I am totally new to this so I hope some of you vets can shed some light into my distorted point of view.

I am planning to get an insurance and never had one before. A friend who works for Prudential full time approached me and drafted two options for me. One is called the PruLink and the other is the PruCash.

After drafting these 2 simplified diagrams for me, she asked me to sign up. Well, I would love to because I know for a fact that, for insurance, the earlier you buy, the better.

Problem here is, while persuading me to sign up, I have had no terms and conditions, projected growth table, list of covered illness and etc. I have a measly piece of A4 paper, drafted with pen and words spoken by mouth. I asked for a proposal and what I was told is that, there is no proposal until I sign up. So, here I start having doubts.

I've known her for a decade, and I trust her but this isnt supposed to be the way it works, is it? I mean, how could you ask someone to sign up for something for 30 years, paying something like RM150 - RM300 per month for 30 years and not given a proposal? Would that have worked if the customer she approached is not me but a professional business man?

She approached another friend of ours and gave him a proposal in A4 converted to PDF. A mere 4 line piece of art with limited information and I just dont believe that's how it is. My friend spoke to me about the way she worked and said that even his dad's insurance agent who has poor english gave a better proposal than the one he received from our friend here.

So, I postponed my purchase and then told her that I would only buy after she answered a list of my questions. At that point of time, I didnt have much time to research on this Prudential product, so I left this behind with my To-Do-List until she recently text me and asked my decision.

What should I know when buying an insurance?

Hey there,

Thank you for your tip. I read about cooling off period. It says:


Every consumer is entitled to a 'cooling off period' or 'free-look period' of 15 days from receipt of his policy contract to review the suitability of the newly purchased Medical and Health Insurance product. If he returns the policy contract to the insurance company during this period, the full premiums would be refunded to him after deducting all the expenses incurred by the insurance company for the medical examination in relation to his application for a Medical and Health Insurance product.

In other words, if a consumer thinks that the newly purchased Medical and Health Insurance product is not relevant to him, he still has 15 days from the date he receives his policy contract to get back his money after deducting all the expenses incurred by the insurance company.


The thing is, I know not of any other insurance policy, therefore I will not be able to tell if this is the relevant one for me. By the way, wouldnt it seem more normal if I was presented the policy contract by the insurance agent prior to purchasing? I'd like to read through the details to know what I'm offered, rather than a hand-drawn piece of art on a A4 paper.

Hihi,

Is there a man who has no need for protection? I mean, is that even possible? Or have I been brainwashed by these insurance gimmick that everyone needs to own one? So what kind of a NEED is there for a single guy who works on a shift job, drives 100km a day to and back from work, with family to help out? Sorry, I am totally green in this area.

I am trying my best not to rush and I need to do some shopping, yet I know not many insurance agent. At the same time, I do not want to be pestered into buying them. The day I picked up my friend from her appointment place, she got up the car complaining about the customer whom she had just met, spoke so much and didnt buy from her. I ended up being like that too! Not like I'm obligated to buy but just dont feel right since she just complaint about the other guy and I happened to do the same.

First of all,

I would like to greet all of you with a big thank you. I really appreciate the willingness to help here since I have no knowledge on insurance. THANK YOU!

To me, I cannot bring myself to commit on something just because it's attractive. For something we are going to pay for the next 30 years, we need it to be practical, to be worthy to every single cent of our hard earned money. If Benz, attractive, you buy boh? I think not. That's what I'm trying to say.

Yes, I am aware there are a lot of packages coming from every different brand in the insurance industry. All lucrative, all attractive. I cannot have all. Today, I will buy for myself, 5 years down the road, I have to buy for my children and possibly spouse, etc. How much we can commit, yes? I'm a normal working adult, not a rich kid or a business man. So, I cannot afford to go wrong here, thus I have to be careful with my choices.

Thank you a lot for your advise. It is helpful too but in a different perspective - I am grateful.



Yes, as a buyer I should need to know as much information as possible. Even when buying a computer, I do extensive research. Worry not, I will do extensive research before commiting into an insurance plan.

Thank you for the list of detailed information but there are a few things I do not understand (again, I have no idea about insurance).

I was advised to pay RM150 - RM300 monthly for the insurance plan. I am assuming RM150 is the lowest for PruLink. I believe it is a participating plan, meaning there is interest involved, 11% ROI based on previous years record but there are colleagues who warned me that Prudential buyers ended up break-even because they didnt do so well previously - not too sure if the news is true.

What is riders attached and surrender value?

Do share with me a few life experience, if you have any. I would like to dive more in-depth with this whole insurance thing. Thank you.


Dreamer,

Insurance do not cover me if I lose my job and has no income but at the moment, I am not thinking of that. I am thinking of saving up, let the money get some interest and in case something happens to me, the beneficiary can receive some money.

I am single but I have parents and sisters. I do not mind making them my beneficiary and someday if I am married, there will be wife and kids too and buying later means higher premium = not worth it, yes?

Yes, I have a medical coverage from my job. I work in a MNC and will continue to work in different MNC which I believe at the minimal will provide medical benefits in the form of medical cards (like ING card). This was also why I thought since I have medical benefits from my job, should I not concentrate more elsewhere? Sort of like lower my coverage benefits but increase on my returns since my coverage also been covered by the company medical benefits but I do not know if this is applicable - just a thought.

Yes I can afford to buy insurance.

Thank you so much for a different perspective. I will NOT buy from anyone in the forum. I will source for my own and I know there are a lot of people / colleagues / friends out there who are insurance agents. It's not that I dont trust them but I want to come to the forum, voice out and see some different perspective, like yours!

It's great. Thank you!




I dont think mine is package with medical card, only with critical illness benefits. I asked a lot about Prulink but all I'm given is hand drafted paper and I'm not quite satisfied with it.

I scribble something and ask you to pay RM200 for it for 30 years, you buy? I am sure not. This was how I ended up here.

You must make a damn good sales manager. I'm impressed, really. And I do believe this isnt the first time you have advised me. I remember your name from way back when I've asked other questions in this section of the board. Thank you again for sharing your knowledge.

Abang,
The problem is I dont know how to measure whether it suits my needs. I am skeptical because I think there will be better offers out there.

Ok, this may not be the right way to put it but something like:
A. Offers me medical card with renewability feature and is guaranteed.
B. Offers me the same + cash back Rm1000 per year (I know it's impossible)

I just dont know what is out there in the market, so I dunno what suits me. I need to see these policies to start thinking and working on it step by step.

Thanks for understanding and again, thanks for helping clear the confusion in my head.