I passed by a shop in Toa Payoh. They were playing a recorded advertisement, announcing that the shop is closing down and they have to sell the products at a low price. I looked at the price labels and found that they were actually charging more than other shops. This is false advertising and amounts to cheating.
There is a similar situation with financial products sold by agents. The agents are able to make mis-representation on the products that are not backed by the printed materials. The printed materials are quite confusing, so the buyer needs an agent to explain the product. The agent has the opportunity to make a mis-representation and get away with it.
Many types of high cost, poor value financial products are sold in this way. You should avoid these products.
For the neighbourhood shops, the comparison of prices can be easy and fast, bcos most of them are near each other and selling almost similar things. Hence never buy straightaway at the first shop you visit if you want the best price.
ReplyDeleteBut not so fast and easy with insurance. Even with written assurance, it can be broken years later and by big reputable companies. It has happened before. Which ordinary Joe dare or can afford to take legal action, even if his case is strong? Sad.
I can't agree more.
ReplyDeleteThe other day I went to Income centre to pay my premiums and I saw their vision statement flashing. I cringed at every sentence as I feel that every statement is untrue. For example, they talk about "Peace of Mind" but that is no longer what I feel with Income. Nowadays, many businesses shamelessly put up false statements and fronts blatantly and treat customers as fools. Those shops in Toa Payoh saying they are closing down and last day sales, you go next week and they will still be there and having another sale.
ReplyDeleteLife is like that. Sigh :|
ReplyDeleteAn 'association of life policyholders'(ALP) is much needed to tackle this menacing problems.
ReplyDeleteThe roles of this ALP is
1. educate consumers on insurance
and investment.
2. to help review their policies to check for inappropriate products and mis-selling and
misrepresentation
3.to help institute legal actions and redress against insurers and agents
I am wondering how many consumers have been cheated and how many do not know of their rights.This association can provide the education to create the awareness.
FAA-N03 "Notice on Disclosure on Information to Clients and Product Information Disclosure" A contravention of any requirement specified in a Notice constitutes a breach of section 58(1) of the Financial Advisers Act ["FAA"].
ReplyDelete(that includes commission)
This guideline has been blatantly and unabashedly committed with impunity by insurance agents since its implementation 2001. Were there any agents hauled up for breaching this notice? Cannot be , right? Don't tell me the agents have been compliant and MAS saw no breaches despite there were so many complaints against them.
Is MAS serious about putting things right or is just another 'wayang'. Or is MAS pro the financial institutions or just paying lip service..I cannot see how compliance is effective if there is no enforcement mechanism in place.
The insurers are left to do whatever they like, with products and with sales people.Don't kid us.
Don't pull the wool over our eyes.
The Cedli reports and recommendations were for show and they are been broken daily by both insurers and the insurance agents.
What advisory? The insurance agents are pushing and trafficking the products at the expense of the consumers using deceit and misrepresentation to hoodwink the customers. The insurers and the agents are in cahoot to fleece the consumers. There is NO protection for the consumers.
The guidelines and notices issued are sham. If MAS is real serious,it is time to tighten the screw hard , once and for all, and now before more damages are done, before more consumers are under insured and more retirees' retirement screwed up by these unethical and unscrupulous insurance salesmen and women.
There is no better time than NOW to clean up the industry of malpractitioners, imcompetent and unethical agents. The other industries need local 'talents';from the public toilets
to fastfood outlets and security.
False advertising is already a way of life for most institutions. Even great political leaders, "very holy religious leaders", innocent looking ministers etc made false advertising to draw in the crowd and to gain acceptance.
ReplyDeleteSo there will be victims and victors and this damn shity activities of misleading others will continue to be like this till doomsday.
is nothing new.