by NUR HAZIQAH A MALEK/ pic by MUHD AMIN NAHARUL
PRUDENTIAL BSN Takaful Bhd (PruBSN) has expanded its Warisan product by offering protection to babies as young as 14 days.
PruBSN acting CEO Wan Saifulrizal Wan Ismail said the age eligibility for the product, dubbed “WarisanPlus”, has been revised to make way for parents to start early in Takaful planning.
“PruBSN WarisanPlus is a legacy solution that will provide high cash benefits when unfortunate events happen, which can be a replacement for a person’s income.
“It can be used, among others, to pay for alternative medical treatments, caretaker bills, as well as debt settlement,” he said at the launch in Kuala Lumpur yesterday.
WarisanPlus offers a coverage from RM250,000 in the event of death or total and permanent disability. The policyholders will also have the choice to extend coverage until the age of 100, subject to additional contribution.
Previously, the eligible age range for the Warisan product was between 19 and 70.
The plan also offers financial protection of up to 400% of the sum covered in the event of accidental death and protection against 14 diseases, on top of supplementary benefits or riders.
“Once the child has hit an eligible age, the policy can be transferred without hassle,” Wan Saifulrizal said.
He said relaxing the eligibility age for WarisanPlus is timely as millions of families are still relying on a sole breadwinner for the day-to-day living and finance management.
Wan Saifulrizal added that when the breadwinner dies, there may still be outstanding financial obligations.
“Even if you already have a life coverage, it may not necessarily be sufficient. That is why it is critical to have adequate financial support and wealth protection when it comes to dealing with unforeseen situations,” he said.
According to Bank Negara Malaysia’s statistics in the Financial Stability and Payment Systems Report 2018, only 41% of Malaysians have some form of protection plan with an average coverage of RM56,000.
Wan Saifulrizal said among the reasons there are not a lot of insured Malaysians is because of the product’s intangible nature.
“The thing about insurance is that it is one of the products that you buy, but hope to not use. At the same time, a lot of people think that insurance is expensive, but at a talk I had, I asked if they all had smartphones.
“At the same time, the product’s nature being intangible makes it difficult to enjoy, which is probably the reason why people don’t rush to insure themselves,” he added.
Customers who sign up for WarisanPlus will also receive RM3,000 in Khairat benefits to cover funeral expenses.
From as low as RM5 per month, the policyholders can provide their family with basic life protection coverage of RM10,000 for a full year in the event of the sole breadwinner’s death.