[caption id="attachment_3637" align="alignright" width="150" caption="Photo by Jo Jakeman"][/caption]
I am quite disappointed when someone wrote in his blog as if agents are unethical by selling Shield Plans. I like to be transparent as of how much I will earn from a Shield Plan to illustrate that no adviser of sound mind will wants to be unethical using Shield Plans.
I hope those who read this posting understand that the adviser who took hours to patiently explain the features, who filled up 30+ pages of documentation works in compliance with MAS regulations, who negotiate with the underwriters for substandard cases, who helped with all type of queries, who helped with claims, who update on changes, etc are NOT earning a lot of money. He is really helping people and not trying to be unscrupulous by scaring people to buy a medical insurance. If he is unethical, he will rather spend his time telling them about ILPs or Whole Life policies.
I swear that it is a lot of work for an adviser who have hundreds of clients under Shield plans.
I take the Enhanced Incomeshield as an illustration based on age 1 and 55 for Plan Basic and Preferred.
Premium for Age 1
Medishield - $33(Not sure if they include GST)
Basic - $70 ($65.42 before GST)
My 1st Yr Earnings - ($65.42 - $33) x 30%(Commission Rate) x 145%(Over-riding) = $14.10 (Total paid to my company)
59% of earnings from my company will be paid to me which equates to $8.32.
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