To What Extent Insurance Agents Can Manipulate You? A Short Story | FinCalC

Money Back Insurance Plans.

Me along with my dad were guided by one of his friends to an Insurance Company. Nothing surprising here. Friends and relatives are very much happy to take their share from your Insurance policy premiums.

Here's a short story about me dealing with an Insurance Agent who wanted to sell his policy.

___

Agent: Do you have any Life Insurance Plan?

Me: No

Agent: Do you understand the importance of a Life Insurance?

Me: Yes. And I am searching for a good Life Insurance plan.

Agent: How about this 'X' Insurance Plan. You will get 'Y' as your Life cover, and premium will be Rs. 60,000 per year. (Approximately $850)

Me: Alright, I need some time to think about it, may be some couple of weeks.

Here comes the interesting manipulating conversation:

Agent: You must be having a 2-wheeler motor vehicle?

Me: Yes

Agent: Do you see the number of accidents happening these days? It's increasing, and you can be one of them

Me: (thinking) (my dad was shocked)

Agent: Anything can happen while you are going back to your home. You can be a victim of rough driving.

Me: (pretending to be serious) (my dad thinking that I am already manipulated)

Agent: If you buy this Insurance plan and pay the first premium right now, you will be covered from now on wards.

Me: (pretending to be understood)

Agent: And if anything happens to you while you go back, your family will get 'Y' amount as life cover

Me: (Sounds cool reaction)

Agent: So should I take a print out of this first premium receipt of yours

Me: Let's go dad.

___

I knew about the manipulation part. I knew their plot. They just want to sell policies and get their chunk of money. But what about other people who have no idea about the plot?

Insurance Agents can go to extreme level and force anyone to buy their products. Not all Insurance agents are that bad, but you should be able to recognize the good ones.

"Insurance products should be treated as Insurance products and not Investment products."

Insurance policies are for pure Insurance purpose only. Don't be greedy to get money out of your Insurance products, else you will end up paying more than usual.

Go for Term Insurance plans. They are meant purely for Life Insurance with no returns.

___

I'd love to hear from you if you have any queries about Personal Finance and Money Management.


Follow the Blog and Subscribe to YouTube Channel to stay updated about Personal Finance and Money Management topics.
___

NEXT > Maximalism vs Minimalism. Benefits Of Getting Organized