Paying Premiums for Nothing, Difficult Claims, Missing Agents: The Complete Life Insurance Purchase Guide from the OIC for 2026

Many people consider "life insurance" a risk management tool to create future stability and peace of mind. However, daily news reports reveal cases where people pay premiums for years but cannot claim benefits, effectively paying for nothing. Some fall victim to agents who distort information, causing misunderstandings only realized too late.

It is undeniable that these problems often stem from choosing unreliable agents and lacking proper understanding about buying life insurance from the start.

This article from Thairath Money summarizes official recommendations from the Office of Insurance Commission (OIC), the insurance regulator, into an easy-to-understand guide. It helps you screen quality agents and protect your rights from the very first step through to receiving your policy documents.

Before deciding to buy (Be sure to check carefully, don’t rush to pay)

Before signing or agreeing to anything, the OIC emphasizes five key points you must check yourself.

• Adjust your mindset first: “Life insurance ≠ Depositing money.” Always remember that buying life insurance is a form of risk management, not a simple bank savings deposit. Do not be misled by advertisements claiming it is like an ordinary deposit.
• Verify the agent’s license yourself (very important!). Never trust someone just because you know them or based on empty words. You must confirm they hold a valid and current license. This is easy to check through three main channels.

- OIC website: www.oic.or.th (go to the "For Consumers" menu and then "Verify License")

- LINE Official: @OICConnect (choose the menu "Check Agent/Broker and Insurance Company Address")

- Application: "Kon Klang For Sure" (choose the "Verify Agent License" page)

-(Information needed for verification: agent’s full name, license number, or ID card number)

• Know your own "purpose" clearly to tell the agent so they can propose the most suitable plan, rather than letting agents push plans with the highest commission. The OIC classifies main purposes as follows.

- To transfer potential risks (focus on life coverage)

- To serve as collateral and provide family security

- To save money and develop financial discipline

- To plan for retirement life

- To utilize tax deduction benefits

• Assess your ability to pay premiums. Do not buy beyond your means! Calculate your actual income and regular expenses, and have savings or emergency funds equal to at least 3-6 times your monthly expenses. Also, choose a premium payment period suitable to avoid long-term liquidity issues that might force you to surrender the policy early, causing heavy losses.
• Compare policy terms before buying. Life insurance comes in many types (such as term, endowment, whole life, annuity, including special types like universal life and unit-linked). A good agent will compare terms, coverage, and prices of similar products clearly, and explain whether the policy has "dividends" or not to help your decision.

During application and payment (Your rights—do not let anyone do this on your behalf)

Once you have chosen the right plan, the application step is where many people make mistakes.

• Fill out the insurance application "yourself." Health information, pre-existing conditions, or medical history must be truthfully and personally completed. Never allow the agent to fill it out for you and just sign. If the agent conceals information to ease approval, the insurer has the legal right to void the contract and deny claims if incidents occur. (If applying by phone, review accuracy before agreeing.)
• Agents must inform you of your right to "cancel the policy" (Free-look Period). Ethical agents will notify you that you may cancel the policy if you change your mind, usually within 15 days from receiving the policy documents (or 30 days if purchased by phone). You will get your premium back after deducting company expenses.
• Pay premiums only into the "life insurance company’s" account! Never transfer premiums into the agent’s personal account, no matter how close you are. Payments must be made directly to the company via official channels such as websites, apps, bank counters, credit card, or the company’s QR code. Always obtain and keep "proof of payment" (temporary receipts or transfer slips showing the insurance company’s name).

After receiving the policy documents (Do not just file them away; check these 5 key points)

When the company approves and sends you the policy documents, do not just sign and put them in a drawer. The OIC recommends immediately verifying these five key points:

1. Personal information: full name, ID card number, occupation, age, birth date, as well as beneficiary names and addresses must be accurate and match reality exactly.
2. Coverage details: check policy type, insured amount (sum assured), additional coverages (such as health or critical illness insurance), and any exclusions to ensure they match what was agreed upon.
3. Premium details: verify the premium amount, payment duration, payment frequency (monthly/yearly), and due dates to avoid policy lapses.
4. Insurance period: confirm start and end dates of coverage, and the "waiting period" for health or critical illness coverage (usually 30 or 90 days during which claims cannot be made).
5. Contact channels: the agent must provide clear contact details for themselves and the company’s claim submission process.

It is clear that life insurance is neither distant nor frightening if we understand and thoroughly check every step. Do not let politeness or haste cause you to fall victim to unprofessional agents.

Source: Office of Insurance Commission (OIC).

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