Need some advice for PRUflexicash

[Shion]

Your guess is as good as mine. The Insurance Agent told me about all these Maturity Bonus if I saved till my endowment plan matures. And I am being covered at the same time.

I applied for the Crisis Waiver III and Early Stage Crisis Waiver plans together with the PruFlexiCash.

Regards.

A total gone case I can sense here...

I think that agent misrepresented this product to you...

It is not an investment tool, and it is not a solely savings plan. It is a savings + high protection (which is a redundant portion in my opinion).

 

[Darkzi0n]

Misrepresentation is a strong term.

Selling ILP as risk free saving plan is misrepresentation. But selling something not well suited for TS while providing accurate information is not (tho we can't tell since TS did not mention wat he told the agent and how his agent phrase it).

 

[Putatives]

Misrepresentation is a strong term.

Selling ILP as risk free saving plan is misrepresentation. But selling something not well suited for TS while providing accurate information is not (tho we can't tell since TS did not mention wat he told the agent and how his agent phrase it).

Hi, this agent works on a recommendation basis. He met me since my friend recommended me to him.

I told him I wanted a savings plans at first. I told him about my DBS Savings Plus Account then he told me how it is accumulating less interest compared to this PruFlexiCash he is recommending. He did bring up on the Cashback withdrawals. But I assured him I won't be taking out this Cashback. So he said something about how I will earn more if I let my cash mature using this said plan.

Regards.

 

[wahkao3]

A total gone case I can sense here...

I think that agent misrepresented this product to you...

It is not an investment tool, and it is not a solely savings plan. It is a savings + high protection (which is a redundant portion in my opinion).

i think some agents do not misrepresent.
they simply ommit better alternatives

 

[Putatives]

A total gone case I can sense here...

I think that agent misrepresented this product to you...

It is not an investment tool, and it is not a solely savings plan. It is a savings + high protection (which is a redundant portion in my opinion).

Thanks for your feedback. I have the Aviva SAF Group Insurance Scheme
Coverage of $100,000 @ $12.80/Month. This was taken during my NS days.
I wonder if it is good for me to upgrade this plan or use another one?

Plus I have the DPS NTUC INCOME, Sum assured $46,000 @ $36.00/Year
[ No idea how I got this ]

Regards.

 

[Putatives]

I read that the

Early Stage Crisis Waiver waives the premium payments for a fixed period upon diagnosis of early or intermediate stage medical conditions, so that you can concentrate on your treatment.

Crisis Waiver III waives the remaining premium payments upon diagnosis of any one of the 35 listed Critical Illnesses and ensures that your financial plan remains in place.

Ok heres my question if the sum assured for both Waivers are $300+
If I were to be diagnose with an illness be it early or later. Does that mean the $300 will be payed for my monthly premiums?

Regards.

 

[Asphodeli]

This is my first plan I bought. [ Age : 25 ]. I've been reading the forums and all the bad comments this bond has. But that's because the Insured usually withdraw their yearly cashbacks.

But for my case, I am never going to withdraw the cashbacks.
So I was wondering if the plan I bought is good not taking consideration in investments and bonds.

Regards.

#1 this isn't a bond. you're investing into a low-risk fund with Prudential's investment arm, at the same time paying for a term insurance plan

#2 if you're good at saving $, then this is probably not worth the money. just take cashback every year after the first 3 years, assuming you have no insurance policies to begin with.

#3 higher return means higher risk. no way to run from it. if you want more returns, then you have to look at the stock market. alternatively, you can take up the singapore savings bonds for low returns and low risk. avoid ILPs and unit trusts.

 

[pcmdan]

Hi, let me put in a way I could visualize what you are saying.

Premiums paid for a month = $311.58
Premiums paid in a year = $3,738.96 [ Y ] [ My risk premium ]
Premiums paid for 25 years = $7,789.5 [ X ]

Regards.

I think you get it wrong

X = Total premium paid for 25 years = 311.58 * 12 * 25 = $93,474
Z = What the policy guarantee sum assured on the day it matures (it will be written somewhere in the policy (go find it)

Y = X - Z

Y is the premium that you pay on the risk.

Forgot to add, since if I am not wrong, without your crisis and those useless riders, the insurance portion only covers death. Why bother let them cheat your $$ for high protection when it isnt any protection. You better off spending the $$ to buy a true insurance solely for coverage. You will get much better sum assured, I can guarantee that.

 

[pcmdan]

#1 this isn't a bond. you're investing into a low-risk fund with Prudential's investment arm, at the same time paying for a term insurance plan

#2 if you're good at saving $, then this is probably not worth the money. just take cashback every year after the first 3 years, assuming you have no insurance policies to begin with.

#3 higher return means higher risk. no way to run from it. if you want more returns, then you have to look at the stock market. alternatively, you can take up the singapore savings bonds for low returns and low risk. avoid ILPs and unit trusts.

i think what TS wants is, higher return than what banks are offering with 0 risk and no frills.

STI ETF might be too much for him to bear

Stock is definitely a NO-NO

Non- govt bond, is also a NO-NO

Unit Trust and Funds are out since they are also subjected to price risk

SIngapore SGS Bonds will be the BEST choice. 0 rIsk, with higher return. The only risk you face is, Govt go bankrupt, which is almost unlikely. i think insurance companies close down, Singapore Govt also haven. At least for the next 25 years

 

[Shion]

Misrepresentation is a strong term.

Selling ILP as risk free saving plan is misrepresentation. But selling something not well suited for TS while providing accurate information is not (tho we can't tell since TS did not mention wat he told the agent and how his agent phrase it).

When dealing with a certain type of agents, it is a suitable term to use

i think some agents do not misrepresent.
they simply ommit better alternatives

Hmm...You might be correct on this. My bad.

 

[Shion]

Thanks for your feedback. I have the Aviva SAF Group Insurance Scheme
Coverage of $100,000 @ $12.80/Month. This was taken during my NS days.
I wonder if it is good for me to upgrade this plan or use another one?

Plus I have the DPS NTUC INCOME, Sum assured $46,000 @ $36.00/Year
[ No idea how I got this ]

Regards.

Can't advise further on this as we do not know any details to calculate the exact figures of coverage at your current stage.

Forgot to add, since if I am not wrong, without your crisis and those useless riders, the insurance portion only covers death. Why bother let them cheat your $$ for high protection when it isnt any protection. You better off spending the $$ to buy a true insurance solely for coverage. You will get much better sum assured, I can guarantee that.

Death, disability and TI (not CI)

A term insurance will beat this one in terms of coverage and the price.

 

[pcmdan]

i think some agents do not misrepresent.
they simply ommit better alternatives

haha totally agree with you. I met many insurance agents, end up I am the one who tell them that there are better products out there in the market.

Either they simply omit OR, they do not even know. Some, they bought the plans themselves, until i told them of a better alternatives, they stunned haha

* I even break down the cost to let them know that, if you use the same amount of $$, you can get better returns and higher coverage than your ONE SIZE "FITS" all package.

 

[Asphodeli]

i think what TS wants is, higher return with 0 risk.

STI ETF might be too much for him to bear

Stock is definitely a NO-NO

Non- govt bond, is also a NO-NO

Unit Trust and Funds are out since they are also subjected to price risk

SIngapore SGS Bonds will be the BEST choice. 0 rIsk, with higher return. The only risk you face is, Govt go bankrupt, which is almost unlikely. i think insurance companies close down, Singapore Govt also haven. At least for the next 25 years

Oh god, if i got $1 for everytime someone thinks of it this way. There is no such thing as 0 risk, high returns. If someone is promising you that, they're selling snake oil from Waterloo Street.

Yeah SGS or SSB bonds is a better choice.

 

[Putatives]

#1 this isn't a bond. you're investing into a low-risk fund with Prudential's investment arm, at the same time paying for a term insurance plan

#2 if you're good at saving $, then this is probably not worth the money. just take cashback every year after the first 3 years, assuming you have no insurance policies to begin with.

#3 higher return means higher risk. no way to run from it. if you want more returns, then you have to look at the stock market. alternatively, you can take up the singapore savings bonds for low returns and low risk. avoid ILPs and unit trusts.

Thanks for your feedback, I might take a look at Singapore Savings Bonds, I just need somewhere to park my cash and let it accumulate interest much better than a bank and without any highrisk.

Regards.

 

[pcmdan]

Thanks for your feedback. I have the Aviva SAF Group Insurance Scheme
Coverage of $100,000 @ $12.80/Month. This was taken during my NS days.
I wonder if it is good for me to upgrade this plan or use another one?

Plus I have the DPS NTUC INCOME, Sum assured $46,000 @ $36.00/Year
[ No idea how I got this ]

Regards.

IMO, SAF Aviva is worth to keep. Of course my opinion might not worth anything also haha.

DPS NTUC, all CPF members will automatically be enrolled. Is only $36, and is deducted from your CPF, just put it lah. Think about is $36/year after 40 years how much only (though I know the premium will increase with age, but i think $46k is still better than what u paid).

Anyway DPS, is for your kins. When you "move on to another place", they can use the money to give u a grand funeral, thats what I told my friends haha

34 and below $36
35-39 $48
40-44 $84
45-49 $144
50-54 $228
55-59 $260

Total add up, I doubt got $46k

Just treat it as a term insurance that covers u till 60.

 

[pcmdan]

Oh god, if i got $1 for everytime someone thinks of it this way. There is no such thing as 0 risk, high returns. If someone is promising you that, they're selling snake oil from Waterloo Street.

Yeah SGS or SSB bonds is a better choice.

Yes, i agree. When I use 0, it means remote. Sorry to say, high is a definition of yours. Getting 2+% from SGS bonds, to me is considered as 0 risk. In my definition it is 0 risk with high returns. The risk free rate is almost negligible.

Up to you to have your own definition. I wont argue.

 

[Shion]

34 and below $36 --> $504
35-39 $48 --> $240
40-44 $84 --> $420
45-49 $144 --> $720
50-54 $228 --> $1140
55-59 $260 --> $1300

Total add up, I doubt got $46k

Just treat it as a term insurance that covers u till 60.

I think can opt out, but kind of pointless if you do so.

 

[Asphodeli]

Yes, i agree. When I use 0, it means remote. Sorry to say, high is a definition of yours. Getting 2+% from SGS bonds, to me is considered as 0 risk. In my definition it is 0 risk with high returns. The risk free rate is almost negligible.

Up to you to have your own definition. I wont argue.

Yes the thing about risk is, it is subjective. What's low to one person could be high, and what's moderate to another is considered low.

 

[pcmdan]

I think can opt out, but kind of pointless if you do so.

Dont need think, I help you confirm. You can. haha

 

[pcmdan]

Yes the thing about risk is, it is subjective. What's low to one person could be high, and what's moderate to another is considered low.

Yes I agree, is subjective. But u using the example of Waterloo snake medicine, i think is an over statement.

Nevertheless, you get the gist can already.

Like i said a few times, I provide alternatives. eg. SGS bonds. I dont purely say look for 0 risk high returns product in the market.