Currently, there are two types of life insurance products that insurance providers offer to the public, namely traditional life insurance and unit-linked life insurance. Of course, both have differences that outperform them. Nevertheless, unit-linked life insurance products in Indonesia are pretty ogled as the people's choice.
Unit-linked life insurance product refers to the Q3 2021 Performance Report Data for the AAJI Life Insurance Industry, which states that unit-linked life insurance premiums contribute to the total premium, reaching 62.5% or Rp. 93.31 Trillion.
Are you interested in having unit link life insurance too? Check out this article first.
What is Unit Link Life Insurance?
Previously, let's discuss the meaning of unit link insurance first. Unit-linked insurance is insurance in which there is a combination of insurance and investment products. Unit-linked insurance, as we know it, is a life insurance product on a unit-linked basis. That way, unit-linked life insurance can be said to be a life insurance product with two components: protection and investment.
How Does Unit Link Life Insurance Work?
The workings of unit-linked life insurance start from the policyholder paying the initial rate intended to pay for protection, administrative costs, insurance management fees, and acquisition costs.
Later, these insurance rates will also be included in the investment instrument you choose. This insurance rate will produce investment results where this result will be used to pay insurance costs. Thus, the covered protection will be paid out of the investment results. Oh yes, the investment value of the policyholder will be deducted regularly to pay for insurance costs. After all, payments are made, the policyholder can use the investment value as an education fund or pension fund.
However, to keep in mind, as long as the policy value is sufficient to cover the premium, the protection covered will continue to run. Otherwise, the insurance company will ask the customer to top up the funds, or the policy will be cancelled if the policy value is insufficient to pay the insurance costs.
For this reason, you need to read the insurance policy carefully and ask the marketers clearly so that they are not misguided.
3 Advantages of Unit Linked Life Insurance
Here we present the advantages for your consideration in choosing it. Here are the points:
1. Has 2 functions
Unit link life insurance has two main components: protection and investment in one policy protection separately.
2. Being flexible
Why is that? Because you can do additional benefits if one day your needs increase. Not only that, but you also have the opportunity to withdraw funds or transfer them quickly. However, make sure to always consult with your sales force, OK!
3. Longer coverage period
In unit-linked life insurance, the coverage period is quite long, up to 99 years. Of course, this is different from other types of insurance and has its advantages.
BNI Life Plan Multi-Protection Plus Comes as Your Unit Link Life Insurance Choice
For those who want to have unit link-based life insurance, you can choose BNI Life Plan Multi-Protection Plus (BLPM Plus) from BNI Life. The minimum premium starts from IDR 200,000; you can get the main benefits, namely death benefits and investment benefits. In addition, protection from critical illness and insurance for hospitalization as well as surgery, accident care, and lifelong care can also be obtained with a sum assured up to 200 times the basic premium.
Visit https://www.bni-life.co.id/id and contact BNI Marketers for more info now!
