Using an indirect car insurance purchasing method will allow you to make use of the trained expertise and experience of professionals in the field. They’ll happily survey a wide variety of companies, acquire the necessary quotes, and help you compare them all. And this is, to be fair, a particularly valuable thing in a market with many companies. In addition, companies that operate on an indirect insurance purchasing basis may also offer various deals and bargains to keep their insurance appealing over the competition.
However, by taking an indirect route to your insurance, one with more middlemen involved, you pay for it in more than one way. The go-betweens you’re using have their own fees that need to be paid up. Ultimately, you will probably end up paying more for something you could have gotten more cheaply on your own. In addition, by using an extra entity between yourself and your insurance company, the whole process is complicated further and will often take more time. This is the exact opposite of what most people use these middlemen for, which is to try and cut down on red tape, not increase it.
Now, instead of approaching an indirect agency, if you go for a direct car insurance company, the things will become clearer. Here, you will directly be in touch with the car insurance providers. These large companies have various facilities and services like emergency pick up vehicles, tie ups with official car service centres, legal advisors etc. They don?t have to outsource their services to other car insurance agencies.
And here, what is the status of cost? Absolutely zero hidden cost is there with the direct car insurance agency. Here you not only save money but get some very good facilities too.
Another great advantage over the direct car insurance policy is the instalment mode of payment. And here you get some covers in addition to your standard cover. If you insure more than one car with these agencies, they offer you a better premium. This helps in reducing cost to a greater level. It is always better to be associated with a single direct car insurance agency. Sometimes, you may get free extended territorial cover and these would be specific to the district of residence of course.
So before you go to an insurance agent or other middleman for help, paying extra fees for no reason, stop for a moment. Take a little time to think about whether you really need that middleman or not. Chances are, you can probably do without, and save a bundle in the bargain.
Graham McKenzie is the content syndication coordinator for Carinsurancesa.co.za, a leading South African Car Insurance portal.
