What is Defaqto?
Summary: You may have seen the Defaqto logo, but do you know what it means? We’ll take you through what you need to know about the different Star Ratings and what this means for Beagle Street life insurance.
Contents
What is Defaqto?
With so many different providers, it can sometimes be difficult to know which is the best one for you. This is where Defaqto comes in, by comparing over 1,000 life and protection policies based on the features and benefits they offer and rating them out of five stars. Defaqto is an independent service with experts that continually analyse every known product on the market, doing the all the hard comparison work for you.
What do the different Defaqto stars mean?
The Star Ratings are purely about the product itself, not the provider, price or level of customer service. The Defaqto team of experts instead focus on the various features and benefits as well as the all-important terms and conditions which are often overlooked, scoring each area and combining these to give a final rating out of five (five being the highest). This rigorous process happens every year to make sure that the scores are as up-to-date as possible by including any new features or product launches or changes that have happened.
We’ve broken down each Star Rating below for you:
1 Star: Basic product with a low level of features and benefits
2 Stars: Product typically offering a below average range of features and benefits
3 Stars: Standard product with an average level of features and benefits
4 Stars: Product with a good level of features and benefits
5 Stars: Excellent product with a comprehensive range of features and benefits
What are the downsides to the Defaqto system?
- Price isn’t taken into account – as with any product or service, price is a key part of your decision making, and you’ll always want the best value for your money. This means a product or service rated five stars may seem like the obvious choice, but if its considerably more expensive, this may not be the right one for you. Looking around and comparing other providers is always a good way to find the best deal for you.
- Customer service isn’t considered – particularly with a product such as life insurance, you want to know that if you did need to claim on your policy, the process would be simple and hassle-free. When comparing different providers, always make sure you look at a customer service rating such as on an independent review site or awards to get a realistic view of this.
- How they calculate the Star Ratings – As we said before, Defaqto base their ratings on the facts of a product or service to determine it’s worth. However, the features and benefits they look at to calculate a score are weighted differently. So, this means that things you may think of as important, may be valued differently.
What Defaqto Star Rating does Beagle Street have?
Here at Beagle Street, we are proud to say that Defaqto has awarded our life insurance (available through our own website) a 5 star rating. This means that we have an excellent product with a comprehensive range of features and benefits. As we said, Defaqto isn’t the only thing to consider when looking for the right provider for you, check out our Trustpilot reviews to see why our customers have rated us ‘Excellent’.
To sum up
When choosing your life insurance provider, their Defaqto rating might help you make a more informed decision based on their product offering. However, this shouldn’t be the only thing you look at, use these Star Ratings alongside other sources of information that can determine quality and value for money for you personally, such as price and customer service to find what is right for you.