Life Insurance Question

[Robert24]

My father-in-law is 73 yrs old with some history of cancer but well recovered and now cancer free for longer already. Now a sales woman from Muang Thai Insurance approached my wife and is trying to sell her a life insurance for her father. She says no health check required and even if he dies from cancer the money will be paid out. They apparently pay 100% after 2 yrs and 50% of the insured amount from 0-2 yrs. Anyone has any experience with this? No general exclusions for certain types of sicknesses?

[JMWPACIFIC]

I would not believe a Thai sales person---the pre-existing condition will, IMO, no doubt be enforced---get a copy of a policy and have her show you where pre-existing are allowed. That ought to kill the sales pitch.

[stevenl]

I would not believe a Thai sales person---the pre-existing condition will, IMO, no doubt be enforced---get a copy of a policy and have her show you where pre-existing are allowed. That ought to kill the sales pitch.

For health insurance you're correct, but for life insurance it could be completely different. The main issue here would be the age of 73 of the applicant.

[Robert24]

I would not believe a Thai sales person---the pre-existing condition will, IMO, no doubt be enforced---get a copy of a policy and have her show you where pre-existing are allowed. That ought to kill the sales pitch.

thanks. Agree with you. But it looks like that's what they area selling to a lot people. I double checked some of the terms and they seem to be different now....

0-2 years you get your investment back. Interest by the way they only pay 1 time on your annual investment. No compounding interest!!

2-5 years when dead you get the insured amount and if you get out make profit.

5 years + you get the insured amount and this is when you start loosing money if you calculate compounded interest.

You have to continue pay the annual premium until dead or 90 years old. If 90 years old and not dead you get 150% from insured amount.

Annual premium is 12% from insured amount.

All in all I don't think this is a good investment. Better to pay the same amount annually on a savings account, you will have more money.

[Issangeorge]

My mother in law, was insured for ฿100,000 at age 71 I believe, we paid about ฿12,000 a year for ten years, but it went down a bit each year, at the end 9f ten years she would get ฿100,000. She died before the ten year period, so my wife got the ฿100,000 and of course we didn't have to pay anymore. My wife and two brother in laws are insured under the same plan, only for a 20 year period and higher amount. It is not the greatest insurance scheme, but it does force you to save and in the meantime covers costs if they die. I am a terrible saver, so it works for me. When the 20 years is up, I will once again insure them, to save money and cover funeral costs. I have an insurance plan at home, but am thinking of taking one out here, so my wife will get the money right away to cover my insurance costs. When her mother died, she got the insurance money the next day.