It is necessary to see what we are buying and from whom we are buying. Different companies have different products that they sell with the promise of benefits that are attached to the product or any policy. This buying of the policy involves a particular mode so that you are not deceived in any way, and that is through certain intermediaries. Every policy is made keeping in mind a few situations. One must keep these conditions in mind while going for a policy. In case one needs to get a policy for a two-wheeler, he needs to search for the same from all the possible sources and go for one that offers maximum benefits.

Insurance through intermediaries

Insurance is an intricate product that indicates a promise to pay the compensation to the insured or the third party in accordance with the terms and conditions specified therein in case of incidence of any eventuality that is covered. These transactions are carried out by an intermediary or an insurance broker.

• These intermediaries act as a bridge between the companies (sellers) and the consumers.
• The IRDA (Insurance Regulatory and Development Authority) issues a license to the brokers and are governed by the IRDA regulation-2002. It also grants a license to individual insurance agents as well as corporate agents and is regulated by the IRDA regulations and enact a code of conduct of conduct for the intermediaries.
• An intermediary plays a distinctive role from the time of sale through policy servicing up to claim servicing. They are bound to furnish all material information in connection with proposed cover. He is required to give suggestions with transparency, and after the deal is undertaken, he must coordinate between the consumer and the company.
• IRDA has set regulations that safeguard the interests of the policyholder and cast responsibilities on the intermediaries besides insurers.
• To derive more benefits, the customer can compare insurance policy plan online.

How to deal with intermediaries?

• Make sure that the person holds a valid license and is authorized to run the business. He should be licensed to sell life insurance or general insurance or the both.
• He should have a thorough knowledge of the products.
• The person should be able to understand what you need. Buy only those products that you can afford. Don’t give head to tail
• Understand the policy terms and conditions, ask questions if any. 

• Insist on timely service and quality. You can evaluate it by turnaround time of the intermediary during the pre-sale when he is selling the product to you.
• Ask for sale literature and brochures of the products you’re considering buying.
• It is better to buy an insurance policy from an authorized intermediary rather than buy insurance online.
• Never sign a blank proposal form. Make sure to you fill up your proposal form. Ask questions you don’t understand regarding the product.
• You must understand your commitments. Payments, amounts you bear when to take the policy when to surrender or claim it.