What comes to your mind when the word “Insurance” is mentioned? Do you cringe or smile? There are sets of perceptions in most people’s minds about Insurance, but are these perceptions myths or facts?
There is no denying that insurance can be incredibly complicated, both in theory and practice. So it’s little wonder that sometimes rumors, myths, and untruths can be held as fact and disseminated as such.
In this article, we want to smoothen out some of the twigs from the drink. Here are 5 common myths about Insurance and the facts that prove them wrong:
Myth 1: Insurance is expensive
Let’s start from where it concerns our pockets shall we? The popular misconception that only the rich can afford insurance is as funny as it sounds.
Let’s face it, that idea is so old and gone. With stiff competition in today’s insurance market, premiums for covers gotten more affordable. For some covers like motor insurance in Nigeria, prices can be as low as N2,500 a year!
The most remarkable of insurance cost is that of health insurance in Nigeria. A 2017 report puts the average cost health insurance plan at N35,000 for individuals and N125,000 for families. While this is affordable considering the cost of medical treatment in the country, you could get top-notch health covers (with private treatments) for even less at VTpass.
Now, imagine having all-round health insurance for only N15,000/year (N2000/month) for individuals and N60,000/year (N5,500/month) for families?
How affordable can that get?
Myth 2: Insurance companies are fraudsters
I was in a conversation with a friend one Saturday evening when an Insurance salesman walked by. His pitch was about how fast an insured would be compensated after a loss. You should have seen how my friend chased him away.
He did this because of the terrible experience he had with an insurer who refused to compensate him after a loss occurred against his burglary cover.
The mistrusts in insurance companies is perfectly understandable. Agreed, there are fake insurers out there who aren’t really in business to serve but to steal.
However, not all insurers are fraudsters. We have reputable, world-class insurers in Nigeria. In 2019, total claims paid out by insurance companies in Nigeria amounted to N98.9 billion; a 16.5% increase from N84.9 billion paid out in 2017. If all insurance companies are fraudsters, banks and top businesses would not commit hundred of millions annually to insurers to cover potential risks.
The solution is simply to buy insurance from reliable and trusted sources only. Companies that are backed but by NAICOM and duly regulated.
Myths 3: Is Not Safe to buy Insurance online
For real? Wow.
Digital technology is the future no one can escape from. Today with reliable online platforms like VTpass, your cell phone, and internet connection; while sitting in your home or office, you can get any insurance you want!
At VTpass, we deliver your policy to you digitally and physically after purchase. When it comes to claims, you can trigger settlement by clicking the claim button on our website. It’s that easy.
Africa and transforming digitally, taking all industries in its whirlwind. A few years from now, there wouldn’t be need for person-to-person interaction before quality insurance is sold.
A word of advice though; only buy from proven and trusted online platforms. Visit www.vtpass.com/insurance today.
Myths 4: Buying Insurance takes a long and tedious process
If you’ve tried buying insurance in the ’90s you would be amazed by the paperwork that goes with it. Then there are the long questionings by medical examiners or risk assessors, etc.
All that is old news now.
Insurance companies have modified proposal forms and other documents to collect only the barest, necessary information (no one is going to ask if your mum had green eyeballs or not). Add that improvement to today’s digital technology and we have an insurance system that delivers covers in minutes!
Today, you can get a motor cover in less than 10 minutes when you buy at VTpass. No stress. We have eliminated the need for tedious processes with our innovative payment solution.
It’s no wonder why Nigerians rely on VTpass to get quality insurance covers day in-day out. Our secret is simply partnering with Nigeria’s top insurance companies with proven track records of prudence and claim settlement.
We’ve got you covered.