PRUDENTIAL SAVINGS SAGA

[Perisher]

The one page is very vague, I wonder if there's a full tnc document accompanying the plan

Yup. Very. Actually, he provided a few page. But the full tnc should be available by prudential themselves.

 

[maruikun]

In short, stay away from insurance companies if you plan to save or invest. Only buy non--participating policies from them.

20 or 25 years later, new stories, new shocks and new saga will emerge.

I concur with this statement. My in-law got back her endowment returns after 20 years and it was way below the projected returns. Her only comment is pathetic returns for 20 years. The main issue with such policy is most agents will paint a rosy picture on those projected returns to mislead the uninformed. Of cos this is already hindsight but there are many people out there who realize this hard truth after their policy matured. It's always easy to put the blame on the black sheep agent or consumer's due diligence part but the company is not at fault.

She is lucky her policy managed to breakeven. If not my wife will be the next one to start another Facebook post on this issue.

 

[doody_]

If no black and white, then no saga la... don't tell me in the 90s SG was fishing village and nobody know how to draft legal contracts

 

[windwaver]

https://www.facebook.com/permalink.php?story_fbid=10212257868059052&id=1148565824&pnref=story

This is only a tiny fraction of what is posted, a lot of baby boomers don't even know what internet is.

Same thing goes for medishield except insurance companies can just keep raising premiums irregardless of how much premium baby boomers have paid that turn many agents into MDRTs.

 

[akwl88]

I concur with this statement. My in-law got back her endowment returns after 20 years and it was way below the projected returns. Her only comment is pathetic returns for 20 years. The main issue with such policy is most agents will paint a rosy picture on those projected returns to mislead the uninformed. Of cos this is already hindsight but there are many people out there who realize this hard truth after their policy matured. It's always easy to put the blame on the black sheep agent or consumer's due diligence part but the company is not at fault.

She is lucky her policy managed to breakeven. If not my wife will be the next one to start another Facebook post on this issue.

yup so rmb to spread awareness so pple wont fall into this trap

 

[akwl88]

This is only a tiny fraction of what is posted, a lot of baby boomers don't even know what internet is.

Same thing goes for medishield except insurance companies can just keep raising premiums irregardless of how much premium baby boomers have paid that turn many agents into MDRTs.

so much money wasted on these agents

 

[koja6049]

Yup. Very. Actually, he provided a few page. But the full tnc should be available by prudential themselves.

I thought that when one signs up for a plan, one has to sign against each page of the tnc to prove that the buyer actually reads all the tnc. So they should have a copy of the full tnc too?

Not sure how it works since i never bought any insurance plans. But that is what happened when I signed my employment contract

 

[nautilus]

I thought that when one signs up for a plan, one has to sign against each page of the tnc to prove that the buyer actually reads all the tnc. So they should have a copy of the full tnc too?

Not sure how it works since i never bought any insurance plans. But that is what happened when I signed my employment contract

The Tncs are meant to be complicated and not easily understood by laymen. I'm sure if the agent bothers to go through the details line by line, he would probably lose the deal and the buyer will fall asleep.

 

[koja6049]

The Tncs are meant to be complicated and not easily understood by laymen. I'm sure if the agent bothers to go through the details line by line, he would probably lose the deal and the buyer will fall asleep.

but if you don't sign, the whole legal contract is void

 

[lifeishard]

Insurance can buy la. Either buy term, life par or single premium tranche that spans between 3-5 yrs type.

Do not ever buy a par endowment. Buy a life par and withdraw bonus at end of 20 yrs if you need a lump sum. And only from selected few companies for par life insurance.

Term and single premium tranche product you see which company is cheapest or gives highest guaranteed returns.

 

[Lewis.T]

So you admit, people buy for capital preservation and projected growth now?
Do you see the point now?

And here you are, promoting what give more than projected etc etc... whatever happens to people buy for capital preservation?

You are just contradicting yourself.
Know your clients well.
They want capital preservation with growth, that's the only reason they park their $$ in these savings/endowment/ilp plans over decades.

For pure capital preservation, fixed deposit will do. Why must they do $100/month fixed deposit? To follow a plan that fail like that one in TS's post?

I understand it's not your 20 year so you can defend it like you do now as an agent. If this happens to you when you were expecting it to be 42k, then I see if you can still come here and defend it.

Anyway, now they have such plans, $500/month in SSB. So would you ask your company to stop those savings/endowment/ilp?

It's not captain hindsight, even for the past few years I'm here, I have never promoted buying any such savings/endowment/ilps from insurance companies.

That has always been the case. You think it's captain hindsight because you think I'm only here to dissuade people from buying such policy now? Now that the policy has turn sour?

Giving more than projected IS part of the growth. TF you talking about man? Read my post and comprehend again please.

Layman terms, capital guaranteed = preservation
Projected/bonuses/additional bonuses = growth

Is there something wrong with what I said?

Or you mean they want both capital guaranteed and growth? It happens most of the time, just not in this particular scenario. If it didn't happen most of the time insurers will go bust already.

 

[havetheveryfun]

I thought that when one signs up for a plan, one has to sign against each page of the tnc to prove that the buyer actually reads all the tnc. So they should have a copy of the full tnc too?

Not sure how it works since i never bought any insurance plans. But that is what happened when I signed my employment contract

the TnC for insurance or endowment policies from insurance companies is so long... over 10++ pages (double pages) and the wordings so small... who in the right mind will read finish everything.. naturally will just trust what the agent says

 

[havetheveryfun]

And you do? K.

Not everybody is hard up over returns, some people are more afraid of losing money than potential returns, this is where different capital guaranteed plans may come into play if they're looking at longer term.

is there even a plan that guarantees 100% of capital even if 0% returns ? if so, please do kindly point us to it..

as in lets say returns are not guaranteed, but at least I can get back 100% of what I put in ? Is there even such a plan?

 

[havetheveryfun]

I didn't know you can do $100/mth fixed deposits. Want to argue also take a look at the timeline of events please.

ur $100/mth fixed deposits is a useless argument because if ever they need the money urgently and wants to take it out before 20 years, they definitely get back A LOT lesser than their capital, while for fixed deposits they only forfeit any interest they might have gotten but still able to get back their original capital

 

[Lewis.T]

ur $100/mth fixed deposits is a useless argument because if ever they need the money urgently and wants to take it out before 20 years, they definitely get back A LOT lesser than their capital, while for fixed deposits they only forfeit any interest they might have gotten but still able to get back their original capital

Yeah so cannot compare? Then why so many comparisons made?

Can compare or not?

 

[Lewis.T]

is there even a plan that guarantees 100% of capital even if 0% returns ? if so, please do kindly point us to it..

as in lets say returns are not guaranteed, but at least I can get back 100% of what I put in ? Is there even such a plan?

Sure there is, all companies have them. Look up pruwealth for example.

Edit: Anyway, I understand that alternative info and discussions is shot down per fas et nefas in this forum. Let me join in the fun from now on, helps me enjoy the forum more when I've usually been putting up points and facts from the insurance side of the picture.

 

[limster]

Based on the threads that have appeared (a lot of useful information on policies, need someone to create a blog to archive all the info), it appears that there are many products that won't break even after 20 years assuming 4% growth of the participating fund.

I find that sad, because in the past, there were decent products that broke even after 7-10 years (google NTUC Living Policy if you want...)

In comparison, if you invest in a conservative mix of equities and bonds which gives a return of 4% p.a. after 20 years, you basically double your money.

 

[akwl88]

Sure there is, all companies have them. Look up pruwealth for example.

Edit: Anyway, I understand that alternative info and discussions is shot down per fas et nefas in this forum. Let me join in the fun from now on, helps me enjoy the forum more when I've usually been putting up points and facts from the insurance side of the picture.

I see pruwealth website says capital guranteed after the 20th year and this is provided there has not been any policy alterations such as partial surrender since inception.

Chiu conveniently left this info out?

 

[Lewis.T]

I see pruwealth website says capital guranteed after the 20th year and this is provided there has not been any policy alterations such as partial surrender since inception.

Chiu conveniently left this info out?

What's wrong with that info?

A capital guarantee product means that when an investor buys, or "enters", this specific structured product he is guaranteed to get back at maturity a part or the totality of the money he invested on day one. Examples of capital guarantees include bond plus option, usually bond plus call, and constant proportion portfolio insurance.

I mean.. kumgong Prudential don't even know what I want is to surrender my policy anytime at my convenience and get back everything I paid, I also want interest in the meantime. Oh ya I want coverage also, minimal can liao but must be more than I put in.

 

[Z_Dash]

No wonder so many flooding into insurance agent.

Whatever they sell.......10yrs down the road 98% won't be there to be responsible for what they said.

So much for paying these financial con artist....