Earlier thread was closed by admin since it has exceeded 2,500 posts.

Kindly reply to this thread if you have doubts in insurance. Thanks!


This post has been edited by roystevenung: Dec 1 2013, 09:46 PM

PruSenior med
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http://www2.prudential.com.my/corp/prudent...useniormed.html

Prudential plan

Yes, suppose the bill is RM 50K and your company insurance only covers for RM 30K, you can claim the balance of RM 20K from Prudential.

Do note that the RM20K will need to be paid in cash as settlement to the hospital for discharge and then only claim from Prudential.

For Prudential you will need to bring the policy document to the counter to surrender the policy. There is a form that you need to sign.

The counter customer service will guide you.

This post has been edited by roystevenung: Dec 22 2013, 10:44 PM

PRUlife Ready is the main plan and not the medical card.

For PRUflexi med medical card, if you stay at a higher room, you only need to pay the differences, no penalties. If you stay at a lower room, Prudential will reimburse the differences to you. Eg. If you stay in rm100 room, Prudential will pay back Rm50 per day.

For PRUhealth medical card, if you stay at a higher room, you need to pay the differences, no penalties. But if you stay at a lower room, Prudential will not reimburse to you the variance.

You can do a term insurance with no returns whatsoever with an attached medical rider. However, I am uncertain of whether it is available in GE.

Prudential do have term insurance whereby you can attach a medical rider, but the plan is only limited for co-insurance option.

Insurance is a business of risk transference. The higher the risk, the higher the premium. There are 4 main factors that will affect the premium, mainly Age, Gender, Occupation & Smoking Status.

Of course there is also another factor which is the health condition of the applicant during application. Factor of weight (obesity) and health condition such as whether the person is hypertensive may also increase the risk ratio.

During application, if the client/agent fail to declare any significant information that may impact how the policy is underwritten may render the policy null and void which may result in the insurer not be liable to honor the claim.

Still a smoker unless it has been one year of not smoking

The term is a basic coverage with an option to include medical if you want to.

When it comes to insurance, its never beneficial for you as a client to lapse a policy and to get a new one.

1. If your old policy had been paid for over 6 years, the agent will not be earning any more commission. If you start a new plan, agent earns another 6 years of commission.

2. Depending on the type of plan that you have, if it was an investment link policy, after the 6th year, the premium that you paid 100% of it will be going into buying you units. If you were to buy a new plan, the allocation starts all over.

3. New medical plans comes with over 20 exclusions as compared to 12-13 exclusions. This means that more things are not covered in the new plan, due to high cost or be it due to medical advancement.

If your needs had changed, you could add on to the old policy, not cancelling it.

Insurance main purpose is to provide coverage WHEN you need it. The problem with this arrangement is that no one can tell you WHEN will you need it as life is full of uncertainty.

I have clients who never claim before even for so many years and I do have clients that need to claim 3 days upon sign up (accident).

Buy now pay longer or buy later pay higher premium, dollar wise, the insurance company had pre-calculate these factors into consideration.

The compelling factor to get insurance now is because you can only get it when you are healthy and not when you need it, especially the medical insurance.

Yes, during discharge you are required to pay in cash Rm25k and if your company provides medical card, you can then claim the Rm25k from the company insurance.

Yes, it is still active as at the time of printing the statement. For the current status, just call up the Customer Service or contact your servicing agent.

As a matter of fact, yes there is. Go study for the exam and be an agent yourself. However, you need to maintain a minimum quota. :-）

I am sorry that you felt that way about your agent. Out of curiousity, mind letting us know what happen with your agent?

If it's not convenient to say, then its okay.

1. What will make a different between upgrade new plan and buy a new plan?
The question here is that whether your policy is able to be upgraded.

For term policies, you'll need to buy another and incur additional policy cost (~RM60 per year).

If your plan is an Investment Linked Policy (ILP), then it is able to be upgraded. It also depends on how long your policy had been in-force. If your policy has been in force for over 6 years, this means that the premium that you pay, it is going 100% into buying you units to generate cash values faster.

Should you were to cancel and buy into a new plan, your 'allocation rate' will start all over, 40% from year 1 (depending on the insurance company). For example, if your current plan is paying RM 100 per month and new policy costs RM150. If it was an upgrade from RM100 to RM150, your allocation rate is RM100*100%+RM50*40% for the 1st year. If you get a new policy, then the allocation rate is RM150*40%.

Secondly if it was an upgrade, your agent will only earn RM50 commission rate. However if it was a new policy, your agent will earn RM150 commission rate.

For Prudential, if you are being offered for the upgrade, the terms and conditions which are superior in the older policy will be carried forward into the upgraded policy. For example, older policies has less than 12 Exclusions, whilst newer policies are with over 20 exclusions. Exclusions are things that are not covered.

Both solutions are on the condition that you are still healthy at the time of upgrade, or exclusion/loading may apply to the upgraded policy. In this case, it would be best to get a new policy than to have your policy added with exclusion.

Secondly, whenever you buy a new policy or reinstatement of a lapse policy, your waiting period will start over, minimum 30 days for common ailment and 60 days for cancer, and up to 120 days for Specified Illness.

For any upgrade, normally the insurer would only impose the waiting period on the upgraded portion.

2. Currently I have LIFE /TPD 50K and CIBR 50K


Have you asked your agent why he consider RM50K life/TPD/CI low? If you don't mind my asking, how old are you? Also are you married with dependents? Why RM100K Life/TPD/CI cover?

a. In term of saving on Insurance cost?
Upgrade into the same plan is always preferred for the client, but it is bad for the agent as explained above.

b. In term of saving on distribution cost?
In circumstances whereby an upgrade is not an option (due to health condition has changed over the years), getting another policy on top of the existing one is better. The health condition will only be an exclusion on the new policy.

However, as you may had already know, adding another policy means another (RM60pa) policy charge.

c. In term of Premium?
Insurance is a business of risk transference, and the premiums/insurance charges will always go up. There is no free lunch in insurance. Anything that sounds too good, there is always a catch.

d. other benefit/disadvantage?
As explained above.

May I know which insurance company is your existing policy? Feel free to PM me if its inconvenient to be mentioned here.

This post has been edited by roystevenung: Mar 29 2014, 09:46 AM

^ then it would be better to just upgrade into the ILP plan. No point getting another ILP plan.

Not sure how to compare since there is no brochure on the site. Do ypu have them? Or at least a full quotation and perhaps the policy wording?

Prudential?

No, the incontestability clause is 2 years throughout the industry.

For Prudential, even though if it is below 1 year the GL will still be issued and investigations will follow.

If it is found that it is a pre-existing illness prior to inception, then the GL will be withdrawn. However, if there is no evidence showing that it is a pre-existing illness, then the medical card will be accepted.

There is no clause in the policy that mention that the GL will not be issued for policies below 1 year and the client will need to pay and claim for admission to a panel hospital in Malaysia. As long as the waiting period is over, and it is not a pre-existing illness, the medical card will come into force.

I had client who had kidney stones (both sides) 7 months after getting the policy and the bill was > RM30K.



Recently also another client had slipped disc (disc prolapse) 5 months after buying the policy. However, the surgery was only done after 9 months after consulting 3 different doctors. The total bill was RM42K. In both cases the monthly premium was RM 150~RM 160.

But yes, the most important as mentioned by many is that the client will need to be completely transparent on their health status during the application of the policy.

Failure to declare these material facts that may impact how the policy is underwritten may cause the policy to be null and void, irregardless of whether the policy had surpasses the 2 years incontestability period.

This post has been edited by roystevenung: Apr 6 2014, 01:52 PM