Should I Buy Medical Insurance

Should I buy medical insurance when I’m already covered by my  employer? This is a common question I get and I understand why you might  ask it.

There are 2 things on your mind. First, should I pay my own money for  something I might not need until I retire and secondly, should I depend  on the company cover? These are 2 main consideration.

Working as an employee have its good points and one of the perks is  that you get group medical insurance. Employers provides such cover to  retain staff, to attract talent and to avoid paying medical bills out of  their own pocket.

Even so, I firmly recommend my customers to have some form of  individual medical insurance because:-

   
• employers can and will change the medical insurance benefits they  give to you. Normally it is done without your knowledge until you need  to make a claim
   
• insurance companies change their terms (the fine print) without you  or even your employers knowledge
   
• your past medical history automatically excludes you. In big  organizations, you don’t even fill up any form. Unless your company is  buying a big policy on you (usually for top management staff only). At  the point of making a claim, some insurance will point to a pre-existing  illness and you can’t make any claim
   
• your employer or your spouse’s stops offering insurance for you or  your family
   
• you might suffer a critical illness like cancer or stroke, and the  amount provided by your employer is not sufficient

Having you own medical insurance means you are in control and have a  backup cover. Besides that, here are some situations which you might end  up needing to seek affordable individual medical insurance:

   
• you lose (or quit) your job
   
• you have insurance through your spouse, and they lose or quit their  job
   
• you change jobs, and your new employer has a waiting period before  you become eligible for coverage
   
• you decided to retire early

These are some reason you should think about when you ask yourself  “Should I buy medical insurance”

36 Critical illnesses – Crisis Cover

What is Crisis  Cover?

Event when  you are diagnosed as suffering from one of a range of 36 critical  illnesses and and survive for 30 days. Prudential will compensate you  with certain amount based on your premiums. For example, minimum  RM20,000

What are  the 36 illnesses are covered by the Crisis Cover plans?

   
1. AIDS as  a result of a blood transfusion
   
2. Alzheimer's Disease
   
3. Aorta Surgery
   
4. APALLIC Syndrome
   
5. Aplastic Anaemia
   
6. Bacterial Meningitis
   
7. Benign Brain Tumour
   
8. Blindness
   
9. Brain Surgery
   
10. Cancer
   
11. Chronic Liver Disease
   
12. Chronic Lung Disease
   
13. Coma
   
14. Coronary Artery Disease Requiring  Surgery
   
15. Deafness
   
16. Encephalitis
   
17. Full Blown AIDS
   
18. Fulminant Viral Hepatitis
   
19. Heart Attack
   
20. Heart Valve Replacement or Repair
   
21. Kidney Failure
   
22. Loss of Limbs
   
23. Loss of Speech
   
24. Major Organ Transplant
   
25. Major Burns
   
26. Major Head Trauma
   
27. Motor Neurone Disease
   
28. Multiple Sclerosis
   
29. Muscular Dystrophy
   
30. Other Serious Coronary Artery Disease
   
31. Paralysis
   
32. Parkinson's Disease
   
33. Poliomyelitis
   
34. Primary Pulmonary Arterial  Hypertension
   
35. Stroke
   
36. Terminal Illness

Crisis  Shield / Crisis Cover is the plan you must have in your Life  Insurance, please make sure you know how much your benefits if you are  diagnosed with 36 critical illnesses.

What is Life Insurance - Newbie’s

We start we definition of Life Insurance

Life Insurance

Life insurance is an insurance coverage that pays out a certain amount of money to the insured or their specified beneficiaries upon a certain event such as death of the individual who is insured

Basic coverage for all type Life Insurance

1. Sum Assured
2. Coverage for Critical Illness

How many types of Life Insurance available?

Basic type's policies are

   
• Term insurance - This offers insurance protection for a limited period only whereby the money is paid up if you pass away or if you suffer total and permanent disability.

   
• Whole life insurance - Life-long protection and premiums are paid throughout your life and the money including any bonuses will be paid when you pass away or suffer total and permanent disability.

   
• Endowment - A combination of protection and savings whereby the money will be paid at the end of a specific period upon your demise or if you suffer total and permanent disability.

   
• Investment-linked - For investment-linked insurance, your premium is used to buy life insurance protection and units in a fund managed by the life insurance company. The benefits paid to you or your nominee will depend on the price of the units at the time you surrender your policy or when you pass away.

   
• Life annuity plan - Series of payments paid to you until you pass away. Types of annuity include immediate annuity or deferred annuity.

   
• Supplementary rider/cover - A rider is a supplement attached to the basic insurance plan such as endowment or whole life.

   
• Mortgage reducing term assurance (MRTA) - An insurance protection plan that covers the repayment of an outstanding property loan to the financial institution in the event of untimely death, disability or critical illness of the borrower.