Importance considerations when shopping for MHI policies

This is importance consideration before you buy MHI policies:

• Shop wisely before you buy – Policies differ as to coverage, benefits and costs (i.e.premiums), and companies differ as to services. Compare before buying.

• Don't buy more than you can afford – A single comprehensive policy is better and cheaper than several policies with overlapping or duplicate coverage.

• Know whom you are dealing with – Only deal with a licensed insurance company or its authorised agents or a licensed insurance broker when you buy a MHI policy. If a person cannot verify that he or she is an authorised agent of an insurance company, do not buy from that person. If in doubt, ask for evidence of the agent’s registration or check directly with the insurance company. Please note that a business card does not necessarily mean that the person is an authorised agent.

• Get information on the agent and insurance company – Write down the agent’s and/ or the insurance company’s name, address and telephone number or ask for a business card that provides all that information. This information is important if you want to enquire, renew or claim on a policy.

• Take your time – Don’t be pressured into buying a policy. A professional insurance agent will not rush you. If you are not certain whether a policy is what you need, ask the agent or insurance company to explain it to you properly.

• Complete the application form carefully – If you decide to buy a policy, you will need to disclose material facts to the insurance company. Some insurance companies ask for detailed medical information. If you leave out any of the information requested, coverage could be refused for a period of time for any medical condition you neglected to mention. The insurance company also could deny a claim for treatment of an undisclosed condition and/ or cancel your policy.

• Look for an outline of coverage – You should be given a brochure containing the important features of a particular MHI policy, when you are approached to purchase a MHI policy. After buying the policy, you should be given the policy contract. Read the terms and conditions in the contract carefully.

• Do not pay with cash – Pay by cheque, money order, auto-debit or bank draft made payable to the insurance company, not to the agent or anyone else. Get a receipt with the insurance company's name, address and telephone number for your records.

• Notification of the decision on the application – Insurance companies must make the decision whether or not to accept your application within 30 days of the application date. If you do not receive the decision within the stipulated period, contact the insurance company and obtain in writing the reason for the delay. If 15 days go by without a response, contact Bank Negara Malaysia (BNM).

• Read your policy contract carefully – Check to be sure that a copy of the original application is attached to the policy, and that it is complete and accurately reflects your medical information. Review the schedule of benefits and make sure that the information is correct and what you were expecting. There should be no missing pages and no unexpected riders or exclusions in the policy.

Important: Your policy is a legally binding contract. If you have questions about it, call the insurance company and get the questions resolved during the 15-day ‘free-look’ period.