Car insurance and the importance of the proposal form
People unfamiliar with the insurance industry wonder how can there be such vast discrepancies.. Whilst this can be relevant, what is more important is to realise that these discrepancies do exist and to take advantage of them in order to secure the best deal around. It is important to stress that the best deal is not necessarily the cheapest, but it is also unlikely to be the most expensive. The transition from paper to digital hat in many ways changed both the format and the understanding of what a proposal form is in the context of car insurance. Pre internet, people would have to fill in a proposal form in order to obtain car insurance, often having been given a verbal quote first of all. Nowadays, insurance companies have pushed the whole mechanism of obtaining car insurance online, and people had to fill in a significant amount of information, often over several screens, in order to obtain a car insurance quotation, and obtain cover itself. The difference, is that many people often think of the online questions as more of a questionnaire, rather than as a legal document, which in effect is what it is. It is worth understanding the context of a proposal form, whether it be in paper or digital format, given that any wrong or misinformation can invalidate the insurance policy, and allow the insurance company to deny any liability in paying future claims. A proposal form is the basis on which the insurance company obtains information on a potential customer, that allows them to assess a risk, and decide whether or not to agree to insure them, and if so, on what terms and conditions and at what cost. The proposal form will include a number of questions designed to elicit the information that the insurance company feels it needs to know in order to assess the risk. What is often not understood about a proposal form, is that the potential customer has an obligation to disclose any information that might be relevant to the insurance company in order to make this assessment. This is irrespective of whether or not there are any questions that cover the information. This principle in insurance terms is known as utmost good faith. It puts the onus on the potential customer to disclose all information that an insurance company might reasonably expect to be relevant. A proposal form will often have several parts to it, with several sub-sections depending on particular answers. One obvious example would be that of motoring convictions. If the question is asked whether or not the insured has any prior motoring convictions, it will normally be a simple yes or no answer to begin with. If the answer is no, then the insured goes on to another question. If the answer is yes then there is normally space for the insured to give details of what these convictions were. This is a fairly obvious example of where the information is important for the insurance company to have full and frank details. If the prospective customer or insured gives wrong information, or misleading information, it can affect the judgement of the insurance underwriter. Previous convictions can be a good indicator of someones attitude to driving and any restrictions placed upon them, such as speed limits. Some people will give false information in the hope that they will not be found at, although this is a dangerous and risky premise. Normally people will give the wrong information either because they don't remember things accurately, or they feel that some information is too old or out of date to be relevant. Again this is risky, because it can invalidate their policy. One thing that is worth remembering is that insurance companies will normally only check the details given in the proposal form when there is a need for the insured to make a claim on the policy. If no claim is made, the insurance company will normally not bother. If a claim is made, then they will check if all the information on the written proposal form was accurate, and if not, it may well give them an opportunity to deny the claim and deny any liability under the terms of the policy. Source: Free Articles from ArticlesFactory.com Peter Main is a freelance writer who specialises in all types of personal finance, loans, car isnurance and car financing. He has a special focus on the benefits of leasing cars from major manufacturers such as Hyundai, and the benefits of leasing a car as opposed to buying a new one..
Top blog stories
A review of Idmobile.com
Idmobile.com offers both pay-as-you-go and contract plans. Pay-as-you-go plans are ideal for customers who don't want to be tied down to a long-term contract, and they can purchase bundles of data, minutes, and texts as and when they need them.
Idmobile.com offers both pay-as-you-go and contract plans. Pay-as-you-go plans are ideal for customers who don't want to be tied down to a long-term contract, and they can purchase bundles of data, minutes, and texts as and when they need them.
AO.co is a trusted expert in TVs, washing machines, clothes dryers and other household appliances. AO.com is one of the largest retailers in the UK and it specializes in electronics, clothes and home furniture.
At Three, we believe phones are good. They just make life better. Easier. And more fun. But
we all need to find a balance that works for us. Our mission is to help our customers use
their phones to live their best lives.
We make your life easier
Since 1992, we’ve been helping customers get the best deal on their dream phone. We firmly believe in giving you the highest quality, for the lowest price. That’s why we work with three of the UK’s leading networks to do all the haggling for you,...
At Halfords, we're all about the journey. With more than 700 stores with over 10,000 colleagues, we're the UK's leading retailer of automotive and cycling products. We are also the leading operator in MOT, tyres, car servicing and car repairs - pleasing more than 750,000 customers every year.
It's important to us that everyone gets great customer service and can enjoy our products, no matter their level of sight. So, if you're blind, partially sighted or struggle to see or read the screen, we’ve a range of features to help you get the most from our products and...
Look iconic, without the hassle— using Nasty Gal discount codes, you can shop your favorite pieces for way less by simply entering one of our promotional codes (of your choice) at the checkout. From delivery offers, to promo deals, we keep ‘em coming, so you always have the offer you...
The Covid-19 has caused the school and universities to shut down around the world creating a major issue in Learning and Education. As this virus spreads through the interaction and if social distanci... The Covid-19 has caused the school and universities to shut down around the world creating a major...
Why its Important to Manage Your Holiday Calendars?
A printable calendar 2021 is a prominent online platform where you download printable calendars of your choice. These calendars can be customized as per our client requirement with photo, text, logo, or any other image. If you are thinking of planning a dream vacation tour with family and kids but...
As the market for plus size lingerie flourishes, it is easier than ever to find beautiful plus size lingerie in stores almost everywhere. As the need for plus size lingerie flourishes, it is not hard to find beautiful plus size lingerie in stores almost everywhere. So, where does one find...
Teen bras are recognized by various labels. Sometimes they are known as training bras, starter bras, first bras and sometimes bralets or preteen bras. Teen bras are known by various names. They are known as preteen bras, training bras, starter bras or bralets. On average girls begin to require a...
Summer is here and it is a time to show off your skin! But for some the summer months can be demanding to the skin and this can often lead to a lot of dryness Miss your summer skin? The humidity we cursed in July gave us moist skin and...
The charm of sheer bras and sheer panties comes from the wonderful versatility in design and fabrics. These brassieres come in a wide variety of gorgeous bra styles, measurements and colors. There are... The charm of sheer bras and sheer panties comes from the wonderful versatility in design and fabrics....
Home insurance is something that every family should have. This is true whether you rent the home you live in or if you own it. Renters can purchase a type of home insurance that is commonly referred to as renters insurance. Home insurance is something that every family should have....
With so many products to choose from it can be very difficult what the best products are when it comes to determining a facial care regime. Have you been disappointed with the facial skin care system that you are presently using? Help reduce the appearance of fine lines, wrinkles, age...
There are unlimited possibilities and tons of versatile hairstyle options for weddings. Virtually, it is up to the bride to choose which style she feels more comfortable with; after all it is her day. Source: Free Articles from ArticlesFactory.com
You would never consider buying your favourite brand of clothing and then not taking care of them as they represent your style and personailty. The skin on your face also represents you and having a facial regime is very important. Parabens are widely used in a majority of the skin...
Anti-oxidants is the buzz word at the moment when it comes to beauty care and delaying the signs of ageing. But are they just a myth to get you to part with your cash or do they have some kind of value? A product that suits your skin type and...
Floor lamp is a kind of lamp that's got a tall height and stands on the floor. Floor lamp can not only used as a light but it may also be a decoration in the room. Before purchasing a floor lamp, you should establish what purpose it'll be used for....
Search topic
How Floor Lamp can Improve your house Look.
Floor lamp is a kind of lamp that's got a tall height and stands on the floor. Floor lamp can not only used as a light but it may also be a decoration in the room. Before purchasing a floor lamp, you should establish what purpose it'll be used for....