Insurance companies are offering enhanced benefits to the insured at the time of renewal.

[Anurag Pandit]

Insurance companies are offering enhanced benefits to the insured at the time of renewal. It comes in the form of increased sum assured (in addition to the NCB), discounts on certain gym memberships, various app based offers, health advisory, air ambulance. How should insurance buyers assess such offers?  

[Asma Bagdadi · Accepted solution]

In order to make products attractive and competitive and to ensure customer loyalty, the companies offer bouquet of benefits to their customers during renewal. Following are few pointers that buyers should keep in mind while assessing these renewal benefits:

• The relevance of the benefits offered and their usability
• Is there any additional premium being charged for these benefits? Normally, these should not entail any additional premium unless customer is opting for an optional add-on which will be clearly mentioned in the brochure at the time of opting for the policy
• Many of these benefits are offered through third party vendors. It is important to check the genuineness of the brand and the vendor through whom the benefits are being given