ILP is not meant for growth, its cheap with high protection value when you are young (prime time). If you invest correctly, you can reduce premium when you are older with the same amount of protection. Or when you can't pay for a period of time, the fund can pay for you to avoid policy lapse. This is the plus point about ILP.

Buy term and invest the difference is not working for Malaysian. It is because term life in Malaysia is expensive compared to ILP for the same ammount of protection as pointed out by chew_ronnie. Just put all your money in money market fund, then you will not experience market high and low.

Insurance is based on save first pay later concept, you are guaranteed a lump sum when the conditions met.

Insurance is a GAMBLE between you and the insurance company, if anything happens to you, you win, that is the only time you can make profit from buying insurance! (of course no one wants to win this gamble).

The main point is, insurance (medical, life, accident) with ILP is not meant for growth or savings, the money is meant to be burnt in exchange for protection.

http://www.meshio.com/2006/06/investment-l...ges-final-part/