With many high price items benefitting from huge discounts shoppers hit the high street in their hoards. And why not? If you can make a saving without having to compromise on quality then you’d be a fool not too.
However, risky as it may be, many people do actually compromise on quality in order to make a saving and, strangely enough, some people even opt for poor quality products that aren’t actually saving them any money just because they’ve failed to do their research.
I’m referring of course to the financial services sector and, more specifically, GI products. Historically the highest quality products would have come at a premium price and consumers would often opt for lower quality options in order to save some cash. As good advisers know this is a false economy as while they may save a little money on their premium, the poor quality cover the policy affords means the holder may well find himself out of pocket down the line.
This is nothing new. Sadly some consumers have always valued price over quality. However, in the increasingly competitive landscape in which we find ourselves operating high quality, even 5* products can now cost the same if not less than lower star rated products. Yet, bizarrely, some consumers are still choosing lower rated products and, even more surprising, some brokers are still recommending them.
By choosing a provider that has the ability to leverage and negotiate with insurance carriers to secure consistently competitive pricing it is possible to get the highest quality policies at extremely attractive rates. So why would consumers or brokers choose otherwise?
I would hazard a guess that it’s the result of a misconception that higher quality always means higher price. Consumers may not be aware that the market is so competitive at the moment but brokers should. The market has changed. Make sure you product choice reflects that.
