The Pitfalls of Online Shopping for Insurance in Georgia

Although most of the topics here involve issues about health insurance in Georgia, but from time to time we branch out into other lines of coverage. This is one of those times.

I participate in several online forums, including those frequented by consumers. Based on the information provided, I try to help them out by responding to their questions.

An individual looking for term life insurance decided the easy way was to “go direct” through an online term life insurance quoting service. For whatever reason, they opted to apply to two difference insurance carriers through two separate online services.

As the application progressed, this individual was contacted by both agencies, indicating the underwriting process would stop unless they provided checking account information (account number & routing). The individual thought this was odd and, after dealing with an anonymous, online agency decided to ask additional questions on an anonymous, online forum.

Clearly this person has issues in dealing with business on a personal basis.

There are many issues at play here, not the least of which is, you never know who you are dealing with when all you have as a contact is a toll free number. Most of my clients are handled over the phone & via email, but most are local. All my contact information, including my name and business address, are readily available. Anytime clients call, they get me or my voice mail, not some kid playing Nintendo in between calls.

So what kind of issues can create problems for online shoppers?

In addition to not knowing who you are dealing with and never able to talk to the same person twice there is this. Just how good is the information you are getting from someone who is today answering questions about insurance and last month wanted to know if you want fries with that?

While submitting two (or more) applications may seem like a good idea it can work against you.

In this case that means two physical exams, two “hits” on your medical records (M.I.B.) as well as your prescription drug database (Intelliscripts) and two hits at D.M.V.

Most, if not all, applications ask if you are submitting other applications.

If you answer no, you have committed fraud. If you answer yes, the carriers may think you are trying to game the system by applying for double coverage in order to fly under the radar on medical underwriting.

When shopping for insurance online, if you do not know the rules of engagement you will not get the best offer possible. Carriers play this game to win, and they know what they can get away with. They also know that most consumers have no idea what they have now, what they need, or how to negotiate the best deal.

If you are looking to buy affordable health insurance in Georgia, you can go alone or deal with someone who has worked with carriers for over 30 years. Your choice.

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