I have a Pruflexicash (25-year Term). What are the differences in payouts if I withdraw the cash benefit?

Hi Candy,

Your policy illustration should have two scenarios, one whereby you reinvest the cash benefit at a non-guaranteed interest rate till maturity (which is relevant to your situation now), and one where yo withdraw.

If you intend to start withdrawing, you will definitely impact the maturity payout. Should you choose to do so, you can request for a new illustration to reflect the impact of your withdrawals.

Every year, reversionary bonuses will be credited to your policy and become guaranteed. Upon maturity, there will be a terminal bonus as well (subject to the insurer's discretion, par fund returns, etc). Thus it is too premature to say that there is no maturity bonus. It's probably non-guaranteed from what I know, but you can't rule it out until your policy matures.

Hey there!

Do check with your advisor or the Policy Illustration document of your plan.

Usually, savings plan comes with non-guaranteed interests that are compounded on the existing pool of money in your plan. Taking out your money early on will mean there is lesser money for interest to be compounded. Not sure if you're okay with that since compounding works best over a extensive period of time. Also, you will have to check whether there is a maturity bonus (or terminal bonus, just terminologies) with your plan.

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