KUALA LUMPUR: Malaysian Assurance Alliance Bhd (MAA Assurance), which will be launching its latest personal accident (PA) product for senior citizens, SeniorGold, tomorrow, expects total gross premiums for this segment to double to about RM60mil in the next three years.
PA plan development senior manager Tan Shwee Piow said currently PA schemes for life and general business stood at close to RM29mil.
“We also hope to increase our market share in the PA segment to 15% over the next five years from about 5% currently.
“Apart from coming out with niche and innovative products like SeniorGold, MAA Assurance will also look into other distribution channels such as through worksite marketing, Biro Angkasa, cross-selling and bancassurance,'' he said.
According to Tan, the whole industry is now experiencing a change in distribution pattern and exploring other channels to enhance business. For MAA Assurance, agencies will still remain the core and most important channel of distribution.
Worksite marketing, he said, involved a tie-up with employers via monthly salary deductions for insurance products purchased by their employees.
Tan said the company also planned to work closely with Biro Angkasa whereby the latter could make salary deductions of civil servants buying insurance schemes from MAA Assurance.
On SeniorGold, he said it was a niche product designed for those aged between 50 and 80.
“The uniqueness of the product is that there is no need for any medical check-ups or underwriting, and acceptance is guaranteed. The minimum premium per month is RM50 and it does not increase with age.
“The product provides coverage for natural and accidental deaths. For accidental death, the benefit depends on the attained age of the insured. For example, if he is between 50 and 65, the beneficiary will be entitled to five times the basic sum assured in the event of the insured's death,” Tan said.
The product also provides benefit for natural death. If the insured dies of natural causes, his beneficiary will be entitled to the basic sum assured, provided the policy has been in force for more than two years.
All premiums paid would be refunded if the natural death occurred within the first two years of the inception of the policy, Tan said.
Another feature of SeniorGold is that it provides repatriation benefits up to RM3,000. This means if the insured dies overseas, his remains will be transported back to his family, and MAA Assurance can reimburse the deceased's family up to RM3,000.
Tan said the company expected gross premiums of RM10mil for the product by year-end.
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