Hey y'all,

Been lurking here for a while. Thought I'll just pop in to say 'hi' and maybe put out some burning questions I've had for quite a while.

I am interested in medical, CI, personal accident insurance actually. Bought one before from college friend (ex-agent) more than 10 years ago but fren abscond so been feeling eeky about insurance ever since. But I am turning 39 soon, and before rates go up for me (heard that from the grapevine), I am getting interested again.

I do have a few questions if you guys don't mind:

1) How do you budget what the sum assured or payouts will be what you need? Would you look at costs of treatment (surgery, medication, consultations..etc) for the 36CIs + costs of staying in hospital bed per day ...etc.? (someone mentioned in v2 that factoring in 4% for inflation every 10 years is probably a good idea as well..)
2) How do you budget how much you would need in the event of early or advanced diagnosis of 36CI? Is this the one that is the norm to put a zero behind your annual salary?
3) Okay, a bit of a detour here. Someone did mention to me that GH actually has all the infrastructure in place to treat patients who are dignosed with any of the 36CI. That was his argument for not getting insurance. I assume most of the coverage for medical/health/36CI insurance is budgeted for private hospitals? So private hospitals are better than GH? really..?
4) If insurance is viewed as a form of hedge against potential risks, returns shouldn't be a consideration right? And yet I see many talking about cash value, cashbacks, discounts ..etc. being a factor in deciding the most suitable insurer or policy. What is more important here, the potential returns or the protection?
5) If you are getting a new policy, would you consider the guarantee that premium rates will never go up as a priority?


Actually I got plenty more, but I dun wanna hog the thread too much. Anyways, when I bought before I was never shown a sales illustration or product disclosure sheet. Never given any brochures either. Since I've had the experience of having a "close" friend who would quit her agency, I am prepared to deal direct with insurance companies if need be. Would help to have a reliable agent as well.

Any takers for my questions?

ETA: that 4% inflation thingy for my Question 1

This post has been edited by Tutter: Jan 4 2016, 02:43 PM

^^^ You guys are superstars. Thanks for the replies.

I might have confused a couple of things. If I am solely interested in medical/health/36CI/TPD/personal accident only with NO ILP or investments attached, that means my premiums (the amount I am paying every month/year) should not increase at all?

Assuming I am getting a new policy now that will cover me until I am 90. I guess I will be paying the same amount every month/year until I am 90? Is this standard practice across the board for all insurers or do they differ by policy?

Aya!.... I was just informed it's not ong to talk about insurance right before chinese new year's.

I think I'll revisit this again some time in mid-feb. Thanks for chiming in people! 8-D

I think you'll be quite surprised to find how many people that are exactly in that situation. Naturally, the main reason they won't be getting insurance is because it is an absolute torture to explain to agents how their state has come to be. Agents are so quick to assume everyone has a family. I also see those who grew up without one, will not feel the desire to start their own because they are very contented and fulfilled to live their lives either by themselves or among close friends. Think about it, if you're constantly by yourself as a kid, why would you suddenly feel the need to be surrounded by "loved ones" in old age? Though they may be alone, they are not lonely at all.

I am only putting out my 5 cents because I saw you saying that a couple of times now. I've spoken to those who are totally happy without any kind of a family at all and they can almost all agree that meeting insurance agents is an agony, simply because they can't quite find a way to explain their life choices.

I never said I don't need insurance. I said this notion that everyone is by nature a social creature makes this process a bit more daunting for people who are by default without family.

Meeting agents who would automatically assume that EVERYONE on this planet wants to have a family (probably prompted by products that are designed to cater primarily to those with familial situations) is a hassle.

I have a fren who was traumatized after meeting two agents from two different companies. Both of them started their pre-accelerated Char Kar Chap grilling without even bothering to understand that he is someone who has a plan to live his life by himself.

For people like that, it is a huge challenge to meet insurance agents who are strangers because the explanation of the life situation part is always uncomfortable and awkward. Fending off suggestions that there will be a "future family" tucked away in some corner destined to come their way can get tiring at times.

This is exactly the sentiment that I was talking about. For those who would prefer to have no family at all, their lives are already bright and they are looking forward to living a fulfilling life with their own dreams by themselves. If you ask them, they would tell you that All Man Is an Island. They are having trouble finding the time to do all that they want to do. Planning for a family is the last thing they would do.

I am also telling you this because say if you meet a stranger/potential client that came an orphaned background, chances are they are very happy with their own goals and aspirations for the future. If you start advising them to actually start a family because that is your own yardstick of what fulfillment is, then don't be surprised if they are unresponsive during the sales meeting and you never hear from them again.

I think secretly they pity those are unhappily married.

Anyways, the only reason this is hitting a nerve with me is this assumption that everyone must have a family may have influenced the way insurance products are designed. That is why looking for the right product is more frustrating to some than others.


p/s: On the topic of selfishness, look up Ayn Rand. You'll see that selfishness is actually a good thing. I can assure you that almost all Randians or Objectivists are very happy and positive individuals living very meaningful lives. I've met plenty of them.