Looking to buy term, CI and ECI insurances. Choosing bet Prudential and Manulife. Manulife's premiums are waaaay cheaper but anyone has claim experience with either companies? Both agents seem q nice.?

Hi anon,

Before we get into the discussion of premiums, you should ensure that you are buying the right amount of coverage.

But assuming that's settled, then we'll want to look at the options. 40% premiums difference is almost unheard of, and you really have to ensure that the plans you are comparing have the same structure. A 30 year term plan will be much cheaper compared to a 40 year term plan. A limited payment whole life plan paid over 10 years will be far more expensive than one paid over 20 years, and yet in total premiums, the 10 year plan will cost less. So make sure you are comparing similar parameters first.

I'd suggest that you take a look at the scope of coverage as well. For situations where it is death/TPD, there isn't much difference in definitions (death is death after all). But when it comes to CI/ECI, there can be a difference in the scope of coverage, for example, the scope of covered conditions, the number of special benefits, etc. Naturally, if you are able to get more coverage for a lower cost, that's a plus. In this case, I'd suggest you take a look at China Taiping and Aviva's offering for Whole Life CI as well, as I find that they are also very competitive.

Regarding the agents; It's important that you find an advisor that you can trust and work with. For the client-advisor dynamic to work best, on your end you need to be very comfortable with sharing details and be open with the advisor.

Every company has good & bad claim experiences. Most importantly, the advisor must act in your best interest in order for your claims to go through.

Could a financial advisor representing 1 specific insurance company act in the best interest of the customer? This is still a question mark.

A CI policy is supposed to replace your income when you are unable to function like a healthy person due to (ex. cancer, leukemia, etc. )

Your income should be replaced over a 10 year period. Monthly income x 12 mths x 10yrs (2 years for treatment, 5 years for rehabilitation, 3 years to undergo training & be relevant in the job market)

Industry standards always says 5 years. Do a reality check: if you have friends & relatives that ever experienced cancer, just take a look how many of them actually took 5 years (from being diagnosed to getting back into the job market.)

TAKE NOTE: there are many insurance agents that overcharge for early critical illness so that they could get fatter commissions. ONLY BUY WHAT U NEED.

If you need any guidance, let me know.​​​