All insurance companies claim that they are the best.
A number of advantages put forward by the insurance company to convince many
people. It could be that what he says is different from everyone's view.
Actually, good performance insurance criteria can be
known from a number of benchmarks commonly used to rank insurance company
performance. From there compiled a list of insurance companies that are
performing well.
10
Criteria for Assessing Insurance Companies with Good Performance
According to InfoBank's rating in InfoBank's Rating
123 Insurance, here are 10 assessment criteria for insurance companies
categorized as performing well.
1.
RBC: How Healthy is the Insurance Company?
Risk Based Capital (RBC) is used to measure how safe
an insurance company is financially or how healthy an insurance company is.
Healthy or sick financial condition of the insurance company is reflected in
the size of the RBC ratio. A healthy insurance company usually has a large RBC
ratio.
2.
What is the Insurance Company Liquidity Ratio?
How well the insurance company is able to manage
finances well and how well it can meet obligations such as debt depends on the
liquidity ratio. The high liquidity ratio indicates that the financial
condition is in good condition.
3.
How Big is the Guarantee Fund to Protect Insurance Customers?
Guarantee Fund is an asset of an insurance company
that is used as the last guarantee in order to protect the interests of
policyholders, insured, or participants.
4.
Investment / Technical Reserves Plus Debt Claims
Used to determine the company's ability to pay
obligations to policyholders in the long run. The 100% figure is a benchmark to
find out investment / technical reserves plus debt claims. Equal to or more
than 100% is included in the best category.
5.
Fixed Assets / Own Capital
The extent to which the efficiency of the insurance
company can be known from the insurance company's fixed assets. No more than
25% is the best number for a well-performing insurance company.
6. Change in Gross Premium
To find out the company's ability to maximize
premiums, find out how the insurance company's gross premium changes. If the
insurance company gets a value of 33% or more, the insurance company is
categorized as the best insurance company.
7.
Net Premium Income against Own Capital
How does the strength of their own capital against
their own dependents in the insurance company? Less or equal to 300% is the
standard of the best insurance companies.
8.
Net Investment Income to Average Investment
Find out whether the net investment income to the
average investment is equal to or greater than the average investment interest
rate. If the same or greater, it means that the insurance company is one of the
best insurance companies.
9.
Net Claim Expense Ratio
To find a good insurance company, this one ratio must
be equal to or less than 100%.
10.
Ratio of Profit (Loss) Before Tax to Average Own Capital
Used to measure the ability of own capital in making
profits, the best standard must be equal to or more than the average investment
interest rate.
4 This Can Also Be A Size
Sometimes prospective customers do not have enough
time or knowledge to research the data so they are quickly tempted by various
attractive offers provided by the insurance. Well, to minimize things that are
not desirable in choosing a car insurance company. The following are 4 criteria
for a good car insurance company in addition to the 10 criteria above.
1.
How long has the insurance company been established?
The duration of an insurance company can be an easy
indicator to examine the performance of an insurance company. Car insurance
companies that have only been established for less than one year or only for
one year cannot be ascertained in the future. Because the insurance business is
a risk business. If you have no experience, the company can go bankrupt.
2.
Have a Good Reputation
A reputation cannot be built in a short time. An
insurance company with a good reputation on an ongoing basis needs to maintain
and improve its performance. To get a car insurance company that has a good
reputation, you can find information from various sources both from social
media or from people around you.
3.
Have Many Partner Workshops
Partner workshops are the spearhead of car insurance
services. The more partner workshops, the better the service because the more
accessible the vehicle owner. Customers will feel comfortable without fear when
they want to travel.
With the number of partner workshops available, if
something unexpected happens to your car on the road, all you have to do is
call the relevant parties and wait until the car repair is complete.
4.
Affordable Premium
A good insurance program doesn't have to be expensive.
The performance of a good car insurance company can also be seen from the
premiums offered. If you are careful, a good car insurance company can offer
affordable and good quality premiums.
Each company offers a different premium price. Adjust
the premiums offered with the budget you have. A good car insurance company
will certainly help you get a suitable premium.
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