Keeping Many Benefits, Sequis Needs 3 WRONG Considerations About Insurance

Illustration (Photo: Doc. Antara)

JAKARTA - Those who don't have insurance usually feel sorry if the money is used to pay insurance premiums.

There are also those who prefer to invest and some feel that it is enough to have insurance from the office or BPJS.

MiPOWER co-Founder by Sequis and Registered Financial Planner Edwin Limanta said insurance has a myriad of benefits and is synonymous with premium payments that must be paid periodically so that customers must be careful in managing their expenses.

"However, protecting finances from an early age is a wise decision because the benefits of coverage are comparable to the insurance costs that must be paid by customers," he said in a written statement, Tuesday, October 25.

He added, besides that there are three misunderstandings about insurance that make people reluctant to use insurance as self-protection.

First, considering premiums too expensive. Edwin said that premiums are considered expensive so that customers often immediately refuse. The reason is that they are afraid of not being able to consistently pay the premium.

"Before rejecting it, try to compare the amount of costs you have to pay when you have to have medical treatment and the cost of outpatient care after hospitalization. If the diagnosis is a critical illness, more and more funds will be needed for treatment," he continued.

He continued, there were also those who thought that premiums could be known directly from customer service or asked the insurance company's social media admin.

For knowledge, insurance companies in determining premiums will first calculate risks based on age, gender, occupation, health conditions, and lifestyle. That's why premiums for everyone can be different.

"If you have insurance constrained premiums, adjust the benefits of insurance with financial needs and capabilities. Thus, the premiums that must be paid can be more affordable. Premiums can also be cheap if when applying for insurance they are young, productive, and healthy," said Edwin.

Second, consider insurance the same as savings. He explained, not infrequently many hope that paying insurance premiums can get more results like savings.

In fact, insurance is different from other financial instruments, such as savings because the essence of insurance is to provide protection and a sense of security from possible financial risks that occur unexpectedly.

Insurance funds cannot be taken at any time, such as savings and insurance, not to achieve certain financial goals. Saving money can help achieve financial goals, such as buying a house or preparing for children's education. However, these financial goals may be hampered if financial risks occur, such as critical illness, accidents, and defects or dying on time. Having insurance is intended to provide a sense of security and protection on the way to achieving financial goals, namely when the insured are exposed to these risks above, the benefits can be disbursed according to the provisions of the policy," explained Edwin.

Third, consider the claim to be accepted. According to him, many people think that the health insurance claims submitted must be accepted. In fact, Edwin continued, there are provisions in the policy that are the basis for making claim decisions. Generally, claim submissions have the potential to be rejected if they are included in the following 3 things.

First, there are certain conditions that already exist in patients before having insurance that is included in the policy exemption (Pre-existing condition).

Second, customers can file claims according to the policy provisions. However, filing claims cannot be done before the waiting period stated in the policy.

If customers continue to file claims before that period, it is certain that the claim submission will be rejected.

The waiting period may be different for each insurance company or insurance product so that before submitting a claim pay attention to information on when customers can submit claims.

For example, in health insurance products, the waiting period is usually 30 days and 90 days on critical disease insurance since the policy is approved.

Meanwhile, for life insurance, there is no waiting period for the benefits of death but a test period.

Third, there are exceptions to the policy. Each insurance company has different rules regarding exceptions. For example, claims of injury due to criminal acts or crimes cannot be processed.

When you are going to choose an insurance product, choose a product that suits your needs and financial condition. You can ask insurance company customer care to be linked to the best insurance agent," he said.

"Then when you receive the policy book, don't immediately save it, but read all the terms and conditions, benefits and exceptions to the policy book. If you understand, immediately have insurance. Sequis is ready to help the community achieve their financial goals with a sense of calm and security," concluded Edwin.