Insurance: 5 Common Myths vs Facts

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:

Long read? Watch video summary instead

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?

insurance myths

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.

insurance myths

Myths 3: Is Not Safe to buy Insurance online

For real? Wow.

So we can literally buy airtime and data, work online, transfer money, pay electricity bills, do all kinds of stuff online – but not insurance? Terribly wrong!

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!

insurance myths

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.

So if you ever have a need for car insurance, health cover plan, personal accident insurance, or home insurance; simply visit www.vtpass.com.

We’ve got you covered.

Why Your Transaction on VTpass Might Fail and What to do

While at VTpass we take every measure to ensure every transaction you carry out is successful; we are equally awake of failed transactions that can occur at times.

The majority of failed transactions are down to network issues or processing errors. In this article, we would explain why transactions on VTpass might fail and what you can do about it.

Network affecting bank payment

Payment might fail if network failure prevents your bank from confirming a transfer you initiated. Sever downtime at your bank might be responsible for this. In some cases, your bank might debit you without VTpass would receiving the payment.

The simple solution to this is to consult your bank in the event of a debit or contact VTpass support to know the status of your transaction. If your transaction hasn’t gone through, it’s best you wait a while, then try again when the network is stable.

Entering wrong card details

This is so common and perfectly understandable. Making mistakes while entering card details such as bank name, card number, CVV, etc. would prevent any transaction from going through.

Solution: simply enter your correct card details to ensure a successful transaction. Alternatively, you can activate VTpass instant wallet funding to save yourself the stress and errors of using the card every time.

Entering wrong dealer details

Similar to the reason above, entering the wrong meter number when paying electricity bills; wrong IUC or smartcard number when subscribing to your decoder, etc. would cause a transaction failure. The system would either reject the payment process, or it would stall.

In this case, the solution is to restart the payment process and enter the correct dealer details. If you have been debited upon entering a wrong dealer detail, kindly contact VTpass support to advice you on what to do.

However, we advise you to ensure the correct dealer details every time as certain payments (for example, payment made for a wrong meter number) CANNOT be refunded.

Service downtime with a service provider

No one can be blamed for this. When a service provider is experiencing downtime, payments for that particular service might fail. For example; if IKEDC is experiencing a service downtime, payments for IKEDC during the downtime would fail.

To resolve this, simply wait until the downtime passes before initiating payment for the service again.

vtpass transaction

We are always there for you

Whatever might be the cause of a failed transaction, we are always there to resolve it for you. Simply contact VTpass support by chatting us live on the website or app, sending a mail to support@vtpass.com or calling 08138752358.

5 Benefits of Third-party Auto Insurance

Third party car insurance is a compulsory policy required for all car owners in Nigeria and is backed by law.

Third party car insurance cover or liability cover is a policy which protects the car owner or driver of the vehicle against any legal liability, accidental liability, financial loss or property damage, medical expense cover in the event of an injury to or even death of any third party arising out of their vehicle.

Asides from being a mandatory requirement for using the road for drivers, below are other benefits of having third-party auto insurance:


Provides Legal Cover and Financial Assistance:

Third-party auto insurance covers the insured person’s legal liability in case of death or disability to any third party, and any loss or damage to a third party property.


Ensures Peace of Mind:

Third-party auto insurance brings peace of mind when dealing with any traumatic situation that hinges on financial payments. Hence, instead of worrying further about such unforeseen expenses, the focus is just on the immediate relief from stress and coping up with the incident.


Security:

Third-party auto insurance gives you confidence when you get into a road accident and also covers you against violent reactions in cases of accident/loss.


Easy Round the Clock Availability of Third Party Car Insurance:  

Unlike other insurance policies that are limited to only the offline method of renewal or application, VTpass third-party auto insurance is easily available online round-the-clock i.e 24/7, and 365 days a year from any location.


The shift of burden:

With third-party insurance, you do not need to worry over the third-party loss as the Insurer supports you in such instance.

Now that you understand why it is so important to invest in a third party car insurance, always remember that this is the best way to gain comprehensive coverage against losses that you might incur if your car gets damaged, stolen or causes injury, death, and damage to third-party or third party property.


How To Purchase Third-Party Auto Insurance Policy


Steps ;

1) Visit www.vtpass.com

2) Select the Auto Insurance icon

3) Enter full information and payment details

4) Click Submit


What & How Can You Invoke The Third-Party Insurance Policy?

Anytime you get involved in any of the scenarios mentioned in the previous paragraphs (and covered in the insurance contract); all you need to do is file a claim. You can file a claim directly via the Insurance Company or the agent that underwrote the insurance policy for you. Make sure you have clear photo evidence, and receipts (in case you paid for part or the full claims already).

Third-Party Auto Insurance Now Available on VTpass

Third-party auto insurance now available on VTpass

Introducing its latest feature and the cheapest third-party auto insurance deal into the Nigeria market, VTpass now offers third-party car insurance for as low as #3,000 naira only.

Third-party insurance generally, is an insurance policy purchased for protection against the claims of another i.e it is meant for the protection of other road users while you use our car.

For instance, if you insure your car on third party only insurance (the premium is N3,000 naira), and you get involved in a road accident where you are at fault, the insurance company will be liable for the repair of the other person’s car while you repair your own car. Also, if you damage somebody’s property like a building’s fence in an accident, the fence will be repaired by the insurance company. However, you should take note that there is a certain limit to what the insurance company will pay for motor third party property damage. The maximum is N1,000,000.00, but some can pay as high as N2,000,000.00.

Protect your car with VTpass third-party auto insurance service.

A lot of Nigerian drivers have wrong perceptions about auto insurance policies and only subscribe to it because it is among the vehicle license documents legally required for them to use the road. In fact, only 1 in 100 car owners understand that third party car insurance is not just a document for road usage, but a savior in times of unexpected occurrences. When you run into Police or other agency roadblocks, and your car particulars are checked, if you do not possess third-party insurance, you would be arrested.


Regardless, check out how to Purchase third-party Auto Insurance policy:

Steps:

1) Visit www.vtpass.com

2) Select the Auto Insurance icon

3) Enter full information and payment details

4) Click Submit

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