What happens if one can't finish the Life Insurancepremium?

[golden_eagle]

I am looking at the Aviva My Retirement Plus. In the illustration when one pays 16K for 10 years then receive an inflation adjusted payout of 1K/mth until 85. 

 

What will it happen if the holder decides to stop paying the premium at 5th year when migrate to another country? Surrender with a big loss, or receive a pro-rated payout according to the premium paid and schedule, or what other exit strategy can the holder take? 

 

I wonder whether there are any easy and hassle-free retirement savings plan where the buyers can put in money as they wish and the interest increases with the time the $ stays in like the SSB then after retirement the payout also follows some automatic prearranged schedule, and most importantly, removing insurance agents' cut? 

 

Edited November 4, 2018 by golden_eagle

[Jamesc]

Why not ask the person that sold you the policy.

 

Or ask their customer service.

 

[Jman888]

Why not ask the person that sold you the policy.

 

Or ask their customer service.

 

you give him an answer maybe you can get part of the commission

[golden_eagle]

you give him an answer maybe you can get part of the commission

 

That commission is the easiest commission I have ever seen. How can I become an agent? 

[Throttle2]

I am looking at the Aviva My Retirement Plus. In the illustration when one pays 16K for 10 years then receive an inflation adjusted payout of 1K/mth until 85.

 

What will it happen if the holder decides to stop paying the premium at 5th year when migrate to another country? Surrender with a big loss, or receive a pro-rated payout according to the premium paid and schedule, or what other exit strategy can the holder take?

 

I wonder whether there are any easy and hassle-free retirement savings plan where the buyers can put in money as they wish and the interest increases with the time the $ stays in like the SSB then after retirement the payout also follows some automatic prearranged schedule, and most importantly, removing insurance agents' cut?

Wah you want to win against insurance company ah?

Save it lah.

 

Continue you lose,

Stop you lose

Insurance means you lose already

Just write off.

[golden_eagle]

Wah you want to win against insurance company ah?

Save it lah.

 

Continue you lose,

Stop you lose

Insurance means you lose already

Just write off.

 

can't there be an insurance that's truely for the public good since technology to achieve these premium-claim balances are there and of little cost?

[Tianmo]

I am looking at the Aviva My Retirement Plus. In the illustration when one pays 16K for 10 years then receive an inflation adjusted payout of 1K/mth until 85. 

 

What will it happen if the holder decides to stop paying the premium at 5th year when migrate to another country? Surrender with a big loss, or receive a pro-rated payout according to the premium paid and schedule, or what other exit strategy can the holder take? 

 

I wonder whether there are any easy and hassle-free retirement savings plan where the buyers can put in money as they wish and the interest increases with the time the $ stays in like the SSB then after retirement the payout also follows some automatic prearranged schedule, and most importantly, removing insurance agents' cut? 

 

 

I didnt read the T&C of the plan, but by looking at what you have stated , it is basically a package of an endowment plan and an annuity. There are 2 parts to the product, a 10 yrs endowment plan where you pay 16K a year for 10 yrs. Upon maturity of the endowment plan, The total sum payable gets converted into an annuity where it pays you 1k a month until age 85 or death. 

 

So technically you sld be able to get back whatever cash value available in the policy if you terminate it by the 5th year. A 10 year plans I guess would likely break even on the 6-7 yrs, so on 5th year likely will lose out a little. 

 

My guess only, so actual answer still best to pick up the phone and call aviva. 

 

You want something safe ah, go put your money into CPF special account lor, and buy a term insurance policy instead.     

[mersaylee]

That commission is the easiest commission I have ever seen. How can I become an agent?

Here you go...

 

https://www.ibf.org.sg/programmes/examination/Pages/CMFAS-Overview.aspx

 

Not as easy as last time...

4 CMFAS exams to sit for now. Then there is agency’s internal exam or exams...

 

Nowadays ins agents don’t just sell insurance policies/products but also required to sell other financial products. Maciam chicken rice specialist forced by market forces to sell duck rice too. Greed is the word that come to mind.

 

Someone I know of is struggling with the exams but the prospects of unlocking the hot money awaiting outflow from the Middle Kingdom are too lucrative to just give it up.

 

Btw, one module has a book on its own at least of 1cm thick to read. There are sellers In carousell condensed it for you though.

[Tianmo]

Wah you want to win against insurance company ah?

Save it lah.

 

Continue you lose,

Stop you lose

Insurance means you lose already

Just write off.

 

 

can win lah, provided he doesnt reach 85 yrs old 14 years after the annuity starts paying, and stays alive long long after that...    

[golden_eagle]

I didnt read the T&C of the plan, but by looking at what you have stated , it is basically a package of an endowment plan and an annuity. There are 2 parts to the product, a 10 yrs endowment plan where you pay 16K a year for 10 yrs. Upon maturity of the endowment plan, The total sum payable gets converted into an annuity where it pays you 1k a month until age 85 or death. 

 

So technically you sld be able to get back whatever cash value available in the policy if you terminate it by the 5th year. A 10 year plans I guess would likely break even on the 6-7 yrs, so on 5th year likely will lose out a little. 

 

My guess only, so actual answer still best to pick up the phone and call aviva. 

 

You want something safe ah, go put your money into CPF special account lor, and buy a term insurance policy instead.     

 

i see and thank you for the reply. 

Here you go...

 

https://www.ibf.org.sg/programmes/examination/Pages/CMFAS-Overview.aspx

 

Not as easy as last time...

4 CMFAS exams to sit for now. Then there is agency’s internal exam or exams...

 

Nowadays ins agents don’t just sell insurance policies/products but also required to sell other financial products. Maciam chicken rice specialist forced by market forces to sell duck rice too. Greed is the word that come to mind.

 

Someone I know of is struggling with the exams but the prospects of unlocking the hot money awaiting outflow from the Middle Kingdom are too lucrative to just give it up.

 

Btw, one module has a book on its own at least of 1cm thick to read. There are sellers In carousell condensed it for you though.

 

oh exams. 

will be tough. 

[Dp26]

Even the SSB allows you a maximum amount per pax...

 

Or just buy corporate bonds which will give you accrual interest to date subject to market price...

 

Can’t have your cake and eat it I guess...

[Jamesc]

Average life expectancy for a man is 75.

 

So if they are supposed to pay till 85 they only have to pay till 75 on average and save $120k of payout for every policy sold.

 

[Dp26]

We are probably closer to 83 now in Singapore...

[MichaelTanHH]

Hi, you should not sign up this policy if you are migrating and intend to stop paying the premium as you would suffer great loss. not worth it. if you want you can consider investing in unit trusts and let your money grow and upon retirement opt for a payout.

 

I am looking at the Aviva My Retirement Plus. In the illustration when one pays 16K for 10 years then receive an inflation adjusted payout of 1K/mth until 85. 

 

What will it happen if the holder decides to stop paying the premium at 5th year when migrate to another country? Surrender with a big loss, or receive a pro-rated payout according to the premium paid and schedule, or what other exit strategy can the holder take? 

 

I wonder whether there are any easy and hassle-free retirement savings plan where the buyers can put in money as they wish and the interest increases with the time the $ stays in like the SSB then after retirement the payout also follows some automatic prearranged schHi

 

hi, you should not sign up this policy if you intend to stop paying premium as you would suffer great loss. Not worth it. You can consider buying a basket of globally diversified unit trusts to grow your money until retirement and opt for payout.

[Ct3833]

Average life expectancy for a man is 75.

 

So if they are supposed to pay till 85 they only have to pay till 75 on average and save $120k of payout for every policy sold.

 

Average life expectancy for sgprean is 83, male 80, female 86. So in this case , if you compare it with another company policy that will pay out till say 82 year old, the latter will likely to have a higher monthly payout.

Edited May 7, 2019 by Ct3833

[Jman888]

Average life expectancy for sgprean is 83, male 90, female 86. So in this case , if you compare it with another company policy that will pay out till say 82 year old, the latter will likely to have a higher monthly payout.

I thought women live longer than men?

[Ct3833]

I thought women live longer than men?

you are spot on. sorry sorry, my typo, should be 80, NOT 90.  made correction already. Thanks for pointing that out.