https://m.facebook.com/AIAMalaysia/posts_to_page/

Also, must say that AIA has the “guts” to allow public post what's their problem with AIA

for educational purposes....or
they know they have nothing to fear or
they know that the customer if not happy and think that they are not at fault can always complaint to the PIAM INFORMATION CENTRE (PIC) & OMBUDSMAN FOR FINANCIAL SERVICES (OFS)

Erm, are you agent? Cause you are quoting a 6-month old post. anyway, you probably aren't

Long story short is... (i assume your numbers are correct and i need to teach you how to fish, not feed you the fish else nothing change after this comment), the below are the questions you should be asking and thinking. The numbers above are a distraction to the points below.

1) is your purpose of this savings? If yes, have you find out the return from this plan compare to other alternative investment

eg. 12-month Fixed deposit interest is about 3.5% a year (just a ballpark figure but you can google this). How much return are you getting from this plan after 30 years? What is the IRR of this Great Flexi Plus. Is it 3% or 3.2%? If it is lower, why not just put in Fixed deposit? If it is higher, please continue to other points.

2) what will happen if you terminate the plan before the end of 30 years? How will you get?

eg. Fixed deposit interest will be paid after 1 year. so if you terminate after 1.5 years, you only lose the interest in the second year, because you would have gotten the first year interest.

This is usually NOT the case for insurance plans where there will be charges be it explicitly shown or implicitly priced in.

3) are the returns guaranteed? Fixed deposit interest is guaranteed. Universal Life plans of such nature will have certain portions that are non-guaranteed.

eg. the 3.5% interest that you earned on your fixed deposit every year will be yours as long as you hold for 1 year. For the UL plan, what will happen if the investment fund does not get good return on the insurance plan?

4) What will happen if you die? What will happen to the money?

eg. Does the bank give interest if you die halfway? Will it be paid to my loved ones? Probably not because it has to be administrated as an estate.

What will the insurance company pay your beneficiary if you die in year 2 or year 5? They will pay to your beneficiary without going through the estate provided proper nomination has been done (i'm not the right legal expert but the idea is to explain that it will be not very useful if you put grandfather as nominee and no will has been written, please let the legal expert guide you on this)

5) What will happen if you can't afford to continue paying premium for 20 years?

eg. Fixed deposit is based on the amount you put in the bank. For insurance plans, it may terminate if you stop paying.

6) you can't save any money at all. you keep using it on buying stuff for yourself. Hence your parents told you that you should buy this plan as a forced savings to discipline myself.

If you can't save money, i think it is a separate problem you have to address. Are there other ways you can try to save money?

Also, while parents have eaten more salt than us eating rice, note that the world is very different 20 years ago and now. alternatives are there and you have google and also discuss in lowyat to guide you through financial planning.

Or let ppl know how bad they're

This post has been edited by apalexar: Jan 6 2020, 11:12 PM

or to let people know how many suckers are falling into the pits...like every few weeks can read in the news people still falling for the parcel or love scams or money games operators.

Agreed, that's why telemarketers = scammers, same job scope with different title

good nite and good bye.....

Night and bye too

hi kueks. it depends on what's the purpose buying this plan. just dont treat it as something that will grow your wealth by a lot. even if you keep it until end of the term, you will get an average of 3.4% p.a.. putting the possible return aside, if your purpose is to set aside an amount to be kept somewhere safe and to bypass estate distribution (can nominate your beneficiary in Great Flexi Plus), then yea this is a good plan. if your plan is to expect return as much as 6%-7%, then no, this is not the plan you will wanna go for. so yea what's the main purpose of getting the plan in the first place?

1) is your purpose of this savings? If yes, have you find out the return from this plan compare to other alternative investment

-purpose is to have an amount of money after retirement, for savings
alternative enquired on public mutual but after knowing that every month there is deduction as "service charges", decided not to go for it, i do save a sum of money every month when salary enters, not really looking at very high returns in short / medium period of time.

3) are the returns guaranteed? Fixed deposit interest is guaranteed. Universal Life plans of such nature will have certain portions that are non-guaranteed.

-thats why i dont trust those agents words, they will say all good just to earn commissions, nobody will know what will happen to those funds in the future

5) What will happen if you can't afford to continue paying premium for 20 years?

- yes its kinda like a commitment to follow through for 20 years, failure to do so will result in waste of money haha

6) you can't save any money at all. you keep using it on buying stuff for yourself. Hence your parents told you that you should buy this plan as a forced savings to discipline myself.

-no ba, i can always save money every month put in different bank account, rarely buy things for myself also lol

by the way, thanks so much for the advice must took you long to type

hi

thanks for reply

purpose is basically to have an amount after xx number of years, after retire
am not looking to grow my wealth by alot by investing in this kind of "plan"

currently also been putting aside a sum of money into different bank account as savings, but since the interest is barely non existent, might as well put in something that can safely guarantee a small amount of return (fine for me as long as it keeps up with inflation) <-- or is not possible ? haha

"might as well put in something that can safely guarantee a small amount of return" <-- this main purpose

You can look into money market or bond funds.

Best,
Jiansheng

Might as well put your money into EPF, REITs, Bond Funds

hi kueks, then this plan is suitable for you. treat it as just keeping aside some money in somewhere you can hardly access. you can also look into money market/bond fund. it comes with minimal risk though so dont worry. even the plan you mentioned from GE comes with minimal risk too since portion of it goes to investment portion.

Wonder Manulife has good performance in investment?

I have one case with GE and I just realised today. 2006 I bought with GE one savings plan and they guaranteed that it is only payable for 10 years and the rest of the policy, you no need to pay.

At year 10, they wrote me one letter to ask for permission if I shall continue to enforce the payment until year 59 and if I did not reply the letter, they deem that I agree to continue until year 59.

I omitted the letter and didnt know about this too when I realised today from the portal that I have due premium payable after I cancelled my cc and they cant charge it.

I asked for surrender value for today (year 13) and damn, the cash value is almost same as the amount I paid for 13 years and all the while, I opted the cash bonus is to be accumulated in the account.

And if I surrender, I got back the amount that I paid in total which is totally not worth at all. MCB

previously mentioned by forummers.....something like the returns generated had been used to pay for the agent's commission and the insurance coverage provided for the duration of the 13 yrs....

I think if you were to surrender it few years earlier....the amount you got back would surely be lesser than what you had paid.

As a fresh graduate , should i buy my own insurance ? as for now parent got buy for me already

is the coverage enough?
will your soon to be career high risk?
will your soon to be employer provide any insurance?

study what you type of insurance you have now, to have when you work and think of what you want to have and your budget......
then decide..

My plan is

GREATJUNIOR ADVANTAGE SERIES 2 / GREAT INCOME ADVANTAGE SERIES 2

I dunno if I shall surrender it...

found this article by KC Lau...if you want you can read the article and the comments posted by followers...

Great Junior/Income Advantage Series 2 : Whole Life Income Plan
https://kclau.com/insurance/great-juniorinc...fe-income-plan/