Savings Insurance
We handle savings insurance products from Hong Leong Assurance (HLA), part of the Hong Leong Group, which is ranked 7th among Asia’s wealthiest families!
About Hong Leong Savings Insurance
First, you make annual contributions for 6 years. If you pay 6 years in a lump sum, there’s a 3-4% discount on premiums. You can set your own contribution amount. Minimum: RM6,000 (approx. USD 1,300) per year.
*Based on RM1 = USD 0.22
Dividends of approximately 3.0% are added annually. At maturity after 20 years, you can generally receive the surrender value of your accumulated amount. During the 20 years, if something happens, life insurance is applied, providing peace of mind for your family. Inheritance procedures are straightforward – submit a death certificate and receive insurance and surrender payments within 2 weeks. Insurance funds are protected by the Malaysian government’s deposit institution.
Comparison: Fixed Deposit vs. This Insurance Product
1
- Only the deposited amount is refunded upon cancellation
- Penalties apply for early withdrawal
- Current 1-year fixed deposit rate is around 1.75% and variable, may fluctuate
- If depositor passes away, inheritance follows the will (both single and joint names)
- Deposits are protected (principal only)
2
This Insurance Product
- Dividends accrue from the first year. Returns are currently more stable than fixed deposits.
- TPD (Total Permanent Disability) coverage and life insurance from year one – receive more than your deposit in emergencies
- Life insurance portion and annual dividends are protected and guaranteed
- No tax on annual dividends
- Partial withdrawals possible during contract period
Malaysia vs. Japan Insurance Comparison
Example: Joining a Malaysian Insurance Company (40-year-old male)
Conditions: 40-year-old male, non-smoker
Premium: RM10,000 (approx. USD 2,200) annually for 6 years, total RM60,000 (approx. USD 13,000)
*Based on RM1 = USD 0.22
- Annual dividend (guaranteed for 20 years): RM2,000 Dividend rate 3.3% (choose to receive or reinvest)
*1. If dividends are reinvested
*2. Death benefit and surrender value are projected amounts based on current performance, not guaranteed.
- Malaysia has government protection systems for insurance payouts
- You will definitely receive more death benefit than you paid in premiums
- Early cancellation and partial withdrawals are possible
- Enrollment age: 6 to 70 years old (based on next birthday)
Example: Joining a Japanese Insurance Company (40-year-old male)
Conditions: 40-year-old male, non-smoker
Premium: 294,790 yen annually for 6 years, total 1,768,740 yen
Key Point
After 20 years, death benefit and surrender value in Malaysia are approximately TWICE that of Japanese insurance companies!
Hong Leong Savings Insurance Application Process
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