23 Oct 2020
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.?
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.
Firstly, the scope of coverage may not be the same at all. For instance, Life Insurance Association Singapore (LIA) only mandates the use of its Critical Illness Framework for the standard 37 conditions at the severe stage.
Since you are getting early critical illness coverage, there exists a need to ensure that you are getting the right level of coverage that fits into your expectation. You may find out more about the framework here: Life Insurance Association Singapore (LIA) Critical Illness Framework 2020
Additionally, there may be other features that you need to consider and take note of - that accounts for the difference in premium.
Above all, it is impossible for a huge premium discrepancy when two products are exactly the same. Therefore, it is either you work with a responsible agent who is able to give you the right advice, or to read the contractual obligations to know what you will be getting into.
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Every company has good & bad claim experiences. Most importantly, the advisor must act in your best ...
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