Questions To Ask Before Buying Life Insurance In Malaysia

Life insurance policies are important for securing your loved ones' financial future and ensuring their well-being, even when you're no longer around. You should understand your options and have a set of questions to ask before buying life insurance in Malaysia. So, before you dive into different life insurance coverage options and their costs, let's equip you with some key queries to ask yourself and potential insurers.

Understanding your insurance needs

1. Why do I need life insurance?

Think about your dependents - spouse, children, elderly parents. Life insurance can cover their living expenses, education, and debts, easing their financial burden in your absence. Additionally, it can serve as a retirement savings plan or leave a legacy for your loved ones.

2. How much life insurance coverage do I need?

Consider your income, expenses, dependents' needs, and existing debts. Estimate the financial gap your absence would create and choose a policy that adequately covers it. Remember, it's better to be over-prepared than underinsured.

3. What types of life insurance are available in Malaysia?

Looking for the right insurance

1. How can I compare different life insurance policies in Malaysia?

• Collect Information: Gather policy documents, brochures, and information. Be sure to pay attention to important aspects like coverage amount, premium costs, deductibles, co-payments, exclusions (situations not covered), and policy limits (maximum payout). With i-Care, you can get an instant quote and sign up in less than 5 minutes.
• Speaking to an agent: If you want professional advice, consult experienced agents who can explain your options, personalise your plan while considering your life insurance cost needs. You can drop your details here and one of our wealth advisors will reach out to you.
• Policy wordings: Read and understand the terms, exclusions, and limitations before signing up. A lot of the time, you may not understand the clauses in the policy. So, be sure to ask your agent about that before you purchase.

2. Do I need an insurance agent?

Agents offer personalised advice, help navigate complex terms, and guide you through the claim process. However, you can research and purchase directly online if you prefer as that could be more affordable. You can get an instant quote on one of our online insurance plans here.

Understanding the policy details:

1. What are the premiums and how are they calculated?

Life insurance cost depends on your age, health, lifestyle habits (smoking), and chosen policy type. Younger and healthier individuals typically pay lower premiums.

2. What are the exclusions and limitations?

Policies may exclude pre-existing conditions and claims from specific circumstances. Understand these clearly to avoid claim rejections.

Long-term protection:

1. Can I update my policy over time?

Some policies allow adding riders, increasing coverage, or changing beneficiaries as your needs evolve.

2. What happens if I miss a premium payment?

Most policies offer a grace period to make up for missed payments. After that, the policy might lapse. Reinstatement options may be available, but with penalties.

3. What if I want to cancel my policy?

Depending on the policy type, you might be able to surrender it for a cash value (whole life insurance). Early termination fees might apply.

By asking the right questions, understanding your life insurance coverage needs, and comparing life insurance cost options, you can ensure you and your loved ones are protected for the future. Check out our wide range of life insurance plans in Malaysia here.