Getting started with insurance

[xtwis7]

Very, very sorry to bother the experts here again, but I wanted to ask something about the AVIVA NS Group insurance.

I was talking to this agent and he previously advised me to drop it because he said "Group" Insurance means that the payout is not guaranteed because the insurer needs to spread it out across all clients, so in the event of a mass payout, the insurer may not be able to pay me, I was a bit confused because I thought this is a problem that all insurance companies may face, even though it is unlikely.

I am asking cause I am not sure if this agent is reliable because when I asked him if the GE Wealth Multiplier is "guaranteed issue" (I read online that it is), he didn't know what I mean.

Group insurance do have a clause that states that in such mass catastrophes, there’s a chance that the payout is capped. Though of course the chances of a mass death event is very low even with covid.

Inforced simply means the starting effective date of the policy.

I am from GE and I can confirm that Great Wealth Multiplier is a guaranteed issuance policy so there’s no underwriting at all. Meaning someone who had or is having cancer will even be able to purchase this since it’s a type of accumulation plan.

 

[winthony]

Hi Winthony,

Thanks so much for your reply.
The reason why I am a bit reluctant to take up any more new policies is because doing so, if I need to declare my mental health treatment in the past, even if I make claims for my old policies for issues related to accident and disability, I am afraid that to avoid paying the payout, GE might find evidence in their interests.

No worries! for your previous policies, it should be fine because during the application phase of these policies, unless you intentionally withheld information, you should be good. Going forward, declaration would be necessary to avoid the situation that you mention!

 

[winthony]

Very, very sorry to bother the experts here again, but I wanted to ask something about the AVIVA NS Group insurance.

I was talking to this agent and he previously advised me to drop it because he said "Group" Insurance means that the payout is not guaranteed because the insurer needs to spread it out across all clients, so in the event of a mass payout, the insurer may not be able to pay me, I was a bit confused because I thought this is a problem that all insurance companies may face, even though it is unlikely.

I am asking cause I am not sure if this agent is reliable because when I asked him if the GE Wealth Multiplier is "guaranteed issue" (I read online that it is), he didn't know what I mean.

There is indeed such a clause in the policy wording when it comes to mass casualty that might restrict the payout amount.

Hmm, if the agent does not know what a guaranteed issuance is, i think you should really think twice

 

[boredboiboi]

Very, very sorry to bother the experts here again, but I wanted to ask something about the AVIVA NS Group insurance.

I was talking to this agent and he previously advised me to drop it because he said "Group" Insurance means that the payout is not guaranteed because the insurer needs to spread it out across all clients, so in the event of a mass payout, the insurer may not be able to pay me, I was a bit confused because I thought this is a problem that all insurance companies may face, even though it is unlikely.

I am asking cause I am not sure if this agent is reliable because when I asked him if the GE Wealth Multiplier is "guaranteed issue" (I read online that it is), he didn't know what I mean.

Mass payout, for example a plane crash.
Omg an agent not knowing what is guaranteed issuance? Is he new? Its 100% can buy no matter what condition u have, but provided the money is real and legit, and not money laundering.

 

[soneat]

Very, very sorry to bother the experts here again, but I wanted to ask something about the AVIVA NS Group insurance.

I was talking to this agent and he previously advised me to drop it because he said "Group" Insurance means that the payout is not guaranteed because the insurer needs to spread it out across all clients, so in the event of a mass payout, the insurer may not be able to pay me, I was a bit confused because I thought this is a problem that all insurance companies may face, even though it is unlikely.

I am asking cause I am not sure if this agent is reliable because when I asked him if the GE Wealth Multiplier is "guaranteed issue" (I read online that it is), he didn't know what I mean.

There are actually a wealth of information and many things have been discussed before.
1. Aviva Mindef Group Insurance premium is very competitive but like any other Group Insurance
- You are not the policy owner. This means you cannot do nomination.
- It is yearly renewable. This means the premium and T&C can change at each renewal.
- There are claims limit - e.g. if there are multiple death claims in a single event, then a limit will apply.
2. By right most agent should know what guaranteed issuance mean. Generally, for insurance policies where the insurance element is negligible (e.g. the basic sum assured amount is 101% or 105% of premium), then these type of policies are typically guaranteed issuance.

 

[soneat]

Hi Winthony,

Thanks so much for your reply.
The reason why I am a bit reluctant to take up any more new policies is because doing so, if I need to declare my mental health treatment in the past, even if I make claims for my old policies for issues related to accident and disability, I am afraid that to avoid paying the payout, GE might find evidence in their interests.

Generally, for conditions developed after the policy is issued, the insurance company will have to honour the claim. Take note there is usually a indisputability clause in the policies which says that as long as the policy remains in force, the insurer cannot contest/dispute the validity of the policy and/or the claims , 1 (or 2) years after policy inception, unless fraud is involved. For the exact T&Cs, you got to check the wording in your policies.

 

[soneat]

Hi everybody,

I need some advice.

I have the following policies from GE Life:
DEPENDANTS' PROTECTION SCHEME (bought in 2009)
GREAT TotalCare (ELITE-P) (bought in 2010)
GREAT SupremeHealth P PLUS (bought in 2009)

Actually, i am very blur, but around 2014, I went to see a doctor for mental stress and was prescribed medication. But it was a small matter, no big deal. May i check, am I obliged to update my insurer? I have NOT done any upgrades since then, nor made any new purchases.

But I am thinking of buying into the GREAT Wealth Multiplier: https://www.greateasternlife.com/co...ltiplier/great-wealth-multiplier-brochure.pdf

I am kind of worried: that if I need to declare any condition, it will affect the coverage that I previously bought in 2009 and 2010.

Short answer is it should not affect the policies you bought in 2009 and 2010, unless GE can prove fraud (e.g. fake health declaration was provided at point of application) is involved.

 

[CrashWire]

I was talking to this agent and he previously advised me to drop it because he said "Group" Insurance means that the payout is not guaranteed because the insurer needs to spread it out across all clients, so in the event of a mass payout, the insurer may not be able to pay me, I was a bit confused because I thought this is a problem that all insurance companies may face, even though it is unlikely.

The limitations only apply in the events of war or terrorism, to 0.75% of the total coverage (e.g. if 1,000 people bought the insurance for $100k coverage, for a total of $100mil coverage, Aviva's liability for that event will be limited to $750k. If only 10 people died from the event, the estate of these dead people might still get $75k each).

I'm not sure if Aviva then applies the limit proportionately, or equally. That's actually something I should find out.

Mass payout, for example a plane crash.

A plane crash might be terrorism, or might not be.

 

[terriblee]

Any thoughts on Prulife Active Plus vs Prulife Active Multiplier Flex?

 

[boredboiboi]

Any thoughts on Prulife Active Plus vs Prulife Active Multiplier Flex?

What tots do u wan? Ur question very general. There are similar plan from different insurers. In terms of premium they are in the middle, there are many cheaper options available.

 

[BBCWatcher]

Consider also what group this is: MINDEF/MHA. While there's no explicit guarantee, does anyone really think the government wouldn't step in and protect this group in the unlikely event Aviva won't?

The MINDEF/MHA group term life insurance is a very good offer. If you qualify for that group policy and need term life insurance, I wouldn't hesitate to buy it.

Also, check other term life insurance policies: do they completely exclude war and terrorism?

 

[terriblee]

What tots do u wan? Ur question very general. There are similar plan from different insurers. In terms of premium they are in the middle, there are many cheaper options available.

In terms of coverage, yield and ease of claim (touch wood) because promoter told me prudential funds perform the best compared to other insurers

 

[boredboiboi]

In terms of coverage, yield and ease of claim (touch wood) because promoter told me prudential funds perform the best compared to other insurers

u r looking for protection or yield? Not that i know of pru is the best. Obviously oversell. Returns number might look higher because upfront already pay higher premium. Their wholelife plan is not highest but 1 of the highest in the market for premium, definitely not the cheapest. Claim wise, as long as it fits the definition, i dont see any issue no it as long as u fully declare ur conditions.

 

[terriblee]

u r looking for protection or yield? Not that i know of pru is the best. Obviously oversell. Returns number might look higher because upfront already pay higher premium. Their wholelife plan is not highest but 1 of the highest in the market for premium, definitely not the cheapest. Claim wise, as long as it fits the definition, i dont see any issue no it as long as u fully declare ur conditions.

Thanks, anywhere to see comparison across the various options?

 

[soneat]

Thanks, anywhere to see comparison across the various options?

CompareFirst

 

[terriblee]

CompareFirst

Thanks!

 

[boredboiboi]

Thanks, anywhere to see comparison across the various options?

Or quote individually which i can

 

[xtwis7]

Consider also what group this is: MINDEF/MHA. While there's no explicit guarantee, does anyone really think the government wouldn't step in and protect this group in the unlikely event Aviva won't?

The MINDEF/MHA group term life insurance is a very good offer. If you qualify for that group policy and need term life insurance, I wouldn't hesitate to buy it.

Also, check other term life insurance policies: do they completely exclude war and terrorism?

I believe that MINDEF/MHA group insurance was a huge bargaining chip for the civil service to negotiate with Aviva and they clearly also needed some market share badly. I personally don't think that the Govt will intervene if there's any mass events that would trigger a large scale payouts.

That's just my own thoughts. Nobody knows what would happen so I definitely agree the group term is so affordable that it doesn't make sense to not get it, don't just solely rely on this.

 

[BBCWatcher]

I disagree. You can buy $1 million of term life coverage through the group plan. I wouldn’t hesitate to buy all $1 million in this way if you even need that much. It’s a perfectly fine policy.

By the way, I just checked one popular carrier’s direct purchase term life insurance exclusions. For the TPD rider they exclude war completely. It’s really quite ridiculous to criticize a policy that caps war-related claims versus a policy that completely excludes war-related claims.

 

[soneat]

I disagree. You can buy $1 million of term life coverage through the group plan. I wouldn’t hesitate to buy all $1 million in this way if you even need that much. It’s a perfectly fine policy.

By the way, I just checked one popular carrier’s direct purchase term life insurance exclusions. For the TPD rider they exclude war completely. It’s really quite ridiculous to criticize a policy that caps war-related claims versus a policy that completely excludes war-related claims.

I know which insurer u r referring to. Their T&Cs r usually different from others. Consumers should also make an effort to scrutinise the T&Cs because the wordings across insurers can be quite different.