Whenever a company hires an employee, it evaluates their education, experience, skills, qualifications and professional competence before making a decision. So why should insurance be any different?

When you purchase insurance, you are making decisions that may impact your family’s financial security for years or even decades. Therefore, it is important to evaluate not only the policy but also the person advising you.

Is an IC-38 License Enough?

As of today, clearing the IC-38 examination allows an individual to obtain an insurance sales license and distribute insurance products. However, obtaining an IC-38 license is similar to receiving a learner’s license while learning to drive.

 It provides the basic eligibility to begin selling insurance products, but it does not automatically indicate advanced expertise in insurance planning, claim, risk assessment or financial protection strategies.

What Additional Qualifications Should You Look For?

When selecting an insurance agent or insurance intermediary, consider whether they have pursued higher insurance education qualifications such as

·       Licentiate

·       Associate

·       Fellowship

These qualifications require deeper study and demonstrate a stronger commitment to professional development within the insurance industry.

Why do Qualifications Matter?

A qualified insurance professional generally posses a deeper understanding of
 

1) Policy Structure
Understanding how different insurance products work, including benefits, exclusions, waiting periods, deductible, co-payments and policy conditions.
 

2) Claim Process

 Helping clients understand their claim procedures, documentation requirements, insurance company claim related timelines and common claim related challenges.
 

3) Risk Management

Identifying potential financial risks and recommending appropriate insurance solutions based on individual circumstances.
 

4) Financial Planning

Qualified insurance professionals can explain how insurance fits into your broader financial goals such as family protection, wealth preservation, retirement planning and business continuity
 

5) Product Suitability

Recommending insurance products based on actual needs rather than focusing solely on sales target. An insurance agent only having IC-38 license can only sell maximum 1 life insurance, 1 general insurance and 1 Stand Alone Health Insurance company product.
 

Insurance should never be about sales

Insurance should never be purchased simply because someone sold a policy. It should be purchased because the policy serves a specific financial purpose and adequately protects you against a particular risk. The right insurance advice can help you avoid costly mistake, coverage gaps and claim related surprises in the future.
 

Questions you should Ask before buying Insurance

Before purchasing any insurance policy, consider asking the following list of questions to the insurance agent or the insurance intermediary.

·       What insurance qualifications do you hold?

·       How many years of experience do you have?

·       Have you handled claim-related cases?

·       Why is this policy suitable for my needs?

·       What are the important exclusions and limitations I should know?

 A good insurance professional will welcome these questions and answer them transparently.
 

Final Thought

A policy can only be as effective as the advice behind it. Before choosing an insurance product, take a moment to evaluate the qualifications, knowledge and professionalism of the person advising you, because when it comes to protecting your family’s financial future, expertise matters.
 

INSURANCE AWARENESS > INSURANCE IGNORANCE