Financial advisors often help us choose insurance and investment plans for ourselves and our loved ones, but have you ever thought of asking what they’ve purchased themselves? We asked a few friends in the industry about some of their own policies as well as why they decided to get them in the first place. Hopefully, their answers will give you an idea of why life insurance is important to Filipinos and help you choose the right policy for you.
Life insurance company: Sun Life of Canada Philippines
Life insurance product bought: VUL
Reason for buying it: I got a VUL for my husband when my mother-in-law decided to liquidate her non-earning policies and diverted part of the funds to pay for the first annual payment for his VUL. I particularly chose that plan because the only insurance he had so far was a critical illness policy that his mom got for him when he was young, and it would be better if we both had an insurance policy that had an investment linked to it since we’re both not as well-versed in that space. On top of that, it gives us both peace of mind that if one of us [passes on], the other wouldn’t be as stressed when it comes to money.
Life insurance company: AXA Philippines
Life insurance product bought: AXA’s HealthMax
Reason for buying it: While we can keep saving for that dream purchase or retirement plan, unexpected needs such as being stricken with a critical condition can easily drain what we’ve accumulated.
Life insurance company: AXA
Life insurance product bought: HealthMax (health insurance for critical illness)
Reason for buying it: I had just gotten married and my wife and I were looking for health insurance for extra security and additional investment at the time; we both only had life insurance back then. We were in our late 20s and we figured it’s best to get additional insurance while we’re still young—so it’s cheaper, too! We opted for HealthMax because it comes with built-in life insurance and you can maximize your premiums even if you don’t get sick.
Life insurance company: FWD Philippines
Life insurance product bought: FWD Set For Health
Reason for buying it: I was opening an account in the company’s affiliate bank when I realized that my current P1M critical illness plan (from a different company) wouldn’t be enough for me should something unfortunate happen. Since I was already processing my application anyway, I decided to get the complimentary plan for it. I already had life insurance that ensured money for my beneficiary, so I signed up for another P1M coverage worth with FWD because I wanted peace of mind. I didn’t want to keep checking my bank account only in case something should happen. I’ll let my insurance policy worry about that, and use my liquid assets for daily needs instead.
Life insurance serves to protect your hard-earned income and is the third phase in the wealth generation cycle. Find out more about the role it plays in managing your money here.