Paying Advanced Premiums for Insurance

2018-10-25T15:59:45+08:00By |Insurance|

Information on paying advanced premiums for insurance & the latest Great Eastern rates after recent OPR changes

Updated: APA Rates updated for 2018

advance-payment

Why pay Advance Premiums for Insurance?

  • Frees up hassle of making & arranging future payments as will be automatically deducted from the account
  • Provides returns at rates reasonably comparable to FD rates at daily rest

Key info on Great Eastern Life Assurance’s Advance Premium Account (APA)

  • Only for traditional policies with guaranteed premium (non-ILP) policy on annual pay mode & free from Policy Loan (PL) & Automatic PL.
  • Min 2 years advance premium at starting & max limit total of all future premiums
  • Min 1 year advance premium for subsequent placements
  • Interest rate is not locked at time of submission
  • Earn interest at prevailing rate (3.40% as of Sep 1, 2016) compounding on daily rest & can change at company’s prerogative
  • Withdrawal must be in full & once a withdrawal is made, no new placements for 1 year in the same account
  • Withdrawal processing takes 5 business days & submitting written request for withdrawal
  • Upon waiver, death or TPD that terminates the policy, the APA balance will be fully refunded

APA Prevailing Rate

 Effective Date APA Interest Rate
 01/04/20084.00%
 01/04/20092.80%
 01/04/20102.90%
 01/07/20103.10%
 01/10/20103.15%
 01/07/20113.45%
 01/10/20143.60%
 01/09/20163.40%
 01/04/20183.60%

 

FAQ

Q: Will an initial APA placement statement or letter be sent upon placement?
A: No there will only be the APA annual statement

Q: When will APA Annual Statement be sent?
A: It will be sent out in April annually for all policyholders with APA

Q: What are the APA withdrawal methods?
A: APA withdrawal is only by cheque & requires policyholder to write in a written letter

Q: How long will it take for APA withdrawal processing?
A: 5 business days

 

Downloads

MyPF
Follow Us

MyPF

Admin at MyPF
Helping you to simplify and grow your Personal Finances.

Follow MyPF.my to get the latest Personal Finances updates and insights!
MyPF
Follow Us

Latest posts by MyPF

One Comment

  1. Charlie Lim October 19, 2018 at 9:28 am - Reply

    Hi Good day,

    Any latest Prevailing Rate of Advanced Premiums for Insurance ?

    Hope to hear for your soon.

    Thanks

    Good day Charlie, APA rate updated to the latest rate for 2018 at 3.60%.

Leave a Reply