Hi all sifu
My mum bought Great Eastern Takaful Supreme I last year with RM50,000 yearly contribution, and today suddenly her bank account auto debit another RM50k and she was shocked. My mum having misunderstanding with the agent who sold her last year.
My mum was 62 years old last year, premium due date tomorrow, auto debit RM50k today. Then i just knew this matter and look into the insurance policy.
I found that it's something like 1st year RM50,000, death benefit RM43,000
Surrender value is only RM22,000++, it's really ridiculous.
Anyway, i wish to settle on this matter, due my mum thought only one time investment of RM50,000 and get 15% cash payout guarantee.
What solution i have currently, reduce the yearly contribution to lowest amount (RM6k / year) and surrender it after few years? or any other option
Sorry i'm having basic knowledge about insurance only, not really know deep about it, seeking for sifus advice

Edit add on: My mum opened ocbc 360 account i trying to get some interest from her liquid fund, and i think the bank officer aim my mum and talking sweet things to my mum that my mum definitely no idea she is buying a "insurance". The serving agent consider to scam and trap my mum for purchasing RM50k yearly contribution policy, to cover RM43k death benefit? I'm really sick about it, all the monies are my mum retirement fund. Hope i get some solution or what is the best way to do to save the monies. Appreciate

This post has been edited by lovingforyou: Jul 28 2020, 10:59 PM

Yes, it's really strange. The product call Great Eastern Takaful Supreme I , my mum bought it at OCBC branch
I just knew it few hours ago and panic now

Trying to look into the policy but i don't had 100% understanding.
I saw something like 35% is management fee & others
65% is for investment , then the surrender value is only RM22,000 something for first year (RM50k paid at the first year)
surrender value at 2nd year is RM53,000 (RM100k contribution total paid and had been auto debited today)

Yes, i notice the guarantee cash payout. I believe they describe the guarantee cash payout 15% - 20% in this way:-
First year invest 50k, you get 15% "bonus" = 7.5k
2nd to 5th year invest 50k, get 15% "bonus" as well as 7.5k per year
Then 6th year to 13rd year, no need to do investment anymore and they are giving 20% bonus which is 10k
And i done a simple calculation, total contribution had been made is RM250,000
The bonus total for 13 years is (7500 x 5) + (10,000 x 8) = 117,500
Wtf this kind of policy existing in this world
Nvm i ask my another insurance agent to help me to take a look on the policy
Btw sifu sekalian, how do i send my policy for you guys here?

Hi both sifu, appreciate your time with my matters. I'd attached the policy for your better understanding.
However, just now i went to the OCBC branch and quarrel about the dispute.
The advisor should not recommend such kind of "retirement" product for "retired" women. What use for my mum to invest her retirement fund and get it at 75 years old as another retirement fund?
That is not professional at all.

After my dispute with the branch manager and the service advisor, we came into the outcome:-
First year 50k distribution had been made, can't do anything, they also strongly recommend not to surrender
Yesterday another RM50k of auto direct debit had been happened. Talked to branch manager that we are not intend for investment another RM50k for 2nd year.
They mentioned that this product , the contribution can be decrease to lowest amount that is RM6k per year (for year 2 to year 5)
We both agree with this outcome, but they need a week to work on my withdraw of the RM50k paid on the 2nd year, and continue with RM6k yearly contribution for 2nd year to 5th year, and they need to deal with Headquaters about re calculate the guarantee payout and other tables etc
If the branch manager can come out with this results, i think probably i will just left the monies RM74k in total there, and untouchable for 13 years until 75years old.
Just the matters of, the guarantee payout and total gain after maturity date. (awaiting them for calculation and outcome)

If it doesn't go into this way (RM50k for 2nd years cannot be reverse or etc), probably i will work on another direction, BNM telelink or ombudsman, but i think it's long and hassle way to go.
Appreciate sifu will give me advise after spending your free time on my attached policy table.
 Supreme_I.pdf ( 640.09k ) Number of downloads: 34


Add On: The branch manager and the advisor mentioned that it is possible to decrease the contribution as low as minimum RM6k per year. Now the main dispute is only for the RM50k had been auto debit yesterday, but the Due date is today, and they have to inform us before they done the transaction due to big amount that not everyone can afford

2nd Add On: Please assist to look for the attachment, let say if the contribution is maintained 50k for first 5 years, the total payout upon maturity is how much?
(RM7.5k x 5) + (RM10k x 8) + (RM157,500) + (between RM167500 - RM190,259) = between RM442,500 to RM464,759 ? am i understanding correct?

This post has been edited by lovingforyou: Jul 29 2020, 04:37 PM

Thanks for your kind reply. I'd much understanding now.
I'd referred to my mum, and she is agree that if total contribution is 74k (50k at the first year, then 6k for subsequent 4 years), she still can accept under the condition of the payout during maturity is still guarantee not less then the amount she paid.

So currently i could only able to wait for the bank branch manager to work on it and hope it'll be going this way.
If things happened and couldn't smooth going to this way of solution, guess i will take action about refunding all the policy monies, due to the agent advisor is pretend not professional and misrepresentation to my mum, and didn't did his job like query my mum about it'll be total 250k of investment or other reminder, again it's not small value.

I'd dispute with the bank with another point, they didn't basic check and query on my mum financial situation and simply make these things happened. So yesterday RM50k had been debit from my mum saving account. And now my mum don't had additional money to pay next year of RM50k contribution. So we have to loan from bank to pay contribution? The agent never mentioned these things and did about survey to my mum financial situation. I'll bite on this point and make this matters bigger if things doesn't go to total contribution of RM74k.
It's ridiculous plan especially such a huge contribution yearly and didn't confirm if their customer had the ability to pay.

If any other have better solution how to settle this things, kindly let me know. (currently waiting the branch manager outcome for withdraw the 2nd year contribution refund RM50k, then revise the proposal and plan to RM6k yearly from year 2 to year 5, and this solution is both party agree)
Just incase things doesn't go on this way, what can i do anymore?

Yes, i understand these basic of things.
My mum still kept the draft used waste paper, hand wrote by the service advisor. I can prove that it can be lead to my mum about the misunderstanding.
I'd notice to the branch manager about, i'll lodge a police report and do whatever i can do, just the matters of how far i can go.
I believe they're considering about their branch reputation and etc and trying to solve and minimize it.
So, probably i would just wait and see after a week.

Thank you for your efforts.
I shall wait the outcome from branch manager and see what to do next.
Appreciate

It wrote something like 6000 x 15% = 900 interest 1st year
6000 x 15% = 900 interest 2nd year
3rd, 4th, 5th
Total interest you earn for first 5 years is 75%
Than my mum wow, such a good deal, where find
At the beginning, my mum wish to intend a total RM50k (she assume RM10k first year, 10k 2nd year, 3rd - 5th), and proceed it with one goal RM50k, yeepy, just left it there 5 years, wait 5 years maturity then she will get RM50k plus yearly 15% (1.5k interest), 50k for 5 years for another type of "FD" (my mum thought it's new style of FD), it will become 50k plus 37,500 interest (total 87500), great deal right?

At the end it become RM50k yearly contribution. And the most terrible part is, my mum hate 'insurance'. She always murmur beside me yearly regarding that she bought a yearly 6k annual premium medical+ life + lil bit of saving, and thinking to surrender every year to save back the 6k 'spending'
Imagine, sounds ridiculous but it does happen

During my dispute with the advisor, i keep focus on this point, did you really expect my mum understand, especially they use those wording that uneducated senior that won't understand, ex. like circumstances, but not mentioning situation.

The draft paper wrote by the agent, i left it in my office together with the policy.
Probably i try to post it here on Monday due tomorrow's holiday and im not working during weekend.

For me as a insurance beginner knowledge, there's "trap" everywhere, especially for me.
I'd learned sooo much of these knowledge for these 3 days. Appreciate sifus here.
Now only i understand why some insurance expert always mentioned
You buy insurance, it's insurance, it insured something like health and etc, it's neither saving nor investment.
Im guessing for public people like me, as a consumer for these products, once we know the concept, then we just understand.
The link you provide is great for people like me, that's not truly understand insurance.
Great example too, it's like "trap" of wordings and etc everywhere

The fact is, that TS is lucky that he asked before he act.
My mum just bought it after 30 minutes mur mur from the agent.
And i just noticed it 2nd year.


This post has been edited by lovingforyou: Jul 30 2020, 10:48 PM