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THE INSURANCE industry is also largely responsible
for the lack of awareness amongst the people
about home insurance policies. According
to people in the know of the things, the
marketing of householder's or property insurance
is relatively a speck when seen in relation
to the emphasis on other products. This
is not without reason as the premiums are
low - though they have the potential to
be huge if volumes build-up. Moreover, the
marketing force of the insurance companies
feels that the remuneration is low for the
kind of efforts that they have to put in.
By contrast, they tend to get more if they
approach the moneyed. Policies offering
risk cover to householders would be popular
only when there is a savings element to
them.
This is the bare truth behind the lack of
public interest in the policies. Unlike
the savings and bonus associated with a
life insurance policy, those covering the
house and its contents offer little benefit
other than the risk cover.
Moreover, the procedure for obtaining the
householders insurance is lengthy, involving
more documentation and the policy has to
be renewed every year without fail. Many
of the policyholders tend to forget, as
unlike a life policy, they are not at the
risk of losing the survival benefits
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