Thanks hafizmamak85, contestchris & CMS for the insights. I've emailed to GE CS to ask for

1. A detailed breakdown of the premium increment for my policy, showing how the new amount is calculated.
2. A line-by-line justification for each rider included in the policy and how it contributes to the premium adjustment.

But I've a bad feeling that they will blame the different because of ILHP & SMX work differently.

My colleague advised me to accept the offer, and then restructure/ downgrade the base plan (remove PA, remove CI) to lower annual premium, if allowed to do so. I have another AIA plan (AETNA LIVING COVER), and can buy standalone PA plan is just few hundreds per year.

I've also consulted Allianz & Prudential agents, they gave me some options. Both of them said accepting ILHP upgrade to SHP can be considered.

Allianz's alternative option is quite complicated. Was advised to restructure current ILHP, remove PA/ CI/ lower TPD/Life. Add on Allianz medical plan + 5000 TPD/ Life. The premium end up similar (SHP upgrade ≈ ILHP downgrade + Allianz medical). Two things that appeal to me are 1. Allianz no waiting period if I take the offer before 30 Apr, 2. sustainibility age = 80 (vs. SHP 66)

Prudential directly quote me RM585 monthly (or RM7000 per annum), but need body check up and 2 years waiting period.

There isn't a vast difference in coverage or features between the SMX and ILHP policies, once the upgrade to SHP is taken into account.

The ILHP policy, post upgrade to SHP, is required to pay RM 535 per month or an additional RM 180 per month (RM 2.2k per annum) for essentially an extra 50k in death and accidental benefits, compared to SMX's post upgrade monthly premium of RM 337.5. This part needs to be appreciated.

Perhaps it is due to the ILHP base (excl. medical) coverage - death, critical illness, accident benefit, waiver of premium - having higher cost of insurance charges compared to the SMX policy.

Policy 1 (SMX): 50k death benefit, 50k critical illness & early payout critical illness benefits, hospitalisation GL/reimbursement (SMX & extension of coverage until age 99), hospitalisation benefits, waiver of premium (disability & critical illness)

RM 337.5 per month (current premium)
RM 357.5 per month (post SHP upgrade)

Increment: RM 20 per month

Policy 2 (ILHP): 100k death benefit, waiver of premium for death & TPD, 50k critical illness benefits, hospitalisation GL/reimbursement (ILHP), 50k accidental benefits

RM 232 per month (current premium)
RM 535 per month (post SHP upgrade)

It really is frustrating to see people wanting better coverage for hospitalisation but end up paying so much more just because they have an old policy and are forced to upgrade within a bad basic plan that has very high cost of insurance charges.

In such situations, I would implore policyholders to be open to surrendering their old policies and purchasing a new one altogether if they truly wished to have better hospitalisation coverage.

Let's face it, the usual suspects when it comes to hospitalisation policies is going to be either AIA, GE, PRU or one of the smaller kutus such as Allianz or HLA. These are the main contenders. And every one of them will have a different underwriting and claims philosophy.

Price is only one aspect that needs to be appreciated. The other aspect, and one that I would argue is more important, is the payout. How much is getting paid out - number of claimants per 100 policyholders and the average claims amount per claimant - is what needs to be asked.

Higher frequency of medical claims and average claims amount indicate a less restrictive claims department. No one wants to purchase an expensive hospitalisation policy only to be later told to pay first and claim later or have impositions on treatment types and other exclusions.

Great Eastern fairs poorly, I would give it a C grade, in this area for only having an average pool medical cost of less than RM 1000 (RM 730). No GE medical policy, with a large number of policies or high claims frequency profile, has got an average claims amount of more than RM 11k. 



Prudential, on the other hand, has a got a claim frequency of 7.4 claimants per 100 policyholders and an average claims amount per claimant of RM 14.7k for its PRUHealth plan, which brings the average pool medical cost close to RM 1100. I would give this a B grade.

So, always ask your agent, prior to purchase or upgrade, about the hospitalisation plan's claim frequency and average claims amount per claimant.

Insurer to raise medical premiums ‘because of increase in claims’

I’ve got a basic life with medical on it from GE, and it is  an investment link plan since 2017.

Agent tells me that the premium contribution would be level until I’m 100 years old as that’s what the investment portion does — to keep it level.

There’s been a premium increase of 20% 2 years back due to lack of funds or whatever and cannot sustain, and agent moved me to a new pool because I have not claimed anything. That’s what the agent said lah. To me, I’m like okay. This increase did give a bit extra benefits like higher limit which I don’t really care… I’m happy with the existing limit. 

Now I am curious
1. Is that level premium contribution legit? Like does such a thing exist and really work?
2. I genuinely don’t care about life insurance. My main need is medical coverage esp. when I am old, retired and jobless. 
3. Does GE have deductible medical coverage? Per annum? I don’t mind having deductible of RM1k ~ RM3k. Got company coverage, and I can still afford RM3k/year after retirement.

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Edit: don’t really want to talk to my agent. I don’t want to Kena upsell. If anything I want to add on deductible to pull the premium down.

Edit2
hafizmamak85 thanks for sharing
Interesting read. Based on your info, all ITOs are evil. So who is the least evil where I can get guaranteed renewal up to 100 years old. With a premium that would not be raised at the whim and fancy of the ITO? It looks like we do not have a choice and at their mercy?

Hi guys
hopefully not off topic much

my wife and I are expecting our first born in less than 2 month

therefore I am looking to buy insurance (medical card) for the baby

can you guys give some suggestion or input
from my reading, information on baby/child insurance is more chaotic unlike adult medical card

here's our requirement (hopefully can tick as many of the boxes as possible)

-standalone medical card (we are price sensitive family, prefer to keep the premium as low as possible)
-no need before deliver coverage, Im ok with 15 days of life, a month or even few months old
-prefer online sign up (hard to find compared to adult), no offence against agent
-baby only coverage, no need family, both of us have our own dinosour coverage

some of the one I have looked/read

-etiqa one medical (family plan-no baby only)
-allianz health assured
-ceupacs care (also family plan) but cheapest -I am a civil servant

Anybody can elaborate what kind of scheme is this?