Most policyholders are not aware that they have the options to “repackage” their policy if they’ve decided that their insurance policies are no longer relevant to their current needs. Sometimes, filling up a simple amendment form is all you need to change existing terms and conditions of your existing policy.

In my experience, a lot of policy lapses happen not because of the policy itself, but rather it’s because of the lousy service and support from the servicing agent. There’s actually “cheaper” ways to solve the problem than just lapsing the policy. A policyholder has the rights to request the Company to reassign a new servicing agent (or recommend a servicing agent to the Company) should it be proven that the existing servicing agent hasn’t been fulfilling their responsibilities.

But here’s my final advice for people who are thinking of surrendering their policy and to replace it with a new one: Get neutral advice.

Of course, please get advice from someone who is knowledgeable in the subject. You will be able to get a better perspective on the whole surrendering exercise because they don’t gain a single sen out of it!

• Investment-Linked Insurance Policy: Premium Allocation- Part 3
• Whole-life Insurance Policy
• Investment-Linked Insurance Policy: An Overview- Part 1
• Malaysia Endowment Insurance
• Comprehensiveness of Coverage
• Malaysia Online Car Insurance Resources
• The Malaysia Insurance Planning Guide Part 1: Needs or Wants
• Investment-Linked Insurance Policy: Insurance Charges- Final Part