Best insurance plan (Malaysia) | Medical, life insurance guide

Looking for the best insurance policies in Malaysia? Which is the best medical card/insurance in Malaysia, are investment-linked plans better or term plans? After comparing plans from the top insurance companies in Malaysia, here’s what I’ve found:

3 major insurance types:
1. Medical card/insurance (covers your medical/hospital bills)
2. Life/TPD (cash payout if you die or are permanently disabled)
3. Critical illness coverage (cash payout if you die or are permanently disabled)

How much coverage do you need?
1. Medical (Important throughout your life – Annual limit RM500k-1.3mil; no lifetime limit; 200 R&B)
2. Life/TPD (Important up until financial freedom – Min 10X your annual salary – max [annual expenses/5%]- [net worth]
3. Critical illness coverage (Important up until financial freedom – 1-3X your annual salary)

What plans should I choose?
1. Standalone/term plans (if you are on a tight budget, or for life/TPD/critical illness coverage for a fixed period of time)
2. Investment-linked plan (if you plan to maintain coverage for a long time, especially for medical coverage)

What did I choose?
I chose a basic investment linked plan that focuses on medical coverage only. Still debating whether or not I need life/TPD or critical illness coverage – if I go ahead, it will probably be in the form of a 10-15 year term plan. AIA provided the best coverage at a very competitive cost, Prudential came in as a close second for my personal requirements.

I am not an insurance professional, so do consult with an insurance agent before making a decision. Insurance plans are long term commitments, so do shop around and do your research before speaking to insurance agents – not all of them will have your best interest in mind!

Timestamp:
00:00 Introduction
00:45 How insurance works
01:26 Types of insurance coverage
02:43 Medical insurance – what to look out for
04:52 Life/TPD – ideal coverage
07:35 Critical illness – ideal coverage
09:03 Types of insurance plans
09:35 Term insurance (standalone plans)
11:30 Investment-linked plans
14:01 Best insurance plans