Figuring the number you should insured yourself requires a bit of thought. A rule of thumb suggest you get 5 to 10 times your annual salary. But if you want to be more precise about the number you should get yourself insured, think about how much money your family would need to cover the lack of your income.

Getting a life insurance isn't for everyone especially for one that have no dependent. If you have no parent, no sibling, no spouse and no children. What's the point of getting insurance right? However, most of the time, that's not the case as we will definitely have someone who we care when we are leaving the world.

Shall you are a married person, you need to know how much is your total debts as well as your mortgage so that your family doesn't have to worry about these obligations. If you have a spouse that doesn't work or are incompetent to find a job that could easily replace your position as breadwinner, you should take this into account seriously.

Furthermore, we need to take into account that how long does my partner will able to support the family without you as the source of income. You need to calculate the cost to raise your youngest son to age 18, a term or investment link would probably suits this situation.

Obviously there are other people in your life who are important to you and you may wonder if you should insure them. As a rule, you should only insure people whose death would mean a financial loss to you. The death of a child, while emotionally devastating, does not constitute a financial loss because children cost money to raise. The death of an income-earning spouse, however, does create a situation with both emotional and financial losses. This also goes for any business partners with which you have a financial relationship (for example, shared responsibility for mortgage payments on a co-owned property).

Since you have gotten back all the premium paid, there will be no withdrawal of cash value.

Oh... I thought there is rule of thumb to insured about 5~10% of one income to insurance...

that doesnt sound right....
for eg if my yearly contribution is 3k....part of it go to the insurance premium and part of it go to the investment link....so if the plan get terminated i get the full refund 3k which i paid......
what if the fund goes down ....the insurance going to bear the lost and still refund me 3k.....so good meh the insurance company

I have no idea about this yet because there is no non-disclosure in my portfolio.

However, I did a freelook before, the client gotten back more money from he paid. After I called to Customer Care Line, it's because company took the initial unit price - sold unit price.

So yeah, if and only if the same protocol is implemented, you will earn/bear the fund price different.

Hi

I new to insurance..so any help is very much appreciated
Would like to know regarding the table attacted
Is this the yearly payment that I need to do according to my age?
Tq


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No, the table is a projected insurance charges for the medical card alone. If you were to buy the medical card with other riders (features), those riders also comes with insurance charges.

Do note that the insurance charges are projected and may be revised from time to time.

Faced with higher claims from rising medical costs, many insurance companies have increased their charges and premiums by up to 20%.


So which company already increase their price?

As I know the greedy prudential is the first one to increase the price.

http://www.thestar.com.my/News/Nation/2014...e-for-coverage/

PMM (PAMB) and the TH (PruBSN) is the older series medical card. The last revision was in 97. Some of my clients need to pay additional Rm10, some Rm30 (for PAMB)..

The Newer medical card is not affected.

Hello all,

Why would one choose their Medical Plan at Standalone or Combine with their Life Policy?

ILP more flexible

I was about to buy Allianz Powerlink:

Lifetime limit: rm650K:
No annual limit
Guaranteed renewal until age 90

But at the last minute the agent said, the annual limit is capped at 10% which is RM65K. Anything above RM65K, there is a co-insurance of 20% which means I have to pay 20% of the bill when it is over RM65K. The agent said it is common for all medical plans to have co-insurance.

Is that true?

For medical plan, I want guaranteed renewal until age 80. That is my main condition. Powerlink can guarantee that but the co-insurance makes it unattractive now.

other medical card u need to pay 100%.

let say allianz annual limit 65k if ur medical fee 95k.
95k-65k=30k
then total u need pay is 30k x 20% = 6k

if prudential medical card annual limit 65k if ur medical fee 95k
95k-65k=30k
then total u need pay is 30k

Err... no, Prudential also got PruAnnual Limit Waiver (PALW) for PruHealth.

Assuming you get the PruHealth with RM200 R&B plan, the base annual limit is RM75K,

1. The Co-insurance Structure for the first Rm75K are as follows:
- For Inpatient, 10% subject to a minimum of Rm300 and up to a maximum of RM1K
- For Outpatient, its 10% subject to a maximum of RM2K.

2. Above RM 75K, the co-insurance is 10% with no min or max co-insurance.

**

So for a Rm 95K bill, the calculation for the co-insurance are as follows:-

a. 10% x Rm95K = RM 1,000 (client pay), Prudential pay = RM 75K

b. On the subsequent RM20K, RM95,000-(RM75,000+RM1K)=RM19,000

RM 19,000 x 10% = RM1,900 (client pay), Prudential pay = RM19,000 - RM 1,900 = RM17,100

In Summary a bill of RM 95K with PALW

Total paid by client = Rm 1,000+RM1,900 = RM 2,900
Total paid by Prudential = RM 75,000 + RM 17,100 = RM 92,100

so need pay extra $$ to get PruAnnual Limit Waiver (PALW) for PruHealth?

mean medical card = $

PruAnnual Limit Waiver (PALW) = $

so $+$ ?

mean need buy 2 rider to get these benefit?
1.medical card
2.PruAnnual Limit Waiver (PALW)?

Yes, PALW needs to be attached to the PruHealth medical card. Nothing is free my friend.

As you may already know the insurance charges is not guaranteed and this is a big loop hole for the insurer to increase price when they see fit vs the claims.

What they give they will take back, only time will tell.

allianz only need buy medical card no need buy the annual limit waiver to get the same benefit with PruAnnual Limit Waiver (PALW) .

save cost

Since Powerlink guarantee renewal and guarantee not to increase the premium until expiry at age 90, it sounds like a good plan then. The premium for the life time limit of rm650K at age 56 is RM3,600 per annually.

If that is what the agent tells you, then get a letter, endorsed by Allianz that they will not increase price in future.

At least if they do in future, you can use the letter

To clarify, the monthly premium that you pay will not go up by age. However, the insurance charges will. The premium that you pay is level but the insurance charges will go up as we get older. Any variance will be deducted from the accumulated cash values. This is how ILP works.

So in a way what the agent tells you is partly true that the premium is guaranteed (unless you revise the benefits along the way).

The RM3,600 is the insurance charges at age 56 is only a projection, of which is the loophole I had mention. It is also the same for Prudential, the insurance charges is projection and not guaranteed not to go up.

This post has been edited by roystevenung: Apr 28 2014, 11:54 PM

Agent said that it is stated inside the policy. I will ask for a copy to double check.

COI will increase with age band no matter pru or allianz