Is Insurance a Commodity? Why Not Buy the Cheapest Product?

Is Insurance a Commodity? Why Not Buy the Cheapest Product?

August 4, 2021

    Insurance is a necessity, but what is the best way to buy it? Online or with an insurance agent? And what kind of agent? Life is full of complicated situations, questions, and decisions; your insurance does not need to be one of them.

    Mass marketing insurance companies have a $7 Billion dollar annual advertising budget with the goal to convince you in 15 minutes will save you 15%. If insurance is a commodity, then why not purchase it online where it is cheap and easy?

    When you go the grocery store a pound of sugar is a pound of sugar and if one brand is 25% less, you would probably buy it. That is a commodity. Insurance is a complex legal contract that protects your largest assets; you, your family, your home, your vehicles, and your possessions you have spent a lifetime accumulating.

    Most insurance policies are nearly one hundred pages of definitions, conditions, coverages, exclusions, and endorsements. Therefore, it is important to work with an independent insurance agent. We review the complexity with you, ask the right questions and help pair you up with the best insurance company to suit your individual needs. When you work with an independent insurance agency, you are paired with an agent who is a licensed professional that knows you, your family, and the community.

    Insurance is not a one size fits all, and your agent will work hard to find the right coverages for your unique needs. Buying insurance is an important financial decision, and you want to have confidence in knowing that your agent has your back. Does “cheap and easy” give you that confidence? When you need to file a claim, you want somebody in your corner to help advocate for you and guide you on what to expect next.

    An independent insurance agency knows your community because we are a part of your community. We can offer guidance on your insurance needs because we know where you live. When you call an independent insurance agency to find a policy or ask about a potential claim, you are calling someone with a familiar area code, not an 800 number.

    BHS Insurance is your local Independent Insurance Agency that serves you and your community! We don’t sell commodities, we don’t spend billions in advertising, we just aim to protect you and your most valuable assets.