Get To Know The Unit Link Insurance And Its Risks

Get To Know Unit Link Insurance (Ligar Deep-Unsplash Image)

YOGYAKARTA - Insurance is a financial product that has benefits to protect oneself from various risks of financial loss. The reason is, there are two insurance products, namely traditional insurance and unit link insurance. This time we will get to know what kind of unit link insurance is.

Launching from the website as ibuangmu.ojk.go.id, unit link insurance is a contract that provides protection benefits with low premiums as well as investment. This insurance model provides benefits for the protection of death insurance.

You could say, this insurance product is a combination of two financial products, namely investment products and insurance protection products.

Taking a unit link insurance product is like a word, sambal dives for water. Buy one for two benefits.

Pertama, mendapatkan peroteksi asuransi untuk melindungi dari peristiwa tidak terduga di masa depan. Kedua, memperoleh manfaat investasi yang bakal meningkatkan aset nasabah. Perihal ini sebab di dalam skema produk unit link, uang yang disetorkan nasabah tidak hanya ditujukan membayar premi asuransi. Namun juga diinvestasikan oleh industri asurasi melalui manajer investasi, supaya nilainya terus tumbuh.

With these advantages, protection as well as investment, it is not surprising that many consumers are interested in buying unit link insurance products compared to traditional insurance products that only focus on selling protection.

Unit Link Risk

In terms of risks, it needs to be understood that unit link products are the same as other investment products, namely not risk-free. One of them is the risk of shrinking investment value.

In addition, customers should first compare which one is better, buy a package of protection and investment at once (link units) or buy it separately. Self-protection products as well as investment products are also their own.

Chairman of the Independent Financial Planner Club (IFPC), Aidil Akbar Madjid said, one of the short circuit units is that consumers cannot track where their funds are invested and what payments must be paid following the investment preference. This is what distinguishes the unit link from mutual funds.

Not only that, but unit link products also do not share their flexibility with customers to stop their investment during financial difficulties.

In contrast, by taking insurance and investing separately, customers will be very free to ensure their financial decisions. They can reduce or even stop their investment without fear of running out of protection from their insurance.

Meanwhile, for the CEO of TGRM Financial Planning Services, Taufik Gumulya, investment in the link unit does not produce maximum development when compared to separate investment products, such as mutual funds.

Why did this happen? A large pay is the answer. If we buy a link unit policy, don't expect to achieve maximum investment in the first 5 years.

The reason is, in that period, the results of our investment will be reduced by paid acquisition. Moreover, there is a unit link insurance product that charges an acquisition fee to customers of up to 41 percent of the insurance premium deposit for the first 5 years.

Unfortunately, important data about investment risks or costs that arise from purchasing this unit link is often unknown to consumers.

Costs In Unit Link Insurance

Some of the payments that will be charged to unit link insurance policyholders include the following:

So after getting to know the unit link insurance, see other interesting news on VOI.ID, it's time to revolutionize news!