AXA Inspire Flexi Protector

my_voice

Senior Member
Joined
Mar 29, 2014
Messages
648
Reaction score
0
Hi all, was told by my Financial Consultant (my friend who just started working) to apply for the ILP above. Would like to seek for 2nd opinion, preferably people who have signed up for it and how do you all find it so far.

I read up the contract clauses and found that there are many fees stated inside e.g Sales Charge, Insurance Charge (also known as Cost of Insurance (“COI”)), Administration Fee, Service Fee, Annual Management Fees p.a., Fixed Operating Fees p.a., Membership fees etc

Does the premium goes higher when I get older? Is this a value for money plan?

A bit about myself, I just started working, save about 40% of my income and is a risk-averse person. Does this plan suits me or is there other plan that suits me better. I can also do away without this plan.

I have 2 life insurance policies
- Great Eastern FlexiLife20 (series2)
- NTUC income (paid from CPF account)

Do I really need another life insurance policy i.e. AXA Inspire Flexi Protector again?

Thank you for sharing your experience or advice. Really appreciate it!
 

bigmice

Member
Joined
Aug 1, 2010
Messages
235
Reaction score
0
do not buy any ILP, sure lose money.
I suggest you invest these money in stock or unit trust
 

wahkao3

High Supremacy Member
Joined
Mar 6, 2005
Messages
26,835
Reaction score
19
invest into low risk, high return investments. those are your best bet
 

Keverus

Banned
Joined
Aug 30, 2008
Messages
80,612
Reaction score
0
how close is your friend to you?

do you enjoy giving him at least 50% of your first year premium to him? if so, carry on!
 

Miko09

Junior Member
Joined
Jul 28, 2014
Messages
33
Reaction score
0
ILP will not be suitable for you if you are a risk adverse person. As what you have read, there are alot of charges in an ILP, and you are also exposed to market risk. What is the purpose for this plan? For protection, or for savings? And whether do you have sufficient insurance for yourself. The first one you might want to look at can be your NTUC Income plan which I believe is a shield plan. You might want to add on the rider to cover your co-insurance and deductibles in the event of hospitalisation. Secondly, how comprehensive is your GE plan? What is the coverage for death and critical illnesses? The ideal coverage is 10 times your annual income.
 

my_voice

Senior Member
Joined
Mar 29, 2014
Messages
648
Reaction score
0
ILP will not be suitable for you if you are a risk adverse person. As what you have read, there are alot of charges in an ILP, and you are also exposed to market risk. What is the purpose for this plan? For protection, or for savings? And whether do you have sufficient insurance for yourself. The first one you might want to look at can be your NTUC Income plan which I believe is a shield plan. You might want to add on the rider to cover your co-insurance and deductibles in the event of hospitalisation. Secondly, how comprehensive is your GE plan? What is the coverage for death and critical illnesses? The ideal coverage is 10 times your annual income.

Lol they recommend me this plan saying since I am a conservative person, this plan is rather stable as investment is on blue chips, companies like SIA, Singtel etc....

After all the research done online on previous hwz threads, I am firmly not taking up the AXA inspire plan.

No hospitalization protection yet. I am paying abt 93/mth for the GE plan. Coverage I need to dig out my policy to check.
 

my_voice

Senior Member
Joined
Mar 29, 2014
Messages
648
Reaction score
0
how close is your friend to you?

do you enjoy giving him at least 50% of your first year premium to him? if so, carry on!

Wa, really 50%? They give me such nice figures say can grow loads of money with 8% interest rate etc. I know it's sort of selling tactics lah.
 

wooty100

Senior Member
Joined
Dec 18, 2006
Messages
1,435
Reaction score
9
If it is an investment, there are other ILP and/or investment plans available. What is your budget when your friend approaches you ?
 

Miko09

Junior Member
Joined
Jul 28, 2014
Messages
33
Reaction score
0
Lol they recommend me this plan saying since I am a conservative person, this plan is rather stable as investment is on blue chips, companies like SIA, Singtel etc....

After all the research done online on previous hwz threads, I am firmly not taking up the AXA inspire plan.

No hospitalization protection yet. I am paying abt 93/mth for the GE plan. Coverage I need to dig out my policy to check.

If you are a conservative person, and looking at savings, look at endowment plans instead of an ILP. However, if you are open with investments, you may wish to look into bonds instead of an ILP.

Do consider to add on the shield rider for a more comprehensive coverage for your hospitalization. Protection wise, I think you will need to check out how much coverage do you have currently, for a proper planning based on your current financial portfolio. :)
 

Rmondo

Senior Member
Joined
Jan 8, 2013
Messages
880
Reaction score
0
Best to keep your investments and insurance separate.

And TS may I know how old are you and how many dependents do you have? When I say dependents, I mean people whom you are supporting monthly, and likely to "starve" to death if you don't support them. If your answer to this is 0, then your priority shouldn't be on life policies.

The main priority should be hospitalisation, you NEED to have that.

Here's an insightful write up on this topic, as the author has disclaimed, don't take it as a gospel but rather take the thought process as a guide.

My Insurance Philosophy | Investment Moats - Stock Market Investing
 

Rmondo

Senior Member
Joined
Jan 8, 2013
Messages
880
Reaction score
0
If you are a conservative person, and looking at savings, look at endowment plans instead of an ILP. However, if you are open with investments, you may wish to look into bonds instead of an ILP.

Do consider to add on the shield rider for a more comprehensive coverage for your hospitalization. Protection wise, I think you will need to check out how much coverage do you have currently, for a proper planning based on your current financial portfolio. :)

If he is open to investments, ILP shouldn't even be considered, because it is a half assed "investment" vehicle. Basically, it doesn't do what it's supposed to do well, which is coverage. And with the crazy fees, the investment portion is also half past 6.
 

my_voice

Senior Member
Joined
Mar 29, 2014
Messages
648
Reaction score
0
If he is open to investments, ILP shouldn't even be considered, because it is a half assed "investment" vehicle. Basically, it doesn't do what it's supposed to do well, which is coverage. And with the crazy fees, the investment portion is also half past 6.

You are right. My friend and his manager have stopped bugging me after I list down those questionable contract terms. And I hope ppl stop PM me, I am not interested and will not reply anymore.
 

xmodconnects

Junior Member
Joined
Dec 1, 2007
Messages
23
Reaction score
0
Hi all, was told by my Financial Consultant (my friend who just started working) to apply for the ILP above. Would like to seek for 2nd opinion, preferably people who have signed up for it and how do you all find it so far.

I read up the contract clauses and found that there are many fees stated inside e.g Sales Charge, Insurance Charge (also known as Cost of Insurance (“COI”)), Administration Fee, Service Fee, Annual Management Fees p.a., Fixed Operating Fees p.a., Membership fees etc

Does the premium goes higher when I get older? Is this a value for money plan?

A bit about myself, I just started working, save about 40% of my income and is a risk-averse person. Does this plan suits me or is there other plan that suits me better. I can also do away without this plan.

I have 2 life insurance policies
- Great Eastern FlexiLife20 (series2)
- NTUC income (paid from CPF account)

Do I really need another life insurance policy i.e. AXA Inspire Flexi Protector again?

Thank you for sharing your experience or advice. Really appreciate it!
TS you sound like a young person who started working. I suggest you do not take up any life insurance plan from any company. You should take up a term insurance plan until 65 which covers death, tpd and the standard 30 CI's. After having term insurance coverage for 10 times your yearly income, you should then surrender your current life policies to prevent any further losses in fees and costs although it might seem painful to do so. You will find that to insure 10 times your annual income with a term plan pretty affordable. Save the rest of your money and build up a nice sum to invest in in the long term on your own. There are many ways to invest on your own without stupid fees and there is great input here on this forum with regards to that.

Your financial consultant friend should not be one you trust fully anymore since he is willing to take 50% of your premium every month for nothing. Some people say buying term alone is foolish because u have no coverage after 65 but that is ******** especially if you are a young person. From 25 to 65 is a time span of 40 years. During this 40 years the value of the sum assured you applied for today would be enough to buy a curry puff from old chang kee, and not sustain you should you fall ill.
 

WindBoi

Senior Member
Joined
Nov 17, 2002
Messages
1,861
Reaction score
16
Best to keep your investments and insurance separate.

And TS may I know how old are you and how many dependents do you have? When I say dependents, I mean people whom you are supporting monthly, and likely to "starve" to death if you don't support them. If your answer to this is 0, then your priority shouldn't be on life policies.

The main priority should be hospitalisation, you NEED to have that.

Here's an insightful write up on this topic, as the author has disclaimed, don't take it as a gospel but rather take the thought process as a guide.

My Insurance Philosophy | Investment Moats - Stock Market Investing

Hi Rmondo, thanks for raising my post. To Thread Starter, I agree you should separate wealth building and insurance. Frame insurance as an expense.

ILP are unit trust + term insurance that have premiums starting low ending extremely high.

Think of this like a science experiment. When you try to merge 2 things together, you tend to lose something. What you lose here are hidden cost.

What works over the long term is not really a lot of these products but COSTS. The max you usually make for these unit trust is 6-8% per annum over the long run.

Imagine your cost is 0.5%, 1%, 2.5%. The higher your cost the more you lose.

Think of it another way. If you pay for the mortgage for a HDB flat would you want to save interest over the 25 years from 2.5% to 1.5%? the difference is 60k. why wont you do this for your investment?
 
Important Forum Advisory Note
This forum is moderated by volunteer moderators who will react only to members' feedback on posts. Moderators are not employees or representatives of HWZ. Forum members and moderators are responsible for their own posts.

Please refer to our Community Guidelines and Standards, Terms of Service and Member T&Cs for more information.
Top