A Fresh Start: 5 Benefits of Switching Insurance Companies

There's no better time to start working towards a new resolution or goal than in January. You'll have formally closed out the previous year over the festive period, giving you 12 months to make changes. It's a time which could help you navigate towards success in various areas of your life by joining a gym, pursuing a hobby or eating more healthily. You can also use this time to reevaluate your choice of insurance companies to determine if switching to another could save you time, money and effort. Here are five benefits you can experience by choosing another insurer, like Auto & General insurance. 

What happens when you switch insurance companies?

Can you switch insurance, and do you know how to switch insurance companies? Many people ask these questions but, you must understand what separates short-term insurance. Short-term insurance provides temporary coverage for specific risks or assets. It typically lasts for a brief period, offering immediate protection without the long-term commitment of traditional policies. During this coverage period, your circumstances can evolve or change. Revisiting your insurance periodically is recommended to ensure it remains aligned with your needs. It isn't a once-off investment you can make and can forget about. You can also change if you choose to do so. 

Checking in on your insurance policy every year and comparing it to your current needs could reveal risks like you have insufficient coverage, are paying for coverage you don't need or have become eligible for perks you weren't originally eligible for. You could already be contemplating a change of insurers due to a negative claim experience, their annual price increase, or a lack of claim submission convenience. 

The best way to ascertain whether switching insurers would be beneficial is to list what you require from your ideal insurer and where your current provider is falling short. This will make switching suppliers a whole lot easier. 

Benefits of switching insurance companies

1. Better premiums — Another insurer could offer you a lower monthly premium with the same excess and coverage limits. If you already have another insurance policy with a separate insurer, they may offer you lower premiums by bundling multiple policies under a single premium payment. For example, having your Home Contents Insurance and Buildings Insurance covered by a single provider can result in a reduced premium while covering your home, inside and outside. 

1. Better coverage — Some insurers offer better overall coverage, while others offer niche coverage curated to a specific need, risk or circumstance. For example, you may wonder how to switch Car Insurance as your current insurer doesn't offer adequate coverage for scratches and dents. You could find that another insurer offers a separate Scratch and Dent Insurance policy as an add-on, allowing you to preserve your primary Car Insurance policy for more serious claims. This can keep your premiums low while preventing you from having to fork out thousands of rands to repair superficial damage to your car's surface. 

3. Better incentives — An insurer's value-added benefits can make all the difference in a market where insurance product offerings are similar or identical. You could benefit from reward programmes or value-added benefits. For example, a specialised insurance bundle such as Auto & General's Young@Heart could suit your needs and save you money. This product is created for over 50s and includes cover for married spouses and the chance to add retrenchment, disease, and death premium waivers to your policy. 

1. Better Adaptability — The world we live in and your circumstances are constantly changing, and this will impact your insurance needs. Your current insurer may offer a solid portfolio of insurance products. Still, it may not fully meet your evolving lifestyle or haven't adapted its policies to keep up with industry trends and evolving risks. For example, just a few years ago, it was unusual to insure your pets. Many insurers offer custom Pet Insurance to help you cover unexpected veterinary costs.

5. Better customer service — Even the best insurance coverage will fall short of expectations if it's accompanied by poor customer service. Many people find themselves exploring how to switch insurance companies because their insurer's claim process is unnecessarily complex, outdated or because it just takes far too long to process a claim. 

For example, would you rather be required to fax documents and photos to an insurer to make a claim or be able to take photos of a car accident and fill in a claim form via a custom, prepopulated smartphone application form? When insurers pay attention to their customer service, it makes a big difference. 

The best way to switch insurance companies 

If you're contemplating providers, the following steps can help guide you: 

1. Evaluate your coverage — List all your insurance policies and what each one omits or unnecessarily includes. Note figures such as your premiums, excess, and benefit limit. 

1. Assess your needs — consider your budget, current and future circumstances, and the assets you would like to protect in the event of an incident, like your home, pets, vehicle or particular personal possessions. 

3. Research new insurers — List the various insurers available to you. Make sure you know what each one costs to compare the figures directly. This is important as you may be willing to pay slightly more for better coverage or improved service. 

1. Request insurance quotes — Contact various insurers to determine what policy they can offer you and get more accurate information on the premiums they would charge you according to your unique profile. 

5. Investigate pros and cons — Now that you have several baseline payment amounts, you should consider whether any perks are available from each insurer and what you may pay for them. You should also get to know their policy processes to ensure switching won't be accompanied by costs or penalties. You should also do this with your current insurer, as they may be willing to offer you a better deal. You may be charged a penalty for cancelling your policy before a certain date. 

1. Coordinate your coverage — Once confident in your choice of insurer and insurance product, prepare to notify your current insurer and secure your new policy. Before doing this, ensure you aren't paying premiums in arrears or ahead of time so that you don't end up with overlapping coverage or a lapse. This will ensure seamless coverage.

Get insurance quotes from Auto & General Insurance 

Switching insurance providers doesn't have to be a long or complex process. Partnering with a reputable insurer like Auto & General could see you enjoying more benefits than you thought possible. If you're ready to take this next step, request an Auto and General insurance quote today.