Review your policy

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PRUDENTIAL senior wealth manager David Lee is a strong advocate of making sure that one’s wealth management efforts are securely supported by insurance.

“While many of us have bank accounts to dip into when we need funds for education, medical, leisure or just life, we need to remember that good financial management habits begin with a strong foundation. In this case, it’s insurance,” says Lee.

‘Policies from 10 years ago may not be as comprehensive for current day medical expenses,’ says David Lee.

His advice to the Hunter family based on their unique needs is to take on term insurance.

“Although they have no tentative plans to stay in Malaysia permanently, it is nevertheless important to make sure that they are adequately covered during the time that they are here. Term insurance is perhaps the most logical solution for them.”

As for the Ritikos family, Lee suggests both Richard and Marcia review their insurance policies regularly and make the necessary adjustments or upgrade whenever the need arises. He says this is especially important with medical insurance, given that healthcare costs continue to inflate on an annual basis.

“Medical policies from 10 years ago may not be as comprehensive for current day medical expenses. Therefore, young families should make it a point to review their insurance needs on an annual or bi-annual basis with an agent or wealth planner. It is important to make sure that their plans remain relevant in order to protect them during their times of need.”

Lee adds that as both couples make efforts to stay healthy by eating healthily and exercising, a medical plan like PRUhealth will be ideal for their medical needs. It introduces a unique no claims bonus (NCB) feature that pays up to RM500 in bonuses annually provided they do not make any medical claims for the year.

“On top of the NCB they get when they remain healthy, PRUhealth provides comprehensive protection up to the age of 100. This can ensure that they do not burden their children in their old age,” he says.

While many medical plans today have an annual claims limit, PRUhealth allows you to remove the annual limit, so you can enjoy the immediate protection of the plan’s lifetime limit. This ensures that your financial plan will not be wiped out or thrown into disarray when you exhaust your annual medical claims limit. You will be insured for as much as your plan provides for life, Lee concludes.