For many people, the term "twist" has negative connotations. When you hear the word, it is always in a negative light. The twisting of the policyholder's arm by an insurance agent to get more money out of them is one of the most common things in life. This type of deceit and dishonesty happens in every walk of life, and it happens all too often.
The very term "twisting insurance" itself sugges
ts something ethically wrong. If your insurance company is using unethical methods to get more money out of you, the only way that you can stop the twisting is to take away their power and control. You are in control of your life and your family's future and should be aware of any unethical dealings by your insurance company. Therefore it is in your best interest to consult with an attorney specializing in this type of law.
There are several ways for an insurance company to get more money from you regarding insurance coverage. The most basic of these methods involves raising your deductibles on your existing insurance coverage. The lower your deductible's the less money that you will payout in the event of a claim. Therefore, if you have no insurance, how could you possibly cope when you get a share? Taking out another policy with the same insurance company that you are taking out the newest one will cover you in the event of insurance twisting.
A more sophisticated way for your insurer to benefit is to change the way that you pay premiums. If you are satisfied with your current insurer, you may keep them without even looking into the option of switching to another insurer. However, it is also possible for you to find another insurer to do business with, which would allow you to keep your current provider while receiving some other benefits. This is called "bundling."
Sometimes the method of changing insurance company policies and keeping the same agent involves twisting the arms of the policyholder. For example, suppose your agent has recommended that you take an approach with their company instead of another insurer. In that case, you could try and convince your current agent that this recommendation is in their best interest. Often agents will not suggest policies in their own best interest simply because they are associated with their company. If you can convince your agent to push this kind of policy on you, it is called "bundling."
Another illegal practice that is often employed by some agents when they sell insurance policies is to suggest that a person who has applied for a procedure needs to get another appraisal done before purchasing one. While this sounds legitimate, it is, in fact, illegal. If this sounds familiar to you, it may be because you received a letter from your current agent telling you that you need a new policy. If you did not want to keep your existing agent, you should have told your new agent that you did not wish to receive any more recommendations and did not want to get a second opinion.
A third way an insurance agent may try and steer you to accept a policy from them or another company is to offer you a discount if you cancel your previous insurance policies before the application period ends. This is illegal because once you have accepted an application from an insurance agent, the agent cannot change their mind and offer you a discount after you have canceled your prior insurance policies. It is also illegal for an insurance agent to try and sell you a new policy once you have already accepted an application from another company. No matter what they say, twisting the arm of the consumer is against the law and is a complete misrepresentation of the facts.
Even though the practice of insurance twisting seems legal, if you ever think that your agent has engaged in this unethical behavior, it is probably best to end their relationship. If they continue to lie to you and attempt to get you to accept a new policy, they will continue to violate your rights. If you are currently dealing with such an agent, you should immediately speak with a consumer-based litigation lawyer to learn more about your rights. By taking control of the situation, you can make sure that you receive the compensation you deserve.
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