Bakit ka Takot Sa akin? - Insurance Policy

My dear friends, I would like to dedicate this article to my fellow insurance agents, financial consultants or financial advisers who get the following responses from our clients, friends and relatives. I would like to address their common fears about an insurance policy. (feel free to add/comment)

I have been a client of Pru Life UK since 2008 before joining the agency force in 2012. I too, had the same questions in my head but took a step ahead of my fears because of its value and also, I trust my agent (who is now my boss) who explained to me what the policy can do to my dreams and goals and to my loved ones too!

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If the an Insurance Policy can talk to you, these might be its answers to your fears:

1. Hindi ko na kailangan nian kasi dipa ako mamatay.

Policy: I am not only for the dead. I can also help you with your dreams and goals. I have relatives called Variable Universal Life or Unit-linked form of investment where we can also address your need for cash in the future. But God forbid and you die at an early age, the proceeds of your policy will go to your beneficiaries to provide food on the table or education to your children or let's just say, income replacement.

(I got into an accident in 2011, may car was sandwiched by a toyota fortuner and toyota vios along SLEX bound to manila:  should our creator decided to take me, how can I help my parents with my brother's education, who at that time was still on his 3rd year in college)

2. E diba nagsasara yung mga ganyan?

Policy: Insurance companies have been here in the Philippines for more than a hundred years. In fact,        insurance companies are regulated by the insurance commission and there are policies which insurance companies need to comply with to continue their operations here in the country. Also insurance companies are also re-insured on a bigger scale to protect their policy owners. 

You may even check if the company I am representing is at the list of the Insurance Commission at                  www.insurance.gov.ph

Also, insurance companies are regulated by the Insurance commission and one of the policies is to maintain 100 RBC ratio. If the insurance company did not meet this criteria, the insurance company is required to submit an explanation to IC.

The RBC ratio is equal to the total available capital divided by the RBC requirement of a company. - Philstar.com


(Read: http://www.philstar.com:8080/business/2017/01/19/1663883/ic-implement-improved-risk-based-capital-system)

3. Madami na ako insurance e!

Policy:  Wow! that's great that you are being protected by my friends also. May I ask, how much is your coverage?  Is it sufficient in case you needed 1 Million last night for an illness? or is there a particular purpose why you got your policies because, I understand that you have dreams for retirement, education, major investment and others... So are your investments sufficient to fund those golas?


Are you also aware of the scratch the last 4 digits? For example: If you are insured with Php 1,000,000 today, remove the last 4 zeros and that will give you Php 100. Divide 100 by 2 and that leaves you with Php50. Are you aware that it only means that you will leave your family with Php 50 per day assuming that your money is placed only in the bank with 2% interest?

(Got my 1st policy when I was 24 years old and my focus was more on investment, Got another policy when I was 29 and focus is on protection, at my age, I already have 2. I have clients who started very young and already have 3 policies!)

4. Hindi ko na kailangan nian kasi healthy naman ako eh. 

Policy:  Alright, if that's what you believe in. Do you know that according to statistics and as published at the Philippine Daily Inquirer in Oct. 20, 2010 that 1 in every 6 people worldwide will be afflicted by stroke and there's only a 2 seconds interval before the next stroke claims another victim regardless of gender and age? So how prepared are you? 

(From the same source, Philippine Daily Inquirer: 1 in 3 Women will suffer from breast cancer before turning 75, and in the Philippines 33% will not survive and according to Dr. Magnaye of the Philippine College of Surgeons, that age is no longer a factor )

5. Hindi naman nakaka claim dyan eh!

Policy:  My friend, my relatives and friends can attest to making an insurance policy alive. You can ask your insurance agent to show you reports on claims of the policy owners. I am sure that each of  them has stories on how me - a Policy - has helped so many for more than a  100 years.

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Dear friends, as a final note on Insurance Policy, read and understand the passage from the Insurance Philippines Magazine

Life Insurance - Its True Value 

Jendee Sapo - De Guzman, RFP®

Associate Financial Planner (AFP) - Global Certification

Chartered Trust and Estate Planner Graduate (CTEP)