Room 500
Annual Limit RM1 mil
No lifetime limit
Premium 4500 yearly

This post has been edited by lifebalance: Jul 12 2020, 11:09 AM

Maybe they don't want to reveal too much info in public

I was about to point out this point mentioned by this agent. Medical Repricing affects both ILP / Standalones.

For elderly people, sometimes it's more on the budget affordability of the family members paying for her health care.

Standalone insurance are still more cost effective as the premium payable yearly is more affordable.

Bear in mind if the old person lives from 70 to 85 years old, paying 1k monthly would result in 180k Premium Paid.

You have to bear in mind that insurance is an expenses as well, though it may cover us from uncertainty on hospitalization. If there is no claims for next 15 years, 180k would have been good money burnt instead of being invested for retirement purposes. (Of course side note is, the agent earn a lot of commission for selling you the 1k monthly policy)

but I don't think painting ILP is always cheaper is a good idea, every case is a case-to-case basis.

Depending on your need (whether it's urgent that you need this upgrade now or not) and cash flow budgeting, if it's overlapping then it's suggest to only think about applying it the following year since you've just paid for the premium (unless you don't mind paying at a loss).

For investment linked insurance policies, the payout in Malaysia is based on Basic Sum Assured + Any Bonus Sum Assured + The Cash Value at that particular moment of death.

If your concern on getting the new policy with the new waiting period, it's normally at least 4 months (120 days). Not 2 months (60 days).

Then you would need to start applying 4 months in advance before your old policy is terminated.

the 2 years contestability period isn't define within just 2 years, if there is a non-disclosure then you only need to worry, otherwise as long as it meets the 120 day guideline, your claim will have no issue.

The insurance company may anytime investigate on your claims but if you have nothing to hide, they will still honour the claim filed to them.

Room 550
Annual Limit 1,000,000
No lifetime
Yearly premium 3600
coverage up to 100 years old

Yes of course.

it depends on who you engage as an advisor that can optimize your budget and provide optimal coverage.

Not necessarily. ILP / Term Insurance are just different tools used to meet your risk management needs.

Neither one of it can replace another.

Here's the full disclosure for Great Eastern

https://www.greateasternlife.com/content/da...er-brochure.pdf

I'm sorry to say that SLE is one of the Critical Illness, even at Mild Stage, chances of upgrade / purchasing a new policy will be difficult.

Other alternatives are Cancer only / Accident only coverage.

However you may try to apply and see what's the reply of the underwriter

This post has been edited by lifebalance: Jul 19 2020, 06:17 PM

Most of the life companies today offers guaranteed renewal, it was uplifted 2 years ago in a circular, namely AIA, GE.

a lot of ppl buying the wrong insurance should be the perspective. Especially from incompetent agents who are just selling their products like a salesman in guise of being a "financial advisor" instead of listening to their customers. Some are not competent to explain even the products they are selling from their company.

Some agents can't even explain the fundamental of Insurance, investment link and term insurance even they claim to be 5 years into the industry.

Moreover, not all insurance companies provide solutions to certain market segments i.e some do not cover pregnancy plans / elderly plans / cancer only plans / multi critical illnesses and etc. Hence agents representing from a single insurance company will not be able to provide all solutions to their clients.

Some agents also sells Non-Takaful plan to Muslims who explains that it works the same as a Takaful policy without revealing the impact to the Muslim client.

The marketability of insurance in Malaysia still heavily relies on "Who you know" to sell insurance but unfortunately that's where the phrase "Hey support me la, I'm your best friend/colleague/gf/bf/uncle/auntie" is used most common. But policies they've bought may not meet their need because most of the time, no proper developing of plan is done and just because in the name of "Trust"; I've got stories of some auntie who bought insurance from her relative and disappear with her money that she paid the agent relative that was supposed to help her pay for the insurance premium; as result, her policy was lapsed and was unable to renew it anymore and so happen she needed to make a claim and it was invalid. To-date she never talk to that relative and plans to lodge a police report.

As the article wrote, Insurance is for the purpose for protection / risk management but I've seen agents emphasizing a lot into Future Cash Value return without explaining the mechanism of investment linked product to the client.

Hence sometimes I frown at some prospects who think their agents are telling them the honest truth when I revealed it otherwise.

*Edit*
Another add-on are insurance company running "promotions" from time to time on some product that is called "Exclusive" for a short period of time and get their agents to push that product and clients without realizing that they've bought / overbought insurance that are not necessary.

Sometimes there are also banks who call you up to offer insurance but may not fit your insurance need.

This post has been edited by lifebalance: Jul 20 2020, 01:08 PM

That would be a wrong explanation given by your agent.


As for whether it's overpaying or not depends on what was the initial thought that made you purchase into the policy. What are you looking to cover for yourself ?
1. Are there any dependent that relies on you?
2. Debts to cover
3. Living expenses


Personally I don't know you so I can't tell much.

But your plan seems to be more skewed towards the Hospital & Surgical Benefit.

When it's written as such, it means the Death/Disability Sum Assured is RM50,000, you will need to look at the policy detail to find out what are the coverage for the other riders that you've mentioned.

Yes there is, will need to know how old are your parents who you want to cover.

Please be careful when buying into online insurance and ensure it's a medical plan and not a personal accident plan.

It's not the same type of insurance.

Not many insurance can accept her age now as she's 70, moreover she may be subjected to a medical check up due to her age, premium around her age starts from 6k - 9k annually.

Looks like an all-rounder plan, if you don't need those extra bells and whistle and a simple medical plan, can just remove the additional riders.

Again, your friends and your own risk management may differ, don't just follow "because my friend is paying lower so I must follow them". Instead, get a plan that is tailored to you.

This post has been edited by lifebalance: Jul 20 2020, 01:32 PM

Because BNM wants to increase the standard of the insurance industry, instead of people who just park their license without practicing it. They will have minimal target to achieve to maintain their license.

Hitting minimal RM18,000 yearly target is a poverty line for an insurance agent career. That’s equivalent of earning only RM3,600 yearly.

Insurance company would not want to want to keep inactive agents as well since they don’t generate the company profit. Insurance companies are here to make profit and certainly not a non-profit charitable organization.

It’s across the board, however insurance company can impose their internal guideline on termination clause on their agents which may have a higher standard than the ones set by BNM including meeting minimal New policies sold in a year.

I supposed so, yet to hear any company going above 18k for now. But for amount of cases, yes.