Thursday, June 28, 2007

Insurance for My Baby

Last week, I was approached by a friend who work as an insurance agent and recommended me a new insurance policy for my baby and myself. Most of you who know me as a self-employed for the pass 6 months. 0 Income + Many Expenses. She proposed to me about the new insurnce policy of their company offered for my new born baby and myself. I don't like to promote this but this policy seems worth to share here with all of you. (I'm not their agent, repeat!!!)

As a self-employed, you'll realised that you don't have fixed income monthly, no EPF (Employee Provisional Fund)contribute by you or your employer. (Obviously you will loss out the retirement benefit in the long run)

The policy is very simple. You are require to pay a premium every month ranging from RM300, RM600, RM900 or RM1,200 for 10 years. That's it. No catch!!

The benefit from the Insurance Policy are:

1. During the 10 years any accident fall on you, no need to pay premium but still entitle the benefit there on. (Touch wood!! Indeed, good protection as the insurance company will insured the payer for life and disability once you sign up.)

2. You could withdraw the money you invested from year 11 onwards until the age of 86.

3. If you want to withdraw in a later date the amount will be higher because the Insurance company will compound your interest and principal every year. (This will be very lucrative.)

4. As a self-employed individual, take this opportunity to save money like you're contributing to the EPF. (Rate offer 7.5% pa higher than EPF 4.5% pa). Advise to pro-blogger.

5. Comparable investment on this policy is better than invest in property. Instalment for property at least 20 to 30 years. This Insurance Policy maximum 10 years.

6. Insurance policy secured return, rental unsecure.

7. Insurance policy no need renovation cost, buy new property you need to incured renovation before rent out. (When you sell your property, renovation always not taken into account.)

8. No maintenance fee for insurance policy but property YES.

9. Property you need to wait for appreciation however, we hardly enjoy the appreciation of property price because the bank BLR (Base Lending Rate) fluctuate based on the appreciation of the property. You just save for staying for FREE in the property you belong.

10. Tax deduction for Insurance premium from 50% up to 100%. Property No!!

11. Many more to explain from there on.

Think again if you want to invest your money smartly in the future. I principally agreed that the scheme of this insurance is very attractive but back then, we must evaluate our financial status which allow us to invest or not.

If you want to know more about the policy, I can be your first agent!!! Ha Ha Ha!!!
Just kidding, if you want to know more about the policy I'll introduce my friend to you. I'm not the the hard-core insurance agent out there on the street. LOL!!!

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