Tuesday, June 6, 2017

Motor (Car) Insurance, the new pricing

Better driver will get better price.
Good research will get you a better price.
Look for a good agent may give you a better deal.

Coming soon.... this July 1, 2017.



Thursday, June 1, 2017

Are you buying Health Insurance or Medical Insurance??


What is the different between Health Insurance and Medical Insurance?

For most people, it sound the same. Only till recently I see the different myself.

You pay premium for "Medical Insurance" to ensure you can afford to pay medical bills when something bad (illnesses) happens. You don't want to go bankrupt because of medical bills. You don't want to limit your choice of hospitals when you need one. Therefore, you buy "Medical Insurance".

So, what is Health Insurance?

Who sells "Health Insurance"?

For me, many people sell health insurance but they are not insurance agent. People like your parent, your relative or even you colleague has been trying to sell you Health Insurance.

Health Insurance is
* Healthy Lifestyle
* Eating Right
* Sleep Enough
* Supplement since we can't get enough from food

Do you agree Health Insurance is more important, or at least equally important as Medical Insurance?

Wednesday, April 12, 2017

How to fund your retirement?

There are various way to fund your retirement. You can dispose your house in Klang Valley and move to rural area as a way to fund your retirement.

Today, we discuss only those can be done via regular saving method.


If you are employee of a company, EPF is not really an option but if you are self-employed, then you can choose to 'self-contribute' or not.

REIT is a stable as compared to other stock you can buy from the Share Market.

Endowment plan is offered by Life Insurance companies, usually low but stable return, bundled with insurance element.

Platform investment including iFast Capital or Philip Capital, where you can invest in over 200 unit-trust funds (over more than 20 fund houses) under one account.

Platform investment also available for non-RM but minimum is USD350 per month. Currently only available through the service of Financial Adviser's Representative (licensed by Bank Negara Malaysia).

Why you need Emergency Fund? Can EIS helps?

Most American do not have enough emergency cash. Malaysian also same same...

As an example, imagine you're out of work, you need RM5,000 a month to cover your living costs, and all you have is RM500 in a savings account. 

Now let's assume that you weren't fired for cause and are therefore eligible to receive some unemployment benefits while you look for work -- say, RM1,500 a month. Even if you manage to find a new job in just 30 days' time, you'll still be short RM3,000 that first month. And what happens if it takes you three months to find a new job? Suddenly, you're RM10,000 in the hole.

Hey man! Don't forget, there is no such thing as "Unemployment benefits" in Malaysia, yet, so you will be RM14,500 in the hole if it takes you three months to find a new job. However, soon we may have once government pass the new law and force employer and employee to contribute in a new scheme call "Employment Insurance Scheme" (EIS). It is not free, you got to pay for it and our cost of living are on the rise and getting from bad to worse.

It is coming...

Read more here about EIS.

1) NST 

a) 20.03.2017 http://www.nst.com.my/news/2017/03/222766/employees-insurance-scheme-approved-cabinet-hr-minister
b) 29.03.2017 http://www.nst.com.my/news/2017/03/225306/human-resources-ministry-eager-table-bill-employment-insurance-scheme
2) The Star
a) 30.03.2017 http://www.thestar.com.my/business/business-news/2017/03/30/fmm-defer-and-review-employment-insurance-scheme/

What should be your key (money) concern?

Most people, whom are not super rich and not an orphanage, will have at least these three (3) key money concern. Other money concern must be addressed too but these three (3) should be made top priority.

First key money concern is Death & Disability (DD).
Die too young (or lose the ability to earn...)
Imagine if you died yesterday, what happens to your loved one? Who is going to take care of them next 12 months and next 10 years, financially?
Accident happens everyday, you can read from newspapers, how about disability to earn as much as you do now? How is your lifestyle be affected? Watch "Dr. Strange" and you will know what i mean. Not everyone can become the powerful Dr. Strange. 
Thanks to hardworking life insurance agents and financial advisers, most people has a life insurance policy now. Some have more than a policy. They just need to review it periodically to ensure the coverage stays relevant and adequate.

Next is Retirement.
If died too young not a problem, then die too old is another problem you got to deal with. 
If you think you are too young to plan, you are definitely wrong. People regretted not planning earlier at age 40 when they are at the age of 50.

Above chart show how inflation can eat into your retirement fund fast. At inflation rate of 2% the fund last till age 89 but when inflation rate is 4%, it lasts at age 79 only. Scary? It is hard cool fact.
Lastly, third concern is Education.
Don't worry about this, only applicable if you are married or planning to..... 
No wonder many young generation only have one or two kids. Some even can't afford to marry since they can't even take care of their own retirement.
Without proper planning, Education can jeopardize one's retirement plan or vice versa. 
 To avoid having such problem, you just got to start early in Financial Planning.
Other money concerns, including but not limited to below are (not covered above) ....

  1. Medical Plan to cover hospital bills.
  2. Writing a Will (what happen when die too young...)
  3. Debt Management
  4. Investment Plan
Let's talk to your Financial Adviser or Agent today to plan or review your money health.