Hi all
Back in the old days i was pretty active in joining all sort of Medical card related discussion in LYN. For whatever reasons which I could no longer recall, I bought an ILP for my dd 20 years ago, now i'm at the junction to decide whether to continue or to part with the ILP and get my dd to purchase a standalone medical card.

FYI.
I pay 3K/pa for this ILP - Assuming 20 years straight of paying 3K, i have paid the insurance co. 60K by now.
Total fund value now is over 50K.

Not too bad as a whole if I can still get back 50K assuming not much chargers if I were to surrender the ILP now.

As i have left the topic for so many years, many medical product may have surfaced since then, hence I would like to hear some comments, recommendations, etc.

Tks all.


a throwback of one of my chit-chat in this topic back in 2009......

[QUOTE][quote=numbertwo,Nov 23 2009, 07:24 PM]
ILP usually deducts the units from your investment portion of your policy in order to pay for the riders(ie. medical, CI, payor waiver, etc.) that are attached to the ILP. So, if the funds that you have chosen fails to 'shine', your premium will surely goes to paying the rest of the riders attached. And remember to ask the agent, does he know anything about 'Top-Up' cases in ILP. Top-up cases happen whenever the units in your investment funds are insufficient to pay for the cost of insurance+riders... , you will have to top-up a certain amount of money in your renewal. Many ILP policyholders are not aware of this 'feature' in ILP.. So pls take note.

So, yes, ILP's return is not guaranteed, never listen to any guarantee mentioned by the agent as ILP will never have any kind of 'guaranteed' return. What you gonna get after 20 years is all depending on the performance of the funds chosen in your ILP... Good luck.

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Added on November 23, 2009, 7:30 pm[/QUOTE]

This post has been edited by numbertwo: Oct 22 2025, 05:53 PM

No worries, it won't go as far .. This ILP was bought when my dd was 1-2 yo. Now she is in her 20's so just wonder whether i should withdraw the plan and let her get her own standalone medical and/or term life.. Good thing about this ILP now, after 20 years, is the premium allocation to investment has reached 100% if I'm not wrong, but of course with the rising insurance cost that leaves not much for investment after all sorts of cost deductions.

ok tat's right, perhas 1k term, 500 med, 500 into her newly opened kwsp ...

oh yeah btw.. part of the reason now i suddenly recall why I opted for this ILP was due to it being 'education policy' which is one of the tax relief item..

Hi,
Thanks for the valuable feedback.

As the ILP stands now, it has 400k lifetime limit. And you are right about Option B, it has a upgrade possibility now which I'm trying to find out the what's the added premium & coverage like.

About Option A. I didn't know we can just let it deduct the medical portion, so if there is an option to terminate the Life coverage then it may work too. But AFAIK, ILP don't exist without Life+Med ? Will surely check it out.

And lastly, thanks for the reminder about withdrawing the old policy after a year ...

Cheers.

Firstly, thanks Admin for moving/merging my post into this lthread!

Thanks all for the valuable feedbacks.

just summarize few points shared by you guys and my own thoughts:

1. As contestchris mentioned, after almost 20 years, the premium to fund allocation in this ILP is now at 100%. At this junction it is something to ponder, would one still thinks that splitting investment and medical is still wiser ? As I mentioned, after 20 years, the fund value now is at 50K vs the 60K premium paid (3K x 20 years), I wouldn't say this ILP is so bad. Btw.. just to share, the fund chosen is 80% low risk and 20% moderate risk.

2. With it being 'Education policy', i'm still able to get a tax relief as oppose to buying a totally new standalone medical and a term life.

3. It has a policy end date in another 4-5 years, i might as well just continue with it considering #1 and #2 above ?

4. As for the free upgrade offered by the insurance, i still have not decided whether to take it considering her young age now ? Just to share, original ILP has 400K medical, the free topup offers no limit lifetime and annual limit of 1.5Mil but the caveat is it does not cover any of the 75 CI. Extra premium topup 1.3K.. (And it is No Underwriting required).


Thanks all again.