Intelligent premiums, interest & meat

October 17, 2008 by Styles Kadzere ·
Filed under: Business, Other Business

I have been subscribing to medical aid for many years now. I have never once in those years made a claim to my medical aid society. Recently, I have found myself wondering why on earth they continue to charge me the same as everyone else.

Short of expecting a refund, a thought which has been festering prominently in my mind lately, I at least expect to be made to pay less than someone who makes claims every month.

Now I am no acturial scientist, but I’m sure all those finance fundis out there will agree with me that it makes sense to keep your low cost areas as low as possible. The last thing we want is for me and my family to start finding excuses to go and see the doctor so that we can make claims so that we don’t lose out on the money we have been paying all these years.

The same applies to that ungrateful insurance company that hasn’t even sent me a letter to thank me for being a good client. I pay my premiums faithfully and have not needed to make any claims, thankfully, since I took out my policy. Now that should make me a low risk client and I think that means I contribute more to the profitability of this company than my neighbour across the street who has been burgled three times this year alone.

What I want to know is why my insurance company doesn’t acknowledge that? Why don’t they tell me every so often: “Ey, don’t pay your premium this quarter- we’ve got you covered.”

And my bank. I have a balance of almost zero dollars in my account most of the time but my boss has a tonne of money in his. Why do we earn, by and large, the same interest?

Is it so difficult to work out a way of rewarding each client individually for their contribution to your business? Why should we all be lumped under “packages” or “plans” that don’t really suit our individual needs?

When a I go to the butcher to buy meat, I get EXACTLY what they want. If I want 1kg of liver, 2kg of T-bone I get that- unless it’s out of stock. They don’t tell me: “Sorry sir, you will have to chose between our 5kg Mixed Cuts Package, our 10kg Offals and Stew Bones Package and our 15kg Premium Cuts Package. The customer gets exactly what they want.

If that can happen in a butchery can’t it happen with insurance, banking and medical aid?

Tell the world: