What are the Benefits of General Insurance

Public interest in insurance programs is still low. What is signaled to be the cause of the low level of public interest, towards non-bank financial institutions is the incompleteness of information obtained by the public about this institution in an effort to improve the quality of life in the future. A brief definition of insurance is a term that refers to an action, system, or business responsible for the reimbursement of life, property, and health from unforeseen events such as damage, loss, or death. Insurance is widely regarded as a consumer product for high-end people who have more funds and assets that feel the need to get more protection. In fact, insurance has other benefits and advantages for all circles of society.

General Insurance Benefits

Here are the benefits of signing up for insurance that you will get in general or in whole.

1. Provide Tranquility

We never know the possibility of what will happen tomorrow. Every day we go through the possibility of events that could have demanded unexpected expenses. If you are one of the people who are very prepared for something, the risk of losses caused by unforeseen events can be minimized easily. But what about those of you who realize that you're not that type of person? The presence of this insurance service provider can provide answers and ease the burden when unexpected events come.

Insurance has the benefit to provide protection from the risk of uncertainty and is believed to be more able to increase confidence for individual holders. Reimbursement that will be provided from the insurance service provider will at least cover partly up to all of your payment obligations for an event. Insurance is also known as an alternative to loss control by conducting field surveys and providing recommendations to policyholders to take preventive measures and countermeasures.

2. As Investment and Savings

By registering as a policyholder customer at an insurance service provider, you will get a guaranteed return on investment at the end of the contract. Insurance intended for investment also provides leeway and flexibility in choosing the coverage period. Usually there will be three choices of coverage time of the policyholder's customers, namely 5, 7, and 10 years. In addition, the amount of premium is a single premium that is relatively affordable and can be exempt from administrative costs.

3. Helps Minimize Losses

According to their respective types, the function of insurance ownership in general is to help policyholders to minimize losses from unforeseen events that may occur such as the cost of fire disaster losses, accidents, and hospital costs. Minimalism losses for these unexpected events can be seen from the following case examples:

You are someone who owns a house worth Rp3 billion. In addition, you also have investments in buildings that are used as rental boarding rooms for students in the area around the campus. You only provide more protection to your home while not to the boarding house owned. When there is a fire disaster caused by a gas explosion at home, you can get a cover of costs from the insurance service provider.

While if the fire occurs in your boarding house, you will lose a lot because of the loss of the building and have to bear the loss of student property because the fire occurred due to a gas explosion that in fact belongs to you. From here it is important to have insurance as a guarantee of protection whether it is for yourself or for your property and investment.

4. Helping Manage Finances

Your obligation to pay premiums on a regular basis actually indirectly forces you to provide the reserve funds used in the event of an unexpected event. Even so, when an unexpected event actually occurs and requires you to spend a considerable amount of money to cope with it, the presence of insurance will help you to reduce unexpected expenses that are usually much higher than your daily or even monthly regular expenses. By having insurance, You do not have to pay the full cost of the losses suffered because the insurance service provider will provide compensation.

Insurance Benefits by Type

Then, in addition to the general benefits of an insurance that has been mentioned above, each type of insurance also provides special protection that varies according to their respective functions. Some types of insurance that are widely used in Indonesia include:

1. Health Insurance

This type of insurance product specifically provides benefits to policyholders for health or care cost insurance in the event of an accident or illness. Health insurance guarantees the availability of funds needed to finance the health needs of you and your family as policyholders. A sick event or an accident is not a planned event and no one wants it to happen at all. But we cannot predict what will happen and how it will affect us. This is what concerns insurance service providers to help you in providing health insurance such as inpatient costs and operating costs.

2. Life Insurance

This insurance is intended for people who bear unexpected financial losses caused by the risk of death or risk of living too long. The use of life insurance will provide benefits to the policyholders to replace the government's JPS (Social Safety Net) program, because it helps maintain community stability, and becomes one of the financial resources. The business also benefits by opening jobs.

3. Old Age Insurance

This type of insurance aims to provide certainty of the income of the policyholder when he has served his retirement, and also to his family if the insured dies. This insurance also helps its users realize their dreams after entering old age, because the funds can be used for various purposes in the future.

4. Education Insurance

Known as an alternative educational savings for children who are planned to undergo school time at the elementary to college level. Education insurance is divided into two types, namely protection and investment.

5. Property Insurance

It can be said that this type of insurance is less popular among Indonesians. Property insurance is one type of insurance that provides guarantees to its policyholders to guarantee a home or business that becomes a sub-type of property insurance.

Important assets such as homes, offices, or buildings are now considered to need more protection. By registering insurance for valuable assets, you will get a guarantee from the insurance in case of disaster that results in damage or loss of valuable assets. Compensation experienced if registered as a policyholder will be covered by the insurance.

6. Travel Insurance         

This is a type of insurance that provides protection guarantees to policyholders while on the go such as medical expenses protection, loss of luggage, loss of travel documents, and others.

7. Motor Vehicle Insurance

One type of insurance that provides protection from loss or damage to motor vehicles for policyholders. Losses or damages incurred by motor vehicle insurance service providers include:

Traffic accidents such as collisions, collisions, and

Evil deeds of others

Theft

Wildfire