Tan Kin Lian's Blog: Trust

Monday, February 18, 2008

Trust

Where will you like to place your life time savings?

1. With a company that you can trust?
2. With a company that is professionally runned with the aim to make most profit?

If you buy a life insurance policy, you have incurred a large upfront cost. You are stuck with the policy for many years, usually with a poor return. A large part of the gain goes to pay the insurance agent who sells the policy to you, and to make profit for the insurance company.

Here are the tips for consumers:

1. Invest in a financial product that have low upfront cost, such as a unit trust
2. Buy your insurance protection separately, e.g. through a Term or accident insurance policy
3. If you buy an endowment or whole life policy, choose a company that operates on low cost and is worthy of your trust.

6 comments:

Anonymous said...: No wonder NTUC is churning out expensive products lately. It is no longer the company we knew under Mr. Tan. It is no longer a community oriented organisation. It has forgotten its social role. It has forgotten its roots. It is turning the table on their policyholders who supported it to what it is today. It is no longer the less privileged company.
It has now gone crazy. It is crazy about outside look with posh facade. It is crazy about image.
It is crazy about tittle for the agents who don't fit the tittle.It is crazy to be number one. It is crazy and crazy with exotic but misleading names for products. It has forgotten that their policyholders are the same lower income and low middle income.It is rolling out expensive products with high commission for agents.
As a result cost has shot up. To defray the cost, cut the return of the products. Look at revosave and vivolife the returns are miserable. You are better off keeping your money under your bed or buy a term.
Now thier quotations don't show the yield. Why? shy? no, lah, they are singing different tune. No more " best kept secret".The agents don't know how to use the financial calculator,
Now , is lifestyle,live life to the fullest; save for rainy day and spend on sunny day, what rubbish. Isn't this to confuse? No more best kept secret it is now resorting to ambiguity and meaningless words to beguile the unwary customers.The open secret is the product have low yield .Customers must wake up to realise the new motive of this so called cooperative with no more cooperative values. I know the only "cooperativeness" is the agents and management are cooperating to squeeze as much out of the loyal policyholders.; February 18, 2008 10:24 AM
Anonymous said...: I won't put my money with ntuc any more. i better diversify with other companies. I don't think ntuc is going in right direction. The new ceo is trying prove something and it will be at the expense of the policyholders.Look at the products it is promoting now. As a layman, i can see they are not value for money. Worse of the 2 is revosave. How on earth people buy. It is a lousy product from any angle and the company is spending ton of money to market it to make it look good.But the public are not stupid.
A highly marketed product is always a suspected product. And it is .
Trust is dangerous. Like many loyal
policyholders I didn't doubt ntuc
products until now.If we have continued to trust we would been badly burned by these new products. Fortunately, we realised on time. Thanks to Mr. Tan 's blog and Dr. Money's objective appraisal of the products especially revosave.; February 19, 2008 12:34 AM
hongjun said...: Just want to share with you all on the below interesting article.

The best 100 money tips ever!

Rule 17: It is time in the market and not timing the market that counts.

http://www.persfin.co.za/index.php?fArticleId=360377

Cheers
hongjun; February 19, 2008 1:32 AM
Anonymous said...: But what about those like myself who have bought the whole life policies under Tan Kin Lian's time. They were good value then. But what about now? Can they still be of good value or will the value erode?; February 21, 2008 6:40 PM
Anonymous said...: just wait and see whether the cooperative values have eroded. You can check and compare the new with your old whole life taken up during Mr.Tan's time.I tell you it is getting worse and worse.; February 21, 2008 11:41 PM
hongjun said...: Banks must protect their customers: MAS
http://www.todayonline.com/articles/238923.asp

More and more complaints?; February 23, 2008 12:42 PM