Tan Kin Lian's Blog: Prepared to lose the premiums paid

Monday, May 05, 2008

Prepared to lose the premiums paid

Dear Mr. Tan
I've few policies under NTUC Income which bought many years ago.

Recently in Jan 08, I bought another policy called "VIVOLIFE" for my child aged 12 believing that it provides good returns. Lately, I received a letter from NTUC Income announcing the change of bonuses. I did not fully understand the impact of the changes until reading your blog. I thank you for defending our rights.

I'm contemplating to cancel this new policy. I understand that I'll get nothing if the policy cancel during the 1st year. I'm prepared to lose it and will not support the NTUC in future if they proceed with their unfair policies.

REPLY
Thank for for telling me about this matter.

11 comments:

hongjun said...: Is this a prank to everyone? Can you imagine someone just put pen on paper and just a mere months later, they are notified bonuses are to be cut!

What joke is this! I bet NTUC Income will be losing much trust. Like what Mr Tan mentioned, do shop around and perhaps also take check out their history. Do they keep up their words and fulfill what is presented in their Benefit Illustration?

hongjun; May 05, 2008 10:21 PM
Anonymous said...: It is not too late to cancel. The loss is little. You may want to consider what Mr. Tan has taught all of us and take control of our finances. Buy term and invest the rest. Mr. ,don't listen to those useless agents who frighten you that you need whole life. Just look at Vivo life. If they truly and honestly believe in whole life coverage why is there an option to covert to annuity? Isn't it contradictory? This is a sham, insincerity and is dishonesty.
The truth is , very,vely very few keep beyond 65. Why? This is the time you need least although is the time when you are likely, but you don't care, right after 65, it could be 85?
You can check statistics from the life insurance association.
So don't let these greedy insurance agents beguile you.
Do your own investment, the return is higher and easily 6-8% .No worry about bonus cut. Risk is very much lower than this stupid rotten vivolife which returns less 3% after donkey years and yet they want to cut bonus.

Zhummmmmeng:o); May 05, 2008 10:44 PM
Anonymous said...: Lets get our facts verified.

I bought vivolife as well. I called the call centre and verified that vivolife is of a different bonus series and it is not affected by the bonus cut.

I think some of us here are blinded by the negative emotions of some people. I compared my vivolife policy to a similar policy bought by my friend from Company P. It is still of better value.; May 06, 2008 2:16 PM
Anonymous said...: Yes , it is comparing a bad with the worse, the bad will come out better.
It is not my business whether you bought vivolife and you found it is good against your own benchmark. Against personal perception and understanding? the insurance agent's lies? WHY DID YOU BUY VIVOLIFE? DID YOU NEED VIVOLIFE? The issue is that vivo life is a rotten product which shortchanges you in all areas.It is expensive. Don't think having many features mean good. It is insurer' idea that you cannot see through the cunning wrappings that hide the true value.You bought because of the wrappings?
I am not blinded. I analysed.
Let me ask you you. Did the agent check your needs first before whipping out the product.Who and who identified the product? What need? How did the agent know? How did you know?
I don't know how much you bought. Did you know how much you needed.
Did you buy 3-5 times your annual salary? If you did not,do you realise you are walking around with a time bomb?If you don't think so, you need not buy. Don't waste your money.; May 06, 2008 5:33 PM
Anonymous said...: Every product has its plus and minus points. Of cos Vivolife is more expensive compared to buying a pure term type that covers you for critical illnesses.

But people may buy it because you need only pay for 10 or 15 yrs. For the latter, you have to be committed all the way. Not everyone wants this kind of liability to continue till they are age 65.

The bulk of my insurance are in term products, and the difference invested. But I also hold Vivolife just to ensure I have some critical illness cover just in case I do not have the ability to maintain premiums all the way to 65.

People find different purposes in differnt products. I do not think there is a clear right or wrong about their choices.; May 06, 2008 11:11 PM
Anonymous said...: Remember to compare with the best, that is the benchmark.
Bank deposit or FD is not he benchmark but it is a bashing boy ntuc agents love to use for comparison. Of course they win but you lose. Ntuc agents practise what is called a ZERO SUM game,they win , you lose.; May 06, 2008 11:30 PM
Anonymous said...: How much you have? Vivolife does not prevent you from being afflicted. It is the claim proceed that cushions your financial needs. It means you must have enough to help ride over the critical years and NOT after 65.
With vivolife can you? You are wasting your money. When you stop paying the premium does it mean you stop paying? No, you are still paying the mortality charge which increase as you grow older.The worse is when you are 65.It is a bomb. Of course the agent won't tell you or he might not know even.
You need consult a qualified adviser and not any ho how agent.; May 07, 2008 12:16 AM
Anonymous said...: Do not unilaterally cancel your policies, because you are the only loser

Mr Tan ... I am disappointed that you have damaged the reputation, not only of NTUC Income, but also of the industry. As the ex-CEO, surely you know it is unfair to twist the facts and exaggerate / blow the issue out of proportion? You used to love the organisation you led ... now you are prepared to kill it? just because you are no longer the CEO???

sb; May 07, 2008 1:23 AM
Anonymous said...: sb, if you are NTUC Income agent, I am glad that I did not buy any insurance policies from you. Why? Because I will end up being a loser. You do not have my interest at heart.
NTUC Income's reputation could not be damaged by Mr Tan alone. You have better self-examined why you wrote in such unamiable manner; you should thoroughly searched your soul why you are an insurance agent.
Should NTUC Income's name be smeared, then you have to blame it on yourself. You did not handle the matter tenderly.
That's why you should cool down and help think of a solution to help your company and yourself rather than to say such unkind, unjustified remarks!; May 07, 2008 8:40 AM
Anonymous said...: I also cancelled one of my policies as well. I rather lose that bit of money than give them business. Only agents will tell you to keep the policies so that their commission won't be affected lor.

But yar, I'm also shopping around. I don't want to believe in agents like most that I saw already. They keep telling me that they really have our welfare at heart, they give honest advice, etc.

But at the end of the day, it's your welfare versus their commission! No matter what they may say to you, do you really believe that a stranger's welfare is really more important than their commission?

Don't fall into those noble tactics. I'm already a very disappointed person.

Thank you Mr Tan for speaking the truth even though you face attacks from agents.; May 07, 2008 9:05 AM
Anonymous said...: 11.11pm, you are sounding like insurance agents. They speak like you.Or you speak like them. They also say there is no right or wrong. You know why? This is to justify what they sell to you, right or wrong, no wrong, any thing is right, even rubbish.
Of course they want to make money from you.And you say that to console yourself.
Of course you have your own needs but you still have to buy 3-5 times your annual salary. Did you? If you haven't then you understand the downside of vivolife. It is created to fleece you of your money and not to protect you because you will never have enough and to leave a gap for them , the agents to fill up the next time. And you may end up afflicted with a disease in the meantime but wwithout enough coverage. Is it their business. It is your business because you chose to believe them.; May 07, 2008 10:12 PM