Value-Added Insurance Features
By Edward Quisenberry
There is a movement happening right now that you may not be aware of – value added. This movement is selling everything from automobiles, homes, and even fast food. The core of the appeal is that you can receive more features, benefits, accessories priced below, at, or discounted as they are bundled to a certain product, making that certain product more appealing. This movement has entered the insurance industry.
Insurance and Value-added Features will include discount programs on an array of services ranging from restaurants, emergency roadside services (particular to auto insurance), gym memberships and the list goes on with great enthusiasm. Each one can be appealing to a consumer to favor that insurance plan.
Ask Questions about the details of your policy
When contemplating the value-added features of any plan there are a few questions you should ask when considering the proposition.
- What is the priority that you place on that feature?
- Do you currently use a similar feature like the one on the product or service you are considering?
- Is the value-added feature better than the one you are currently in possession of? If for example, the value-added roadside service is not as effective or comprehensive as the plan you currently have and love, the priority to acquire another one seems moot. Subsequently, if you have the value-added feature, but probably will not use it, what value is the feature really to you? For some value-added benefit to really be of value to you, it should address a demonstrable need or improvement over your status quo, preferably at a similar or lower cost.
The same can be addressed when addressing health insurance. Some health plans offer a wide variety of value-added benefits. A 24-hour, 7 day a week accessible doctor who can diagnose common ailments, and even write a prescription for you at your local pharmacy, may be a worthy feature. However, you realize that such a feature will not be used daily, weekly or even monthly. But when you do need it, and your primary care physician’s office is already closed – or you cannot get in to see the physician, then this feature can be very helpful.
Take a gym / fitness feature as a part of a health plan. This can come by way of being able to attend a gym(s) that accept the conditions of the insurance plan, or counting steps you take for gift cards. There are a variety of expressions of this value-added feature. The questions mentioned above certainly apply here, will you use the feature to realize the potential benefit?
What is the purpose of this insurance policy?
When looking over the vast choices of where to place your hard-earned dollar, especially concerning insurance, remind yourself – what is the purpose of the policy? It is to mitigate the financial risk against expensive unforeseen events. Health insurance is important because not only can your physician(s) attend to your ongoing health concerns, and emergencies, but the insurance policy may be able to defray the otherwise devastating costs that a downturn in your health can bring to you and your family. Therefore, consider the first and most important aspect of the policy – which plan from among the choices I have, will protect me and my family? Then, consider the value-added insurance features.
