Many people dream of minimizing the number of companies they have dealings with by patronizing a company for various services. When it comes to electronics, they might want all their electronics to come from a particular brand for uniformity. The same applies to the insurance company they patronize. They would want to patronize an insurance company that offers various types of insurance services. They would subsequently want to patronize that particular insurance company for all their insurance needs. Going this route has its advantages and disadvantages.
The major advantage of having a single insurance company providing all your insurance services is that it makes having insurance policies easier. You do not have to worry about the reputation of several insurance companies and dealing with them separately. You know that whenever you need anything that has to do with insurance, you are relating with just a particular company. Hence, it could make your whole insurance activities to be easier. However, it could also be riskier.
Imagine that the insurance company happens to be unreliable and they are responsible for all your insurance needs. The implication is that the day you will need them, they might abandon you. This could have a significant negative effect on you. It could have been that you were a victim of a fire disaster and your health was significantly affected as well as losing your home, your property and your car. Using a single insurance company would make it easier to contact them to sort out your medical bills, your house and your car. However, should they be fake, you would end up not getting anything despite not flaunting any rules of the company. With different companies, even if one or two happens to be fake, the rest are likely to do their part, reducing how much betrayal you will have to suffer from a single fake insurance company.
Even if the insurance company was to be reliable, several things could go wrong. They might become a victim of circumstances beyond their control and they will be forced to close down. The implication will be that you will now have to start searching for a new insurance company. Now imagine a situation where they closed down a few days before you would have missed them and while you are still trying to settle for a new insurance company. This is considering that finding reliable insurance companies take time and some efforts. You might get stranded and frustrated.
To avoid situations like this, it is often a good idea to not only have different insurance companies for each type of insurance company you need, but you might also have more than one insurance company for each type of insurance. For instance, you can register with 2 insurance companies for your home insurance, with one insurance policy covering your home, while the other insurance company will be covering your property. This way, you would have shared the risk and should one fail you, chances are that both of them will not fail you at the same time.