So, does your notorious friend did anything extremely bad to you?

not yet. anyway, prevention is better than cure.

for those who have buy 'have profit' type life insurance, (i.e. got dividend return or investment link) ,unless realy can not afford the premium pay,otherwise it is strongly discourage to terminate the plan.

they are 2 reason:

1)you guarantee lost a lot on the premium you early pay.

2)if later you buy a new insurance,you premium will be determine
by your age that time,which will sure be more expensive than your
early plan that count your premium on your early age.

This post has been edited by athlon 11: Mar 29 2007, 11:43 PM

The proper advice is DO NOT BUY that kind of insurance to begin with.

Do not buy insurance with premium level that you cannot afford to pay.

Dreamer

Barring a few exceptions there is very little to choose between the insurance products of any of the leading insurance companies e.g. AIA, Prudential, Great Eastern due to Bank Negara regulations. More benefits, higher premiums. Cheaper premiums, less benefits. They all balance out.

Do not buy a product because of the agent. Buy a product because of the product.

Choose a reputable company.

Take care when buying products with non-guranteed benefits - especially those that span a long period. Those are projected returns.

If you want insurance, buy insurance. If you want investment, buy investment e.g. unit trusts.

1. This one too many liao. However in my limited experience and advertising I would give these 3 companies a higher priority: Prudential, AIA, Great Eastern.

2. When I bought my insurance 2 years ago, all of it nearly offers the same coverage. Of course I only took into consideration the 3 I mentioned above.

3. AGE is a very strong determinant factor for the monthly premium. The younger you buy insurance, the monthly payment is less for the same coverage. Another thing is woman's insurance is always higher.

4. Wow..trap? Just get assurance from the insurance agent that he/she gives you an alternative contact person if he/she suddenly decides to stop insurance. Normally all these insurance ppl have gangs.

5. For me I would choose someone whom my beneficiary can contact. AS mentioned, it is for easier dealings.

Let me make it short, paying almost $2.5k @ 22 years of age seems a little bit too much to me.

Forget about premium pymt ceased from 17 years (termed as critical age) onwards as it all depends on bonus accumulation. Ever heard of APL (Automatic Premium Loan) before? It means anytime you don't pay your premium (assuming your bonus is more than your premium), insurance company will dig your bonus for this payment and take extra 7-8% for the charges. An example, for $2k, you will pay $2070 for your premium from your accumulated bonus.

Erratic bonus payout (no insurance company will guarantee you fixed return) and APL will mean ur bonus will be finished up sooner and pretty soon letter from insurance company will be coming to ask you continue paying otherwise your policy will lapse. U may have read about this from a few complaints made in news media. Blame this on the agents who sell without telling the whole truth.

As some forumer has said, take insurance coverage as a mean of PROTECTION only, forget about investment. Insurance based products are not a good vehicle to make good money in short term (my understanding less than 20 years!).

I think if you have paid the full 2X amount, u can considered it burned as good. If you have paid the amt via ur agent, I would suggest you better check with the insurance company whether the extra 1X premium is in. Some dishonest agents could keep ur extra money (FD, personal use etc) without remitting it since ur policy is still active. Once when the date is due, the money is paid as though it was remitted the moment you pass it to them. On the other hand, it could be on ur advantage if you want ur money back.

My personal advice, reduce ur current coverage to $50k. If it's not sufficient, top it up with term assurance. The reason why most insc agents won't tell you about it is, it's dirt cheap and they won't make much commision out of it. BTW remember to consider termed products which include 36 critical illnesses.

Food for thought, whenever we deal with agents (real estate, insurance, broker etc) whose interest will they serve first, ours of theirs? I think most of us know the obvious answer. It's really hard to find honest agents anymore.

This post has been edited by weggoweggo: Apr 15 2007, 08:07 PM

i really need ur help here..please help me...the thing is my company provide coverage for medical card and also supplementary insurance, which they deduct 24 ringgit every month but only valid till i work with them. Furthermore, i bought a MAA insurance which i pay 50 ringgit a month for 30 years, which give in return around 50K.
The thing i want to ask is;
(i) i just want an insurance that cover my medical need until i die. So which one is the best for me (insurance policy)?
(ii) Should i buy now or later since my company already providing me all the medical need? I am 23 this year and is there any diff if i take the insurance policy now or later?

Thanks.Please help me!!

Arsenal,

1) Insurance is used for protection against financial ruins. Things that costs too much that you cannot cover for yourself. For young people like you, disability is a greater danger than medical. Young people normally do not get sick. The greatest danger is you get disable and cannot work for the rest of your life. How much disability protection do your MAA insurance provide?

2) Do you have enough savings so that you can survive without a job for 3 to 6 months?? You should do that first before any additional insurance??

3) Do you really need medical insurance or critical illness insurance?? Most typical medical stuff in Malaysia is not expensive. Protection against critical illness might be better.

4) Check out the insurance thread.

Dreamer

i want a insurance that cover like critical illness when i retire....like after i retire from work so on....currently my company one cover everything....so quite good....but the thing is i am not so sure after retirement age...

Arsenal,

You have to survive until retirement age first. Do not put the cart before the horse.

Dreamer

(i) How long do you think you live? Age 75 or 100? Most medical insurance cover you up to 65 to 75. But i saw an ad recently, Great Eastern got a medical policy that covers up to 100 years old!

(ii)Since your company providing it now, forget about getting another medical insurance for now and instead use that money to invest.

i think i will get one when the retirement age or soemthing ...for time being i think i will enjoy the company benefit first...

when he's retired at 55, there's so limited amount of plans he can buy plus the premiums will be darn high

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Added on April 17, 2007, 11:39 ami)Can you afford premium of 100 years old? Medical insurance premium at age 70 is enough to kill ur retirement fund

ii)insurance that companies provide are always at a very minimum cost, which means the coverage is very little, with the rising medical cost every year, i think better have a contingency plan, isn't getting a good medical coverage a form of investment?

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Added on April 17, 2007, 11:53 ammedical insurance is eligible for medical tax relief of maximum RM3000
so if under company account, no personal tax relief lo

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Added on April 17, 2007, 11:54 amtrue
don't commit to something that you can't afford
pioritize your goals first

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Added on April 17, 2007, 11:59 amhi argiope
UGPM

This post has been edited by nicholas84: Apr 17 2007, 11:59 AM

1) Another insurance agent. I wish that I could meet some insurance agent that really service their customer as opposed to ONLY SELLING.

2) This is a young person. And, he / she has medical coverage now. Granted, the coverage may not be high but the possibility of a young person getting seriously sick is low.

3) A person need to survive financially until 55 before we can talk about retirement.

4) Even at 55, if a person do not have enough money to eat, we do not need to talk about getting sick.

5) If you are a good insurance agent, you would have advise the person to save money for emergency fund first. When a person is unemployed, you are NOT going to help him.

Running out of money, unemployed, are more likely to happen in life than getting sick at young age. Protected the most common problem fist. Especially, if you have some coverage form work.

At 55, you will not be looking for medical insurance anyhow. What you want is critical illness protection.

Dreamer

Arsenal,may i ask The 50k is your projected return rate or guarantee return rate?with the ROI of nearly 3 times,somehow seens to be too nice.

<<with the ROI of nearly 3 times,somehow seens to be too nice.>>

Know how to calculate.

6% divide by 12 to get monthly interest
, number of payment - 12 * 30 years, monthly payment = 50

=FV(0.06/12,12*30,-50)

Goto Excel and key in that formula. The return at most is 6% per year.

Dreamer

yup//...it is projected return....

Is it guaranteed or not?

Dreamer

1)in which sentence you notice that anyone is selling? It's merely underwriting fact

2)So you're saying, wait until sick only buy? isn't that too late?

3)True, but if no plan for retirement lagi tak payah harap to retire, so what if we live to 55? continue to work? beg for money? Do we realy want to rely on our children to provide for us? Parents had headstart in financial built, children hasn't, to support us, they burden themselves a lot especially with rising cost of living

4)That is why retirement planning is important

5)Emergency fund is necessary for at least 3-6 months of their monthly income, that is if they're healthy, as long anyone is healthy they have no problem getting a job unless they have attitude problem, therefore if your're jobless and currently having a high coverage, downgrade it to lower one but do not completely delete it, being hospitalized during unemployment is the worst

In my experience, running out of job is the least things to happen in someone's life, if we're constantly facing this problem, i think we need to reflect upon ourselves.

So when you're unemployed, does the company coverage still covers?

Critical illness strike a person from infant stage up till old age, at age 55, let say kena cancer, so while waiting for the doctor to produce the report to file claim to insurance company, we use our own hard earned money which is meant for retirement to pay for hospital bills?

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Added on April 18, 2007, 12:35 amprojected return is never guaranteed

This post has been edited by nicholas84: Apr 18 2007, 12:35 AM