Financial adviser wants to help people

Hi Mr Tan,

I just come accross your website, when I m doing my study for my Module 5 of CMFAS exam and try to look for more information regarding Insurance.

I wanted to become a Financial Advisor, because I thought it is a good prospect job as it can earn income and can help people or their family when they are sick or after they passed away.

I never come accross to become insurance agent, until I made a claim for for my surgery from private Medishield and found that insurance is quite good.

Furthermore, I have read thru Module 5 and Module 9, from what the text book write and information giving, it seem insurance company really help people to save and be prepared when they need protection.

From Module 5, found that MAS did stated in rules and regulations as well as guidelines for FA to follow. Well this is good, we really collect client's info, analysed, and recommend based on the clint's needs.

After reading your blog, and after knowing what is cost of distribution and effect of deduction, I started to doubt my decision.

I would like to ask some questions:

1) It is all high cost finance products is not good?
2) Do you think it is a good idea to do saving/invest thru Insurance?

Mr Tan, I will be very appreciate if you can give comments to my decision to become insurance agents or share your experieces with us or my fellows friends. I want to earn money but knowing that(君子爱财,取之有道) a person earn the money in proper manner. I want to help people and educate people how to save and get protection when they need (this is what I want too)

Lastly, the company which sending me to training is Y. I think there are many people like me who is thinking that agent can help people and earn money. But I hope you can explain to us the actual and the reality of this world and market and what are the ways is the correct, if we want to become insurance agent.

REPLY

If you sell insurance for Y, you can earn high commission, but your customers will get a poor yield.

I advise consumers to buy term insurance and invest in a low cost fund. They should avoid high cost insurance products, such as whole life, endowment and ILP.

Read the FAQs in my website,
www.tankinlian.com/faq

Joke: Count the legs

"I bet you don't know how many sheep ther are in this field?" said the English farmer to the Irish visitor.

"The Irishman glanced around the field and then replied, "Three hundred and eighty six."

The farmer was astonished. "That's incredible! You're perfectly right. How did you manage it?"

"Oh, it was quite simple," said the Irishman. "I just counted the number of legs and divided by four."

How to improve the traffic flow at CTE

My friend has a suggestion. Read:

www.singaporepublictransport.blogspot.com

High charges for ILP products

Which insurance companies have the highest charges for ILP products?

You can find the study in Dr. Money's website:

http://www.askdrmoney.com/Ins_ILP_RP.htm

Life annuity with capital protection

Dear Mr. Tan,

I have just turned 55 and my wife will be, at the end of the year. We are interested to take up annuity policy with capital protection of $150,000 each. What are the monthly payouts like? Please provide details for both genders for payouts from 55 and 62.

REPLY

You can read this FAQ to understand the annuity, so that you can make the right decision:
http://www.tankinlian.com/faq/life.html

You can contact the insurance companies directly and ask them to quote to you. Their telephone numbers are available from this webpage:

http://www.tankinlian.com/faq/termd.html