Like any other insurance policy, workmen compensation insurance can be bought either through a representative of the insurance company(ies) or online.

  • Traditional Method
  • Online Method

Traditional Mode of Application

You can always approach an insurance company, agent, or an insurance broker to enquire about the policy features and apply through an application form provided by the respective insurer.

Comparing the policy features from different insurers could be difficult in this mode as you must manually collect and compare everything. However, a corporate insurance broker can resolve the issue by presenting a comparison.

This mode can take anywhere from 5 days to 15 days depending on the administrative processes and personal convenience.

Online Mode of Application

Unlike the traditional modes, online method is faster and more convenient. You have the following benefits available in the online mode of purchase:

  • Apply from anywhere anytime
  • Provide employee/worker information at your convenience
  • Personal information is not required
  • Compare multiple quotes within few minutes without having to go through several insurers
  • Apply online
  • Policy Risk Held Letter is issued within 48 hours

To know how the premium for your policy will be decided see How are workers’ compensation premiums calculated?

Challenges of Mode of Application

  • Need to be comfortable with computers
  • Need internet connection
  • Data security, chances of hacking and fraud
  • Should have continuous access to e-mails for faster processing
  • Lot of paper work
  • Will have to wait for few days for acknowledgement of application
  • Most information leakage happens in this stage

To overcome the challenges in both modes of application, many insurers and insurance advisors, follow a combination of both the methods for accepting applications.

While, you can file the online application, for verification and better record keeping, you can print the forms and documents and send a copy to the insurer. Also, the final policy document is send to you in hard copy with an e-mail confirmation for the same.

This whole process can be backed by a 24×7 customer service department with the best insurers and advisors. This department will keep you informed about the latest development, and the customers can connect with them at any time to clear their queries and doubts.

Case on Buying Workmen Compensation Insurance

Sailesh Tripathi is an old-fashioned manager and cherishes traditional ways of doing things. While applying for a worker’s compensation policy as well, he chose to contact insurers and meet multiple agents before he could make up his mind.

The result of his efforts was that he got a very good relationship with the insurance advisor. But lost a little ground on the policy features, which clearly showed up, when one of the workers got injured at work. The claim was rejected by the insurer because the risk was not disclosed properly and the worker’s work profile was not insured.

Sailesh viewed this as an information asymmetry, he did not know about the policy as much as his insurance advisor. Kapil, his closest aid in the firm, advised him to go online for comparison.

See: What Is Not Covered in Workers Compensation Policy?

With Kapil’s assistance, Sailesh could compare various policies, their features and decided the type of cover they needed for their firm.

Sailesh realised the ease and efficiency of the online process, and cherished the fact, that just one hour of research and couple of question made him a lot wiser than he felt after meeting the advisor multiple times over weeks.

Kapil and Sailesh also connected to the customer service representative of the insurer online for their queries and couldn’t contain their happiness when the policy was issued just 2 days later.

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