What is life insurance?
Life insurance is a contract that pays a lump sum to beneficiaries upon the insured’s death.

What’s the difference between term and whole life insurance?

• Term Life: Covers a set number of years; no cash value.

• Whole Life: Lifetime coverage with a savings component (cash value).

Who should get life insurance?
Everyone who needs future financial protection, especially breadwinners or those with dependents, should consider life insurance. It is particularly important for individuals responsible for covering education, healthcare, retirement, and daily living expenses. Life insurance helps ensure your loved ones are financially supported in case of unexpected loss.

How much life insurance do I need?
A good rule of thumb is to have coverage equal to at least 5 times your current annual income to help your family financially recover. The exact amount depends on your income replacement needs, outstanding debts, and future expenses, such as children’s education, daily living costs, or mortgage payments.

Can I change my beneficiaries later?
Yes, most policies allow beneficiary updates anytime.

What does health insurance cover?
It typically covers hospitalization, doctor visits, lab tests, medications, and surgeries. Some plans include dental and vision.

What is the difference between HMO and PPO?

• HMO: Requires referrals and uses in-network providers.

• PPO: More flexibility with doctor choices and doesn’t need referrals.

What is critical illness insurance?
Critical illness insurance provides a lump-sum cash benefit if you are diagnosed with a serious illness such as cancer, heart attack, or stroke. This benefit can be used for medical treatments, recovery, or non-medical expenses like income replacement or household bills.

What is a pre-existing condition?
A pre-existing condition is a health issue you had before obtaining insurance coverage. Some policies may limit coverage or apply waiting periods for such conditions.

Can I add dependents to my health insurance?
Yes, most policies allow spouses and children to be added.

What is a waiting period?
A waiting period is a set amount of time after your policy starts, which coverage is limited or not yet available for certain conditions or services.

What is a VUL policy?
VUL is a type of life insurance that combines death benefits with investment.

How is VUL different from regular life insurance?
Unlike term or whole life, VUL lets you invest part of your premiums, potentially growing the policy’s cash value.

What are the risks of VUL insurance?
Investment returns are not guaranteed, market downturns can reduce your policy’s value.

Can I withdraw or borrow from my VUL policy?
Yes, you can access the cash value through loans or withdrawals, but this may reduce the death benefit.

Is VUL suitable for everyone?
No. VUL is better for financially savvy individuals who want flexible life coverage with investment growth potential.

Is car insurance required?
Yes, the Land Transportation Office (LTO) in the Philippines requires all registered vehicles to have Compulsory Third Party Liability (CTPL) insurance.

What types of motor insurance are available?

• Third-party only: Covers damage/injury to others.

• Comprehensive: Covers your vehicle, theft, fire, and third-party.

What factors affect my premium?
Factors such as the age of the vehicle, car model, and your claims history.

Does motor insurance cover damage from natural disasters?
Only if you have comprehensive coverage, which includes acts of nature.

What should I do after a car accident?
Call emergency services (if needed), document the incident, and file a claim with your insurer.

What is fire insurance?
A type of property insurance that covers loss or damage caused by fire.

What does fire insurance typically cover?
Structure, contents, and loss of income due to fire damage.

Does it cover electrical fires or arson?
Most policies cover accidental electrical fires. Arson by the owner is not covered.

Do I need fire insurance?
Yes, fire insurance is important if you want full protection for your property. A comprehensive fire insurance policy typically covers not only fire damage but also related perils such as lightning, explosions, and acts of nature like earthquakes, typhoons, and floods, depending on the terms of the policy.

How much coverage do I need?
Coverage should match the cost to rebuild your property and replace valuables.

What is the grace period for premium payments?
After the premium due date, the policy allows a 31-day grace period in which it remains active without interest or penalties.

What happens if I don’t pay within the grace period?
If payment is not received within 31 days, the policy may lapse, and coverage will be temporarily terminated.

Can I reinstate a lapsed policy?
Yes, policies can usually be reinstated within 3 years from the date of lapse, subject to company approval.

What are the requirements for reinstatement?
Reinstatement typically requires health evidence (such as a medical declaration or physical exam) and payment of missed premiums.

Will a reinstated policy restart the waiting period?
Yes, a new waiting period may apply upon reinstatement, especially for health-related benefits and pre-existing condition coverage.