Why do you need to buy insurance?

Fresh graduates, an exciting period in life when individuals are full of hope for their future. However, it is also a period of big decisions, from career to finance and facing the uncertainties of life.

Secure your future against any hurdles along the journey of life with the right insurance coverage. The ideal insurance plan gives you choices with flexibility while mitigating risks. In the society we live in, secure finances are the gateway to sustainable living and wellness. Thus, AmMetLife offers the most comprehensive insurance plans to guard what matters most to you.

Which insurance plan is best suited for you?

The right policy fits your personal needs. There is a balance in identifying the most comprehensive insurance plan that effectively shields you during emergencies, without additional spending on policies unrelated to your needs.

We have listed some basic insurance policies below to help you get started.

1. Life Insurance Plan

Life insurance plan is the most basic insurance for everyone. It protects you and your loved ones in the event of death and/or total and permanent disabilities. If you are preparing to be the sole breadwinner of the family one day, or are about to handle outstanding liabilities and dependants (old age parents, siblings…), life insurance is an ideal option, as it provides payouts to your family in the unfortunate event of your passing or diagnosis of permanent disability. These payouts can be used as replacement income to transition your loved ones to a new way of life with the space and time to figure out new sources of income.

If you are looking for a high annual coverage life insurance policy in Malaysia from a trustworthy provider, then look no further as AmMetLife has got you covered! With AmMetLife’s insurance plans, you safeguard yourself and your family.

2. Critical Illness Insurance Plan

Critical illness insurance policies come into play in the event that you are diagnosed with a critical illness. As it can be opted for on top of other insurance policies, Critical Illness insurance policies are often considered a rider plan.

If you are to be diagnosed with severe illnesses such as cancer, heart diseases or stroke, you will receive an assured sum to help you deal with the transitional changes and maintain your quality of life. With the prevalence of these diseases in Malaysia, from a young age, it is wise to invest in yourself and buy an insurance plan for critical illness.

Critical illness cover generally comes in a few forms, and it helps to know which one you are being offered:

• Standalone critical illness plans are policies in their own right, paying a lump sum on diagnosis of a covered condition.
• Critical illness riders attach to a life or investment-linked policy. They are often a more affordable way to add cover to protection you already hold, though the cover is tied to the base policy.
• Severity-based plans pay out in stages according to how far the condition has progressed, so an early-stage diagnosis can trigger a partial payout and later stages pay more.

Whichever form you choose, check how many conditions are covered, whether early-stage diagnoses qualify, whether you can claim more than once, and what underwriting is required before cover begins.

3. Endowment Plan

An endowment insurance policy is tailored to pay a lump sum upon maturity of the plan or the unfortunate event of your passing. The way it works is that you pay a determined amount for a specified period of time, and in return, you shall receive the maturity benefits. These benefits may include the sum assured amount along with an accrued interest at maturity of the plan.

Factors You May Consider

1. The needs of your future family

When selecting your insurance policies, make sure all basic needs are covered while prioritising the unique needs of your family. Consider possible medical needs (current or future), especially if certain illnesses run in the family. There is always a way to find affordable medical insurance plans in Malaysia if you look in the right places. Keep in mind that if there are any additional needs in the future, there’s an option to upgrade your insurance policies.

2. Employee health insurance

Most companies in Malaysia offer good employee health insurance. By optimising this workplace benefit, you can save on spending. However, employee health insurance may not always be sufficient and it is advisable to learn how much or what is exactly covered for you. Especially in a time when recession and job security is a realistic fear, if you do not have long-term employment security, buying your own insurance policies is a wise option.

3. Cover your needs

It is wise to look for insurance policies that meet your individual needs and budget. A good insurance coverage maintains a balance between the returns and the premium cost. As you progress in your career, it is encouraged to upgrade your insurance policies for better protection.

4. Start early

Young Malaysians have the tendency to think that getting an insurance policy is something they only need to worry about later on. However, most insurance plans are long-term investments, and it is important to identify your needs early to protect yourself and your loved ones.

All or any of the benefits stated above are subject to terms and conditions. The above articles are intended for reference and informational purposes only. AmMetLife does not accept any responsibility for loss which may arise from reliance on information contained in the article.

References:

1. https://plannerbee.co/learn-personal-finance/fresh-grad-guide-insurance-101-singapore/
2. https://sg.finance.yahoo.com/news/fresh-graduate-guide-different-types-000003959.html
3. https://www.thestar.com.my/starpicks/2023/01/15/start-young-for-critical-illness-insurance