1. When it is an ILP, you have options to set a certain amount just for investment, eg Total Payment = Premium + Fund Investment. Some of the premium will go to investment, percentage depends on the cover and attached riders. Fund Investment 100% goes to investment. It depends on the company also.

2. Convenient yes, only pay one policy at one time to one company, instead of tracking 3 policy covering three different things from three different company with three different rules. Honestly, do you have the time? Bayar bil api/air pun sometimes you forget.

3. Yes. Normally. This is a feature you only get from medical riders attached to an ILP or Term, again from certain companies only, whereas standalone premiums will increase when you have to renew every year.

4. Yes. And insurers love ILP because they also make money from investing your money.

5. Again, yes. Read the fine print of most standalones, where they reserve the right to change the premium. They like jargons here, so they don't say that you pay more when you are sick, they say you pay more if you have a non-standard life.

6. Yes. They send you the investment report every year, so please read it.

The rule of thumb is always 10% of your salary should go to getting some form of insurance protection. Get the most cover you can with that 10% first. Here, the most important cover should be death, disability and critical illness. 10 years annual salary is a good start, however premium for that much cover is likely going to be quite high for most middle income salary worker. Sometimes after looking at prospect financials, the best we could offer is enough cover so your dependants can have time to adjust not having you around.

After you got cover for that, now time for yourself. You don't want to be a burden to your family should you need medical help, or you need long term treatment, so try and get medical cover.

Then you think about returns. Most people may say that insurance should not talk about getting returns, but we have to delve into the psyche of the society to see how they think. Reason why so many in Malaysia do not have insurance cover is because they see it as MONEY BURN only. ILP comes in and say, no, now you have investment and there will be money coming your way when policy matures. Which is why it is quite popular.

Lastly, for the masses out there that could only spend RM150 a month for insurance/savings/rainy day fund/ASB/ASM/Unit trust? I am not talking about majority of us here who could afford, and have the time to track 3 different unit trust investment, playing the stock market and feel only a tinge of regret if u lose 1k playing forex, I am talking about those people making RM1500 a month on salary that could only spare RM150 for their financial security? Tell them to get standalone medical cards with premiums increasing every year, in a disporportunate amount to your salary increase, (Level 17 govt staff btw, only have less than Rm50 increase every year)? Tell them to invest in ASB (And drawing it all out when paying hospital bills, leaving him without any savings? Or even worse, sipping into EPF to again pay the bills. That assumes he or she has the fortitude to keep it there in the first place) Tell them to invest it all in unit trust? This is what we are seeing on the ground today, people living paycheck to paycheck. One knock somewhere, and their lives are ruined!

So when you shop for insurance, don't be penny wise, and pound foolish. Don't save without cover, otherwise your savings will have to cover.

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Added on December 27, 2009, 4:09 pmI don't think so.... Unless the industry changed and they forgot to tell us about it.



This post has been edited by mfitri77: Dec 27 2009, 04:09 PM

Ever wonder why you have to pay filing fees when you want to sue someone in court? Well, that's because we don't want people filing defamation suits just because you traded insults with your neighbour.

Same with co-insurance. The reason insurers make you pay the 10% (other than BNM rules) is because we want you to be warded beacuse you are really sick, and not because you want leave, watch world cup (legendary story this one) etc etc.

When you have to pay, takut skit wo..

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Added on December 28, 2009, 10:28 amIf join as agent, good.

If get a policy, also good.

If joining as agent, PM me, we talk-talk, keh...

This post has been edited by mfitri77: Dec 28 2009, 10:28 AM

And if all else fails, sue the one liable for the accident in the first place. Your insurer reserve that right too, I believe.

What a real insurance agent will do is sit down, and talk to you about yourself.

Your background, medical history, family medical history, your financials, what you expect, what you want.

And we then tell you what is feasible, what is not, what you can expect, what you cannot have. In this instance, you will have experienced agents that would tell you no, I can't sell you any policy, not because I don't want to, but because I don't think my insurer would cover you. That is the actual type of agent you need to consult.

Well, don't be too surprise if you don't get the discount. The mandatory rebate in question only deals with Motor Insurance.

On the grapevine also, thanks to the direct rebate, the insurance companies are now becoming more creative also to try and keep their agency base. Their solution is simple - Offices would not sell third party, only agencies. Offices will not renew cars more than 16 years old, only through agencies.

It's the same for every other insurance and takaful. Explanation below.

Likely ran into this exclusion in the policy. May not be word for word accurate, but same policy practices by everybody. Lifted this from my daughter's policy contract. (Old Policy from my former company).

Pre-Existing Condition

Will not pay for any benefit directly or indirectly from a pre-existing condition if such condition was not disclosed in the proposal form.

Disabilities that the Person Covered has reasonable knowledge of. A Person Covered may be considered to have reasonable knowledge of a pre-existing condition where the condition is one for which :-

a) The Person Covered had received or is receiving treatment.
b) medical advice, diagnosis, care or treatment has been recommended.
c) clear and distinct symptoms are or were evident; or
d) its existance would have been apparent to a reasonable person in the circumstance.

Most likely rejected due to B. Was the Raised GGT levels declared when you sign up the policy? Because that's the only way the insurance company would order an investigation on this during medical check-ups. Most probably the claims guy took one look and the raised GGT and connected it to the Hep C (Since both center on the liver).


Because they were doing a very thorough check on the background. Asking clinics near house, or any other hospitals nearby your house.


If it's not written, get one that's written. Don't just blindly trust what your agent is saying. Including me, since I am one too.


Did you cancel through your agent? Cheques are normally posted direct to your address, unless you specify that you are getting it from your agent. Sometimes, the insurance company also didn't inform the agent that the client cancelled the policy, hence some agents having no idea that you expect a cheque to be sent by them.

This thread is still around, I see...

1. Whatever insurance company you buy it from, your interest are watched over by BNM. Takeover or whatever does not mean that your insurance policy dies or terminated or whatever. Whoever takes over has to honor whatever contract that has been signed.

Don't get scared by agents claiming that company will go bankrupt etc etc and that you have to go with a certain insurance company because track record etc etc. It only takes one bad decision to tank a company.

2. Upgrades to ILP certainly is possible even desirable to the insurance company, but no one could predict how much increase in premium you need to pay for that privilege.

3. As always, get the best plan you could afford right now. When the time comes, if you want to asses your cover, then you certainly can asses your cover, if you want to increase or decrease.

4. Is there a difference between insurance companies? Not much. Most of the language talked about in Pru policies are almost the same as Maa policy and the same as Allianz policy. Since everyone is being controlled by BNM anyway.

5. You want quote from Allianz? PM me, and I'll give you one. Coming soon, we'll have room & board from RM500 going up for medical cards. Useful for those pesky Prince Court visits.

6. Lastly, and it bears stressing - Go and get Cover that You Can Afford Right Now.

I do service KL, Selangor, Melaka and NS area.