This article contains some tips on how consumers can approach critical illness insurance. Consumers should pay a small premium to cover the small risk of critical illness at the young ages and invest the savings in a low cost fund. The accumulated savings after 20 or 30 years will be more than sufficient to pay for the cost of treatment or loss of income, if a critical illness occurs at an older age.
Can buy Safra or SAF insurance that can cover big at small premium. Isn't what insurance is all about? Insure against your risks and not making your insurance salesmen and their company rich. They don't care about you.
ReplyDeleteGood point. But to use own saving to pay for critical illness liabilities at old age will also be a strain. Sometimes, life event is not so straight forward.
ReplyDeleteallen
Allen, everybody keeps harping, especially the insurance salesmen, that you need a critical illness plan when you are old. It is true that at this age the probability is higher but how many can have adequate amount of coverage at this age.You have to decide which is more important, money to retire or CI just IN CASE one kenna CI. Is there a better alternative, eg H&S? or self insurance because you CI need not happen and if it doesn't happen having CI only makes the insurers happy because they receive larger premium revenue from the policy and your cash value depletes same time. I feel cash with a H$S is a more flexible in old age or unless you are very rich and cash value is not important.
ReplyDeleteHi Zhu Meng,
ReplyDeleteOk, i see your point. I agree from your point of view.
:))
allen