Become insurance agent also a good career.

you should know and inform people of its bad half as well.

http://www.hubbis.com/articles.php?aid=1317808967
Taiwan’s Financial Supervisory Commission (FSC) has warned investors of the risks involved in buying investment-oriented insurance products.

The regulator said the investment-oriented categories include mutual funds, financial bonds, corporate bonds, structured products, and, in particular, overseas structured products.

Before buying investment-oriented insurance products, the FSC said investors should check the insurance dealer’s registration certificate, assess their own investment knowledge and risk tolerance, and read the risk disclosure statement. For overseas structured products, the regulator said investors should pay special attention to the credit risk of foreign issuing institutions, as well as to the FX risk at maturity.


http://www.chinadaily.com.cn/business/2009...ent_8402776.htm
CIRC lifts ban on investment-linked insurance

By Zhang Jiawei (chinadaily.com.cn)
Updated: 2009-07-09 14:34

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The China Insurance Regulatory Commission (CIRC) recently gave the green light to four domestic insurers to open investment-linked insurance accounts, after a half-year suspension triggered by the mass cancellation of investment-linked insurance policies in the second half of 2008, according to a post on CIRC's website on Tuesday.

The four insurers - China Life, CITIC-Prudential, Great Wall Life and Pacific-Antai Life - were approved by the CIRC to open eight new accounts for their investment-linked insurance products.

As most insurers failed to benefit from the rising capital market in the first quarter of this year, they significantly increased their investment in the stock market in the second quarter, especially in May and June, which contributed to lucrative returns in the first half of the year, Beijing Business Today said on Wednesday.

"The CIRC's move to lift the ban on investment-linked insurance accounts means regulators think there're more opportunities on the (stock) market, and insurance funds will continue entering the market," a source with an unnamed brokerage told the newspaper.


Related readings:
China broadens insurers' investment channels
Insurers asked to provide written risk warnings
China Life raises equity investments as market rallies
China's insurance premium income up 10% in Q1



The source said the move by authorities was more of a positive signal pointing to insurers' confidence in the stock market, for the investment-linked insurance market, unlike the fund market, is still small and won't bring in large sums of capital for the stock market.

Wang Xiaogang, an analyst with the Orient Securities, said the CIRC also wanted to expand investment channels for insurers to boost the insurance market.

"The mass cancellation of investment-linked insurance policies was a result of misleading marketing (of the product)," Wang told the newspaper. "The withdrawal risk can be avoided now, for the selling procedures, personnel training and information disclosure are all regulated."

Statistics from Sinolink Securities showed yields from investing in equities under investment-linked insurance accounts have risen with the rebound of the capital market. More than 60 percent of aggressive investment accounts of investment-linked insurance products have outperformed the market in the past year.

In the first five months of this year, the average return on stock accounts reached 5.03 percent, compared with a loss of 45 percent in the second half of last year, according to Sinolink.

China Life, for example, saw a steady rise in its equity assets under its investment-linked insurance account from last December to May this year, and as of the end of May, the equity assets accounted for as high as 74.8 percent of the account's net assets, the newspaper said.

A source from an insurance capital management company predicted a large flow of funds from investment-linked insurance accounts into the stock market in coming months.





This post has been edited by lunchtime: Feb 1 2012, 11:01 AM

My uncle is insurance agent and the son & daughter as well, quite well off, alldrive camry and have nice house. Some more every year get to go on free overseas vacation because hit the annual target.

Not a bad career choice if you can sweet talk and convince people...

This post has been edited by gark: Feb 1 2012, 12:19 PM

lunchtime,

Why would an insurance agent EDUCATES its customer to shop for lower cost insurance?? That reduces their income...

There is a conflict of interest here...

Life is FAIR. If a person is TOO LAZY to shop around, they deserve to get a raw deal.

Dreamer

This post has been edited by dreamer101: Feb 1 2012, 12:17 PM

we have clear confirmation here then, insurance agents are selling policies to clients for their own interest rather than the clients' interest, which is why almost every agents pushes endowment policies (so called cash bulider, save 6 years, get peanuts money for the rest of your life policies) and those so called investment linked policies without explaining the risk upon the clients.

yes, there is a conflict of interest here, and that conflict isn't about screwing your clients just because he's unaware or uneducated or the fact you see the client as a water fish.

"they deserve a RAW deal." for this statement alone, you are in no position to market insurance as you have no ethics. you deserve to be out of business, same goes with whoever who taught you the nonsenses you been churning out.

lunchtime,

I do not sell insurance.

<<"they deserve a RAW deal." >>

I REPEATEDLY tell / teach people to LOOK and STUDY carefully what they buy. But, they CHOOSE to be LAZY.

They could spend a lot of time and effort shopping for a car, house, and so on...

But, when they SPENT the equal or larger amount of money on insurance, they CHOOSE not to take the effort to SHOP around.

So, WHAT do you say about this kind of people??

"They deserve a RAW deal" is about the kindest words that I can say about them.

Dreamer

Dreamer,

U must be dreaming or u do not live in the real world, stuck inside your ivory tower.

So you're saying aunties selling vege at the market who do not even finish SPM deserve bad deals? A person who wish to renovate his house need to learn about grades of cement, types of steel bar etc that the renovation contractor uses on his house? A patient needs to "shop around" and go on the internet to do research and find out about whether his doctor is giving him the correct pills?

As someone carrying an "Elite" tag in this section of LYN your postings are very harsh and demeaning.

Pink Spider,

Let me ask you a SIMPLE QUESTION.

If you are going to spent 100K on something,

A) Do you spend time and effort shop around??

B) Or you just buy whatever somebody tell you to buy??

C) Do not buy until you know what you are buying??

Even if you KNOW NOTHING, you could do &copy;. Now, if you want to work harder, you do (A). What can you say about people that do (B)??

<< So you're saying aunties selling vege at the market who do not even finish SPM deserve bad deals? A person who wish to renovate his house need to learn about grades of cement, types of steel bar etc that the renovation contractor uses on his house? A patient needs to "shop around" and go on the internet to do research and find out about whether his doctor is giving him the correct pills?>>

All your examples are a bunch of BS that are NOT RELEVANT in this case.

You buy insurance in order to protect yourself from SOME RISK. Now, isn't it COMMON SENSE to find out

1) How much are you ACTUALLY paying??

2) What protection do you get??

And, YOU as an insurance buyer can INSIST that the agent tell you (1) and (2) and you can talk to a few agents about (1) and (2) before you buy something.

WHY are people buying insurance without knowing what they are getting into??

Dreamer

P.S.: Even auntie that sell vegetable know how to shop around for the best deal in term of vegetable to save a few cents. So, WHY do people are CARELESS and LAZY not to shop around for a big ticket item like INSURANCE??

P.S.2: Are YOU telling me that you do not know how to shop?? Buying insurance is THE SAME as shopping for anything else.

This post has been edited by dreamer101: Feb 2 2012, 07:47 PM

I see people like to curse the insurance industry.
Without Insurance, we might be living like apes era.

Don't you know that insurance is an industry that play a big role in stimulating the world economy. You work in big MNC that support servers, provide solutions, provides all kind of services.. Bank, financial institute, insurance company are highly linked together, and those things have chain action towards one another.

Probably without them, you are without you IT support position paying u huge bucks and still farming the ground.

Insurance also really play a big role in helping out family during their needy time. No joke on this when it comes to accident of your own loves one.

Bonescythe,

Insurance is an useful RISK MANAGEMENT tool.

But,

1) Why people REFUSE to be INTELLIGENT insurance buyer/ consumer and figure out what they are buying??

2) Why insurance agents do not tell their buyer EXACTLY what they are buying??

Hence, we have MANY PEOPLE overpaying for insurance and not getting what they needed.

We can BLAME insurance agent. But, the buyer that has to bear RESPONSIBILITY too. It is THEIR MONEY. If they DO NOT CARE and DO NOT SHOP around, why should they be SURPRISED that they can be OVERPAYING and NOT GETTING what they needed.

In fact, the money spent on insurance could be about the same size as car and house. But, people spend far less time studying insurance when they buy versus buying car and/or house.

Dreamer

let take LYN postings as a sample of the population, you will note that most clients are not happy / angry with their agents / policies shouting fraud / cheated and you will note that most insurance agents are pushing endowment / investment linked policies as savings & retirement programs rather than pushing term policies for protection.

since it is happening here in LYN, i doubt it will be any different in the non internet world as well, given LYN is a sample of the population meaning generally agents push endowment / investment link plans rather than protection policies compounded by the marketing spin of better than FD interest (endowment ala cash builder for those still wet behind the ears) and "this not insurance, this is savings" ala investment linked.

now dreamer, how would you expect an aunty to do research when all the agents she meets recommend her similiar policies aka endowment / investment linked plans rather than other alternatives?

i give you an example, an friend of mine who is massively rich was looking for a protection policy approached agent A, A quoted my friend a 10 years endowment policy, premium was around $150k per annum. That's $1.5m.
He spoke to his wife about this, and his wife asked her friend who is an insurance agent B for advice. Guess what insurance agent B did.

Insurance agent B told them the proposal by A is rubbish and proposed another plan which turns out to be a 8 years endowment with the premium of $150k per year as well fully aware of the fact my friend is looking for a protection policy.

my friend asked for apple and instead was advise orange by agents. Who's to blame? Agents or clients?

like you said,
"Why would an insurance agent EDUCATES its customer to shop for lower cost insurance?? That reduces their income...

There is a conflict of interest here..."

Imagine the commission on that $1.5m premium, should be around $181500 plus bonuses for the 6 years. 95% of the insurance agents in the market have no ethics, no financial background, haven't a clue what insurance is about and couldn't care less about the client so long as the client pays premium on time.

BNM recognised this problem which is why its implementing CPD hours and insist on agents to do RFP, but its implemention is rubbish given how insurance companies are cutting corners.

insurance agents ptuiii!!

If you are the Manager of the Agent, you will say good agent..

It all depends on which shoes you are standing at..

They fight for their goals and target, they do things that people don't want to do.. They dare to sell, they dare to take the extra mile to offer more.

Here comes this weed smoking PMS dreamer again...

Auntie selling vege OF COURSE knows shopping for the best deal for vege, BECAUSE IT IS HER TRADE, HER EXPERTISE. U ask her buy insurance, she has to CONSULT ppl, which in this case = insurance agents

When u wanna renovate your house, u engage a renovation contractor. Yes u will shop around for "the best deal", but how do u really know if "the best" is REALLY the best?

What "BS"? U are so bent on your viewpoint I'm using analogies to illustrate the flaws in your thinking.

P.S. - lunchtime, I'm addressing the above to Dreamer, not u

This post has been edited by Pink Spider: Feb 3 2012, 12:41 AM

Believe it or not, I'm an agent for so many years and I swear to God that I never ever sold a policy that prioritise my commission first. Needless to say, not all agents r like what u all said.
And FYI, investment link policies r much more lower than any traditional policies. I would say there r a lot of unscrupulous agents out there and u just have to buy from someone whom u can trust and will be there when it comes to claims.
As for comparison, there's nothing much to compare as insurance r much or less the same in terms of prices. The only thing that u need to compare is 1. Benefits of medical card (credit limits, hidden t&c, kidney/cancer cap) and most importantly 2. Insurance agent. To some, an agent might be earning a lot. 6 years of commission but whole life of after sales service.

not all insurance agent are bad , n educate a customer is not a thing tad make their commision lower,

when u sell protection to them u educated them as well so they noe wat they have n not, i strongly reject dreamer opinion agent will not educated client coz fear of reduced commision.

only "salesman(in insurance industry" will do that, a True life insurance agent will look after client benefit 1,by educating a customer it is actually generating more business as they will always refer their fren and close 1 to a True agent who sell with heart.

insurance is always PROTECTION,if ppl start mixing it with return then there will be various thing to be argue.

take my own policy for example,

male,27,no smoke,class 2 job.

rm 100 per month, i protected for rm180k life/tpd
rm180 critical illness
and auto payor in event critical illness.

and i got another policy for medical card..



rm100x12= rm 1200 per year

my age 27, assume that i can live till 100 i will be paying premium amounted to rm 88,800

rm180k - 88,800 i pay = 91200+

one might argue the value will be not the same anymore which i fully agree

but can i really live tad long?

the onli thing i know is that in the event i die today ,next year ,next 5 year 10 year or 20 year

i would have at least leave in peace of mind knowing my family member and love 1 will have financial protection


that is the reason i buy insurance,for protection for myself and love 1,


Insurance= Protection

Insurance = Love + Responsibility

Pink Spider,

Let's have some COMMON SENSE!!!

If I want to buy Insurance, I do not consult Insurance Agent first. They have an inherent conflict of interest. Most of them will sell me more insurance than I need. I consult people that BUY insurance. Not people that SELL insurance.

At the minimal, I asked around friends and families and check out their experience in BUYING INSURANCE...

Now, how much expertize do you need to ask around and find out whether you can TRUST someone before you make a MAJOR PURCHASE from them??

You do this when you buy vegetable too. You asked around from your friend and families as to who you can trust.

Dreamer

This post has been edited by dreamer101: Feb 3 2012, 08:37 AM

Folks,

One of the FUNDAMENTAL PROBLEM with buying insurance is people DO NOT KNOW that they are making a BIG PURCHASE.

They only see that they are paying RM100 to RM200 per month. But, they do not realized that they are entering a contract to pay for 10 to 20 years. If they REALIZE that they are spending 10K to 20K or a lot more, they would have spend a lot more time shopping around like how they buy car and house.

From insurance agent point of view, they do not want to ALERT people to this fact. Aka, it is a BIG PURCHASE. In fact, this ranked among top 3 to 4 BIGGEST PURCHASE that a person may buy in their WHOLE LIFE along with car, house, and tertiary education.

So, if you want to help someone, ALERT them that they are SPENDING 10K to 20K on insurance. They should be CAREFUL.

Dreamer

This post has been edited by dreamer101: Feb 3 2012, 08:56 AM

Successful insurance agents depend on PR.
Sweet talk and convincing people strategic cannot be used in modern world.

At the end of the day,selling insurance is like selling urself rather than selling the product. If u can sell urself well, ppl will flock to u to buy insurance. So just live with it.

If this kind of argument goes on.. Malaysia might adopt like Singapore did recently. In order to buy Endownment/ILP/unit trust/shares the client have to sit and PASS an examination called CKA (Consumer Knowledge Assessment ). Otherwise they can only buy pure protection insurance, unless advised by licensed CFA.

So no knowledge = no play Endownment/ILP/UT/Shares.

This post has been edited by gark: Feb 3 2012, 09:53 AM