What Type Of Plan Should You Get?

CLEO (Malaysia) - - YOUR LIFE, YOUR RULES! -

Whole Life Plans As the name sug­gests, this plan serves for a long pe­riod of time, usu­ally for about 30 years or so. There are two types:

In­vest­ment Linked Plan (ILP)

1 Pop­u­lar amongst young work­ing adults, you get a high amount of fi­nan­cial cov­er­age for a low pre­mium. It’s also flex­i­ble, which means you can in­crease your monthly pre­mium at any time.

Tra­di­tional Plan

2 The op­po­site of ILP, a tra­di­tional plan has a fixed pre­mium over a fixed term of years.

En­dow­ment Re­mem­ber how we men­tioned that in­sur­ance can be used as sav­ings? This is the plan for it.

Term This plan is in­ex­pen­sive and has a fixed pe­riod. The set­back is that it only cov­ers death and to­tal per­ma­nent disability.

Med­i­cal/Health The med­i­cal part of this plan cov­ers crit­i­cal ill­nesses only, which means you get a lump sum within three months of surgery. The health side takes care of sur­gi­cal and hos­pi­tal­i­sa­tion ex­penses, which means a cer­tain sum will be cov­ered upon ad­mis­sion.

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