Insurance Agents

5 Agents Shared the Most Common Insurance Mistakes Malaysians Make

We spoke to 5 insurance and takaful agents from our monthly Agent Spotlight columns to find out what they think are the most common mistakes Malaysians generally make when it comes to insurance. This is what they had to say.

5 Agents Shared the Most Common Insurance Mistakes Malaysians Make

1. They fail to follow procedure

“The biggest mistake people make is that they do not follow proper procedure and they end up paying for medical bills out of their pocket. One example is that when people get sick, they go directly to the specialist who then conducts tests. When the specialist finds that there is nothing serious or when they cannot find any suitable diagnosis to confirm, the client need to bare the outpatient cost which could go up to as high as  RM 700 to RM 1500.” – Sunny Shahros

 

2. They procrastinate in buying insurance

“There are several mistakes that we tend to make. The most prominent one would be putting buying insurance off till later time, which is a big no-no cause you’ll never know when illness or tragedy will strike.”.” – Samuel Raj

“They like to procrastinate. If you can predict when accidents happen, then by all means delay it. The fact is that you don’t know what’s going to happen.” – Yap Ean Mei

 

3. Relying on non-panel workshops

“The most common mistake during an accident is that the person brings their car to a non-panel workshop for repair. Bringing the car to a non-panel workshop creates a lot of problems causing   longer process time. It is important to bring the car to a panel workshop after the accident.” –  Mior Muhamad Hafiz

“Always go to your panel insurer for repair works. Never let these ‘call man’ which rush to the scene of the accident (faster than emergency responses sometime) persuade you to do otherwise. Call the hotline and I am sure most CSRs will be happy to assist you.” – Samuel Raj

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4. Now knowing what they buy

“A lot of people who are insured do not know what they are paying for. They don’t know how much they are covered for. Sometimes it is quite frustrating. They want to terminate their insurance because they don’t know how much they are covered.” – Yap Ean Mei

“They buy without knowing what they are buying. It is important that when you buy insurance, you fully understand what insurance you have and what it covers. Your agent needs to explain all the important details of the insurance to the customer. Many times it is not enough.” – Fadzil Razab

 

5. Ignorance

“The biggest mistake is that people do not buy takaful/ insurance because they ignore it. Most of them say, “I’m busy, I don’t have time, my company have provided for me, let me ask my wife” and so on. Many people say they do not have enough money. But the middle and lower income people are the most in need of insurance. Because what happens if you are sick? Medical cost can be an expense that can ruin a family financially. In the past 10 years medical cost have increased between 100% to 200%. It is wiser to pay a small amount regularly on insurance, thus the huge medical costs can be covered.” – Sunny Shahros

 

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