Consumer FAQs

Insurance is a contract between an individual or organization and an insurance company in which the individual or organization pays a premium in exchange for financial protection against specified losses or risks.

Insurance is important because it can provide financial protection in case of unexpected events, such as accidents, illness, natural disasters, or theft. Insurance can help individuals and organizations mitigate their financial risks and protect their assets.

There are many types of insurance available, including health insurance, life insurance, disability insurance, auto insurance, home insurance, renters’ insurance, and business insurance. Each type of insurance is designed to provide financial protection for specific risks or losses.

To choose the right insurance policy, it's important to consider your specific needs and risks, as well as your budget. You should research different insurance policies, compare their benefits and costs, and work with a licensed insurance agent or broker to find the best policy for your needs.

A premium is the amount of money an individual or organization pays to an insurance company in exchange for insurance coverage. Premiums can be paid monthly, quarterly, or annually.

A deductible is the amount of money an individual or organization must pay out of pocket before their insurance coverage kicks in. Higher deductibles usually result in lower insurance premiums  but can also mean higher out-of-pocket costs if a claim is filed.

A co-pay is a fixed amount an individual or organization pays out of pocket for a specific healthcare service, such as a doctor's visit or prescription medication.

A network is a group of healthcare providers, such as doctors, hospitals, and clinics, that are contracted with an insurance company to provide services to their policyholders. Staying within your insurance network can help you save money on healthcare costs.

According to the Insurance Act of the Bahamas, insurance products can only be purchased from an insurance Intermediary?

An insurance Intermediary is an Agent, Broker, Sub-Agent, or a Salesperson.

A claim is a request for reimbursement from an insurance company for a covered loss or expense. Claims must be filed according to the terms and conditions of your insurance policy.

To file an insurance claim, you must first notify your insurance company of the loss or expense. You will need to provide documentation, such as receipts or medical records, to support your claim.

The time it takes to process an insurance claim can vary depending on the type of claim and the insurance company. Some claims can be processed quickly, while others may take weeks or months to resolve.

The coverage provided by your insurance policy will depend on the type of policy you have and the specific terms and conditions of your coverage. Your policy should outline what is and is not covered.

Certain losses or expenses may not be covered under your insurance policy, such as pre-existing conditions or intentional acts of harm. It's important to review your policy carefully to understand what is and is not covered.

You may be able to change your insurance policy at certain times, such as during an open enrollment period. It's important to check with your insurance company to understand your options.

To renew your insurance policy, you will usually need to pay your premium on time and sign a new contract with your insurance company. Some policies may renew automatically unless you cancel them.

To cancel your insurance policy, you will need to contact your insurance company and follow their procedures for canceling policies. Depending on the terms of your policy, you may be required to pay a cancellation fee.

If you don't have insurance, you may be responsible for paying out-of-pocket for any losses or expenses that occur. Additionally, many states require individuals to have certain types of insurance, such as auto insurance or health insurance.

There are several ways to save money on insurance, such as shopping around for the best rates, bundling multiple policies with the same insurance company, increasing your deductibles, and maintaining a good credit score.

To determine if an insurance company is reputable, you can check the  Insurance Regulatory , Insurance Commission Of The Bahamas website to see if they are on the list of registered insurance companies and intermediaries. 

The condition of average is a provision in insurance policies that reduces the amount of a claim payout if the policyholder is underinsured. It is designed to encourage policyholders to insure their property for its full value.

The condition of average is calculated by dividing the insured value of the property by its actual value at the time of loss. The resulting percentage is then applied to the amount of the claim to determine the amount that the insurer will pay.

To avoid the condition of average, it's important to insure your property for its full value. This means regularly reviewing your policy limits and updating them as needed to reflect changes in the value of your property.

An insurance appraisal is a process used to determine the value of a property or item for insurance purposes. It involves hiring an independent appraiser to assess the value of the property or item and provide a written report.

Whether or not you need an insurance appraisal depends on the type of property or item you are insuring and the requirements of your insurance company. Some insurance companies require appraisals for high-value items, while others may require them for certain types of property, such as homes or commercial buildings.

It's a good idea to review your insurance policy on an annual basis or whenever there are significant changes in your life or circumstances. This can help ensure that your coverage is up-to-date and that you have adequate protection in the event of a loss.

The Insurance Commission of The Bahamas is a regulatory body that oversees the insurance industry in The Bahamas. Its primary role is to ensure that insurance companies and intermediaries operate in compliance with the law and in the best interests of policyholders.

The Insurance Commission of The Bahamas plays an important role in protecting consumers by monitoring the solvency and financial stability of insurance companies, ensuring that insurers are treating policyholders fairly, and investigating complaints and disputes between insurers and policyholders.

If you have a complaint or dispute with an insurance company or intermediary in The Bahamas, you can file a complaint with the Insurance Commission of The Bahamas by submitting a complaint form on their website or by contacting their office directly.

The Insurance Commission of The Bahamas can handle a wide range of complaints related to insurance, including disputes over claims, allegations of fraud or misrepresentation, and concerns about the conduct of insurance intermediaries.

After you file a complaint with the Insurance Commission of The Bahamas, they will investigate the matter and may take a range of actions to resolve the issue, including facilitating mediation or arbitration, imposing fines or penalties, or revoking licenses for non-compliant insurers or intermediaries.

You can visit the Insurance Commission of The Bahamas website to learn more about their role in consumer protection and the services they provide to policyholders and the insurance industry. You can also contact their office directly for more information or to ask specific questions.