Premium Payments Stolen No More

Premium Payments Stolen No More

by Leslie Freeland, March 9, 2017

 Avoiding Theft

Here are 4 simple ways to avoid having your monthly, life insurance or mortgage protection life insurance (mortgage protection) premium payments stolen.

Congratulations! You have made the right choice to keep your family financially protected with life insurance or mortgage protection. Don’t let an unscrupulous agent steal your monthly payments. The insurance company will may cancel your policy if that happens because they think you are not paying your bill.

One way they can steal is to take your monthly life insurance or mortgage protection payments for themselves and never send them to the insurance company.

Follow These 4 Tips to Keep Yourself Safe

Tip # 1: Pay Electronically

An easy way to prevent this from happening is to set up your payments to be paid electronically (EFT). If your monthly payment goes to your insurance company directly, there is no chance an agent can steal it.

So when you sign up for your new life insurance policy or mortgage protection policy, make sure to get the information on how you can make your monthly payments online. If you don’t get that information right away from your agent, call the insurance company directly for steps on how to do that.

Even if you don’t own a computer or use the internet, the insurance company can help you make sure your payments are taken out of your bank account electronically.

Tip #2: Call and Verify

Call and verify the actual insurance company’s billing information.

You need to know where to send your monthly payments, especially if you are paying by check. When you receive an insurance policy, call the company your money is going to and verify the facts. For example, if your agent sells you a Mutual of Omaha policy, call Mutual of Omaha directly to check on the policy and verify the paperwork was submitted. This ensures they are getting the payments.

In addition, when you want to call the insurance company, make sure to look up your insurance company’s contact information separately from the one and agent has given you. Look the company up online and use that number as a contact number. Some unscrupulous insurance agents may give you a fake number that appears to go to the company but in reality, doesn’t. That means they or a friend of theirs can answer the phone and fool you into thinking you have actually reached the insurance company.

Some scam artists can also spoof phone numbers of legitimate companies so you can’t always rely on caller I.D.

Tip #3: Leave a payment trail (digital or paper)

In addition to paying your insurance bill online, there are several other ways to pay your monthly premium bill: checks, savings account, checking account, credit cards, money orders and even Apple Pay.

You can pay online, over the phone, through the mail and often in person if there is a local office.

If you decide to pay with mailed-in checks, always mail your payments by check directly to your insurance company’s billing department or walk the check in to your local office, if that is an option.

In some instances, you can walk into a local office and pay cash, but we highly discourage this because the risk of theft is so high. It’s not worth having a company cancel your policy just because someone pocketed the cash. And never send cash through the mail.

No matter how you pay, make sure to get receipts and monthly statements. Your insurance company should be sending you statements through the mail or emailed to you as proof of payment. Usually, you will have an online account with your insurance company. All you need to do is log into your account to see your payment history.

No payment history equals no payments receive.

No payment history is a clear sign that your monthly insurance payment premiums are being stolen.

Tip #4: Never pay your agent directly

Always make all of your payments directly to your insurance company.

 

Follow these four tips, and your monthly payments will most likely stay safe which means you family will stay financially safe.

 

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Asurea offers Life Insurance, Mortgage Protection Life Insurance, Medicare Supplement Insurance, Final Expense Insurance, Disability Insurance, Long-term Care Insurance, Retirement Planning products and more. For additional information, click on the ‘Learn more’ button below. Want to have articles just like this delivered to your inbox? Just enter your email address in the box below and click ‘Subscribe.’

This information is provided for general consumer educational purposes only and is not intended to provide legal, tax or investment advice.

 

Leslie Freeland

Leslie Freeland

Marketing Communications Coordinator at Asurea
Leslie joined Asurea as the Marketing Communications Coordinator in February 2015. Since then, she has been working closely with insurance professionals to educate the public on the importance of life insurance and protect the public from common scams with informational articles.
Leslie Freeland

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