What is a direct insurer?

Direct insurers do not have their own distribution network and therefore not even a traditional company headquarters. Their activity takes place online or by telephone – from the conclusion of the contract to the processing of claims Motor Insurance in Thailand.

Compared to traditional sales, through representatives and in branches, this procedure is less expensive. Direct insurers tend to offer standard products, which is why insurance premiums are often much cheaper.

Offer

Direct insurers usually do not have as broad an offer as traditional insurance companies, because they focus on standard products – in addition, the range of multi-sector products is often small or even non-existent. Anyone who wants to take out all insurances with just one company would therefore be better off choosing a traditional provider.

Clarity

Compared to traditional products, those of direct insurers are clearer, thanks above all to the reduced supply. Documents are also easier to understand: Generali’s general insurance conditions, for example, take up 24 pages, while Simpego’s only 9 pages.

Flexibility and customization

Traditional insurance companies usually have a cancellation period of 3 months before the contract expires. Many direct insurers have reduced this deadline to a maximum of one month. Some insurers, such as Simpego, instead offer customers the option of canceling 24 hours before the contract expires, upon payment of an additional premium. Smile customers can instead cancel their insurance policy every month, basically the equivalent of an insurance subscription.

There are also differences in the choice of coverage: customers of a direct insurer such as Simpego can freely choose the deductible up to the last franc. On the other hand, traditional airlines only allow you to change the deductible at intervals of 1,000 francs.

In addition, classic car insurance limits some coverage to vehicles up to a certain age, such as parking damage coverage . Direct insurers, on the other hand, often offer these options even for vehicles over 10 years old.

Availability and assistance network

In terms of availability and assistance network, traditional insurances have an edge over direct ones. Those who take out a policy with direct insurance do not have a personal insurance advisor and cannot benefit from an extensive distribution system.

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