The new changes in the Insurance premiums concerns insured persons, intermediaries and insurance companies. The new arrangements work for the benefit of all parties involved, insured, intermediaries and insurance companies, with a transparent procedure for all sides.
“Essentially, the new directive enshrines the rights of the insured, with the obligation of all parties, insurance companies and intermediaries, on the premium he pays.”
The public will continue to be able to pay their premiums using the same methods of payment as they used to date, that is, cash, check, credit, etc. ”
The four major changes brought about by January 1, 2018, by the Insurance Supervisor’s Directive concerns the collection of insurance premiums are:
- All insurance companies to include in the insurance policy all information about (a) the amount of the premium (b) the way of repayment; (c) the consequences in case of non-payment of the premium. What does this mean for the consumer: Essentially, the consumer now pays directly the insurance in accordance with the instalments agreed with his Agent. Insurance companies will include in the Policy a special condition (memorandum) stating that if the premium is not paid at the specified time then the Insurance is automatically cancelled. Because of this condition, failure to pay the premium at the agreed payment date also means automatic cancellation of the policy. So, make sure your premiums are paid to avoid surprises, especially after an accident!
- Payment of the premium in a different form, except for cash e.g. check, credit card, is made in the name of the insurance company and not the insurance intermediary’s name. What does this mean for the consumer: In fact, the consumer pays directly the insurance Company rather than the intermediary and the payments how to be paid as they have been agreed. Also, if an Insured person has insurance in 5 different Insurance Companies, he will have to pay five different amounts and get five different receipts, in relation to before he paid with a single check all five insurance policies and he received a single receipt for payment.
- The proof of payment to be received by the policyholder must be the official receipt of the insurance company. What does this mean for the consumer: In fact, the consumer receives receipt of payment from the insurance Companies receipt block and not from the from the intermediary’s receipt block.
- If the policyholder is entitled to return of premiums, the Insurance company must refund the amount within the first seven working days of the month following the month of the cancellation / change.
What does this mean for the consumer: In fact, the consumer gets his refund from Insurance directly and not from the intermediary.
Do not leave your insurance premiums unpaid
Great attention must be given in paying your insurance in due time otherwise the Insurance is automatically cancelled by the Insurance Company and no cover will apply, so pay attention no to be automatically uninsured.
For more information call me at 700 8888 3.