Insurance is an important part of people's lives, that is, if you think about buying insurance, it means that you are a person who thinks and cares about financial planning for life to ensure their financial stability. Like the family of the future and especially the attainment of peace of mind (peace of mind).
Regarding this insurance service, Mr. Prusithon, Chairman of the Education Commission of the Insurance Association of Cambodia and Senior Director of the Distribution Department of the Bank Partners, said that the purchase of life insurance is not just money. This is similar to going to a bank loan, with the insurance company assessing your financial situation and risk level before allowing you to get insurance coverage.
He said that when buying insurance, in principle, do not spend more than 20% of your annual income on insurance. For example, if you have a salary of $ 1,000 a year, you have a total income of $ 12,000, so the amount you should pay the insurance premium to get insurance purchase should not exceed $ 2,400 per year.
He explained that in normal life, people spend 80% of their total monthly income on various needs such as savings, investments, food, lodging, travel, sightseeing, tourism, tuition fees. And bank payments, which are all necessary expenses. So if they spend too much money on insurance or more than 20% of their total income, which is another important requirement (in hedging, saving for children, investing and peace of mind), they may face a shortage. Money to spend on important things, as mentioned above.
In addition, Mr. Prositon revealed that if you pay insurance premiums to purchase insurance services in excess of 20% of annual income, you may face the inability to pay insurance coverage for the following year, which is a problem that the company Life insurance is not desirable. Therefore, as part of financial planning through the use of life insurance services, clients can consult in advance with a free consultation with an insurance advisor at a Manulife partner bank (such as ABA Bank or Sathapana)
In addition, Mr. Prositon revealed that if you buy insurance more than 20% of your annual income, you may face the problem of not being able to pay for insurance for the following year.
