For people, the arrival of danger is unpredictable and unperceivable. We always don’t know when those damages, dangers in our life will come to us, harm us, make ourselves, our families, our dear friends suffer, feel worried, and cause burden. Therefore, when recognizing this possibility, we have to find some solutions to avoid dangers in the future due to unexpected occurrences, as well as drastic negative effects on our lives. In this case, invest in life and disability insurance plan Malaysia is a good solution. If you don’t know what it is, in the following article, I will tell you what life and disability insurance plan is and why you should invest in it.
What is life and disability insurance plan Malaysia?
What we call life and disability insurance plan Malaysia is actually two different, but extremely related types of insurance, namely life insurance and disability insurance. The main purpose of life insurance is to pay premiums to your insured (usually your loved ones) in the event of your death to help them pay for your funeral expenses, and other expenses to ensure that their lives will not be affected too much after your death. And if you are unable to work because of illness or injury, disability insurance is able to pay you a monthly sum of money. This can help you pay your bills and continue your life while you recover. For people, investing in life and disability insurance plan Malaysia at the same time would be a great choice!
Types of life and disability insurance plan Malaysia
Currently, there are several types of life and disability insurance plans Malaysia available in the market
Life insurance: These can be divided into term life insurance policies and whole life insurance policies. A term life insurance policy has a specific term, such as 10 or 20 years, and then the policy expires. If the policyholder dies within that time period, the beneficiary receives a death benefit. A whole life insurance policy is a policy that lasts a lifetime, and when the policyholder dies, his or her beneficiaries receive a death benefit.
Disability insurance: There are short-term and long-term policies. Short-term disability insurance policies provide benefits for a specific period of time, usually 26 weeks. If the policyholder becomes disabled during that time period, he or she receives benefits. Long-term disability policies provide benefits for a specific period of time, usually until the policyholder reaches retirement age. If the policyholder becomes disabled during this time period, he or she receives benefits.
Benefits and risks of life and disability insurance plan Malaysia
Invest in life and disability insurance plan Malaysia contains both benefits and risks. The benefit is that you and your family will be financially protected by the insurance company in the event of an accidental death or disability that will not cripple your finances. Your family will be able to continue to function. The risk, however, is that these policies are subject to certain limits. If you do not meet the insurance company’s criteria, you will not be able to receive the benefits even if the insured dies or becomes disabled. In addition, paying high premiums on a regular basis can be a risk.