with internet searches.

 

So ultimately it all boils down to what exactly the person knowledge of insurance is, and sometimes it is also good to have 3rd party advise and to look into different perspective .

[fuzzyment]

One of my insurance company's agent keep changing until I lost count.....

[Kangadrool]

Same same. Wonder if it's the same company, same agents?

 

One of my insurance company's agent keep changing until I lost count.....