Traditional life insurance vs VUL

[Itsmeeva]

Agree with mxherr5!

With a 5-year paying period VUL product, there is no guarantee that you will still have funds in the next 20 years if you wont do top-up in at least 5 years also or more.

And since its has an investment feature, policy owner shall bear all risk involve.

Reason why agents need to carefully profile and asses their client's risk appetite.

I strongly suggest you work closely with you agent/s because every clients have their specific needs.

At the end of the day, everything will fall on your specific need/goal.

[eischied_21]

Kapag ba whole life and hanggang age 85 lang yun insured then you are still alive at that age, cash value lang ba yun makukuha?

[mxherr5]

Normally naman ang cash value will be equal to the face amount ng insurance
on maturity.
Don't know if its true for all whole life products but the ones I've seen do give
out the insurance amount on maturity(plus dividends)

[chocobo]

may whole life insurance po ako. yung face amount nya is 500k. monthly po nito is 1.5k and 20 years to pay. yung sa friend ko, VUL ang kinuha nya. yung face amount is 1M, monthly nya is 2.2k and 10 years to pay lang. and both our plans are until age 85.

parang the same lang yung benefits namin ang difference is parang mas mahal yung insurance ko. akala ko mas mahal pag VUL or hindi good deal ang insurance na nakuha? enlighten me mga sis 

anong klaseng  VUL plan ang kinuha ng friend mo?

[yanmae]

Hello mga sis, share ko lang po pagkaka alam ko sa VUL baka makatulong sa nacoconfuse about VUL. nagrereview kasi ako ngayon para mag exam sa IC and ito yung mga nalaman ko from my tita.

Ang VUL kasi combination sya ng TERM insurance at mutual fund. Ang kinagandahan nito kasi after ng 10 years na pagbabayad (o yung years of paying sa policy mo) maliit nalang ang premium mo.
Yung premium goes to insurance and yung iba napupunta na sa investment or mutual fund

Term insurance ay isang klase ng insurance na for 1 year coverage lang na renewable (pls correct me if im wrong) na binabayadan naten yearly, kapag di ka nagbayad ng premium hindi ka din insured.

Naka depend sa performance or yung NAVP ang fund value mo, so ibig sabihin pwede bumaba at pwede din tumaas. After 10th year kung di ka na magbayad ulit nung premium o mag top up dun sila kukuha ng pang bayad ng premium sa fund value mo. Meaning as long as d mo winiwithraw yung funds mo na naipon, merong kukuhanan yung insurance company pambayad sa premiums for your insurance.

In case na gusto mo ng withrawhin yung pera mo o yung fund value mo, as in wala kang iiwan mawawala na din ang insurance coverage mo. Bakit? kasi winithraw mo na lahat ng fund value mo, wala na silang makukuhanan na pang bayad sa premium or insurance coverage mo.

Sa mga may policy holder, meron pong binigay na table. Icheck nyo po yun, may column na babayadan nyo on a certain year sa premium and fund value tapos nakalagay din ang projected returns. Sa sunlife ang lowest projected return nila sa fund value nyo is 4% If 10 years ang kinuha po ninyo @ 500thousand face value on your 10th year meron kang 400+ thousand (4% column) 20,000 ang annual payment nyo dito. (ganito kasi yung sa akin) If cocompute-in nyo ang laki na ng kinita ng pera nyo.

So sa ika 11th year nyo, kapag niremain nyo sa insurance company yung fund value at di ka na nagbayad ng premium mo para sa insurance o di ka na nag top up automatically dun sila kukuha ng pangbayad sa 400+ thousand para tuloy tuloy kang insured.

Yan ang pagkaka alam ko mga sis, sa mga expert na dito please correct me if I'm wrong.

[purplelime]

Wow can I just say that I learned so much from this thread! Third page pa lang ako ng backreading i felt like all my questions (and followup qs) are answered! Thanks so much to all the sisses who are tirelessly answering qs and enriching this thread.

[artificialstar]

^^^ hindi ako sure sis, but it was from SUN Life

[kookai88]

kakakuha ko lang ng life insurance sa generali philippines. 8 years to pay maturity is 20 years. annual premium is 28,837.00 then every 2 years kahit hindi pa fully paid may cash return ka na agad na 8k. take note tuwing ikalawang taon yun ha. tapos may dividend pa na 2% to 4.5% depende sa standing ng insurance company. pwede mo na rin i-withdraw ang dividend pag kailangan mo pero mas maganda kung ipunin mo na lang ang dividend para mas malaki ang balik sayo.

[cutesimplegirl]

anyone here na may Plan sa Paramount Life and General Insurance. Feedback naman maganda ba ang endowment insurance nila? Thanks

[chelvin26]

Okay ba ang pru life uk na investment linked nila? As much as 600k sum assured plus fund value and may riders pa, as much as 1800 per month, tapos lifetime din siya babayaran, may riders din kasama,

[chefron]

come to think of it, mas mura lumalabas ang VUL kesa traditional plans, lifetime coverage din.

[chelvin26]

come to think of it, mas mura lumalabas ang VUL kesa traditional plans, lifetime coverage din.

Tama ka jan sis:)

[marssie]

Bakit yung friend namin, sabi niya may VUL daw siya from Pru Life, i asked her how many years to pay, forever daw habang nabubuhay ka magbabayad ka??.. Dahil mas mura daw ang premium kesa sa 10-15 years to pay.

I understand na sa VUL may part duon na napupunta sa investment, and the rest sa insurance at pag kumikita na yung investment mo pwedeng duon na kunin yung bayad.. pero parang nakakastress namang isipin na habang buhay ka nagbabayad ng insurance..

[chefron]

pwede naman talagang dun kunin sis, kaso syempre nakabase din ang insurance dun sa number of shares ng fund mo, pag dun kinuha macacancel ibang shares.
lifetime naman talaga ang mga insurance sis except TERM

[sexyladyyy]

hello, pasali ako mga sis. i just got a sunlife maxilink prime. 30K per quarter ako. may face amount na 2M. questions ko lang, if after 10 years, mamatay ako, my beneficiary will receive the ff: fund value + death benefits, right?

sa sample illustration na binigay sa akin, after 10 years, this is the projected benefits using 4%
- 1.2M fund value and 5.2M death benefits, are these the amounts my beneficiary will get?

 

[mxherr5]

@marssie,
you have to turn your thinking around.

if you've noticed, VUL which are payable for life have higher
premium charges. You can liken these charges to mutual
fund sales loads.

so, your friend as given the PRIVILEGE of investing(paying)
every year throughout your friend's lifetime. That is what
he paid the premium charges for.

whereas, limited pay VULs, i.e. payable for 5 years, 10 years, etc
have lower premium charges.

thus you are only ALLOWED to invest(pay) for 5 years, 10 year,
whatever. If you want to invest more, you have to pay top-up charges.

so, although your friend can , as with any VUL payable for life, opt to
stop paying. Sayang naman ang premium charges na binayaran nya.
Sana nag limited pay VUL na lang sya.

@sexylady, 5.2M is the amount your beneficiary will get.
Maxilink has an insurance coverage that is 2x the face amount = 2Mx2 = 4M
Then your fund value 1.2M
Total = 5.2M

[sexyladyyy]

@mxherr5 thanks for your response. Another question, is there a possibility to downgrade my quarterly contribution? Meaning from 30K, gawin kong 10K or 20k? Without penalty? It will change my fave amount right?

[mxherr5]

Not sure about that.
I know that you can lower the face amount(without lowering your
premiums)
I know this because I've asked their customer service reps
as I plan to lower than my face amount when I hit my 40s
which would be quite a few years pa lol.

I've found that these type of "difficult" questions cannot
be answered by agents.

Even their customer service reps had to check with the
marketing and actuarial dept to confirm the answer.

[GBP]

Hi mga Sis! I think I could share some insights too. VUL's are really good but you have to do your homework too. VUL is a win-win product. If something happens to the client, a significant sum will be given, kahit naka-isang hulog pa lang. If nothing happens, the fund keeps growing in the mutual funds. One critical aspect of choosing a VUL is, check if the performance of the mutual funds "arm" of the company is doing well for the past 5 or more years. Are they always on the top 10? Remember, naka-depende ang growth sa performance ng mutual fund "arm" nila.

Another thing, different products cater to different clients, isa pang advantage ng VUL. May VUL na malaki ang protection component (for those whose job is at risk). May VUL din na malaki ang investment component (for those who is more inclined to fund growth).

Isa pa, VUL imposes a more disciplined approach than "buy term invest the rest". Why? Most clients will not be able to "invest the rest" actually, given that he has the free will to invest or not.

[lovely_carrot]

Para saken ba tong question?

Covered ako until age 99. projected is 8M. Baka hindi ko kunin. Namamahalan pa kasi ako. Kunin ko nalang muna siguro yung term insurance ng insular. Ten years to pay @ 8k+ semi-annual. Tapos on the 20th year, pag walang naganap saken, makukuha ko lahat ng binayad ko plus interest. 20 yrs. nga lang ako insured. Pero renewable naman at ang maganda is same amount padin ang babayaran ko

Sis anong tawag dun sa plan mo?