How much professional help do you really need when choosing an insurance policy?

With websites like Insure.com or NetQuote.com providing quick and convenient quotes and comparisons for health, life, home and other types of insurance policies, it’s easy to believe that all you need to find the right insurance policy is a long lunch break and a high-speed Internet connection.

And while the do-it-yourself approach works for some, finding the right coverage for your needs can be a complicated matter requiring the professional expertise of an insurance agent, broker or financial planner.

Before you decide, you should weigh the pros and cons of working with a professional as opposed to working on your own:

1) USING AN INSURANCE WEBSITE

Insurance websites compare policies quickly and, usually, free of charge. However, unless you know exactly what kind of coverage you need, you may end up with more questions than answers. Worse, you may end up buying the wrong kind of policy, or one that doesn’t fit your specific requirements.

It’s best to take the DIY approach if:

2) APPROACHING INSURANCE COMPANIES DIRECTLY

These same two criteria, that your needs are simple and you know what you want, also apply if you plan to approach insurance companies directly. But this requires a great deal of time and patience; there are over 1,000 life insurance providers combined into about 300 company groups.

The advantage to this approach is that you can ask questions pertaining to your specific situation.

Of course, you may not end up speaking to a knowledgeable customer service representative; instead of dealing with a party concerned with your needs, you may find yourself talking to a salesman with a well-honed pitch. It can be difficult to form an educated opinion on a wide and confusing range of policies this way.

If you choose to contact carriers directly, make sure that they are licensed in your state by checking the Insurance Information Institute website. Also, be sure to vet their financial standing with an industry rating service such as A.M. Best, Moody's, or Standard & Poor's.

3) GOING WITH A PRO

If your insurance needs are complicated or tied to legal circumstances, such as a divorce or estate plan, or if you are simply unsure about how to choose the right coverage, it is probably best to use an insurance professional.

The advantage of using an agent, broker or financial planner, is that they combine the convenience of a web search with the attention to detail that your situation may require.

However, you will need to be cautious when choosing your agent. Before you commit to a relationship, follow these steps:

THE BOTTOM LINE

Obtaining the right combination of insurance coverage for your needs often requires more guidance than you think—although in the most straightforward cases, you can probably research and purchase certain policies on your own. If your situation is complex, don't hesitate to rely on a professional.