Smart Protect Essential Insurance 2

Smart Protect Essential Insurance 2

Smart Protect Essential Insurance 2 is an affordable plan that allows you to work towards your goals and live the life you want while providing you with a personal safety net. With Smart Protect Essential Insurance 2, you will enjoy comprehensive coverage against unexpected events and you can further enhance your protection with additional hospitalization and medical benefits.

It makes your money work for you

Smart Protect Essential Insurance 2 is an investment-linked insurance plan that adapts to your lifestyle. It’s easy to get into – starting with just RM100 per month, you’ll receive life coverage and an investment allocation that increases over time – bringing your goals closer to reality with every passing day. The due insurance premiums paid are allocated to the unit funds at the following rates:

Policy Year 1 – 2 3 – 4 5 – 6 7 & above
Premium Allocation Rate 43% 76% 85% 100%



1% more on your sum assured every year throughout your coverage years

Smart Protect Essential Insurance 2 ensures your loved ones will not be financially burdened should the unexpected occur. With a sum assured that grows 1% every year throughout your coverage years, they can go on living with added peace of mind.

An example of how this works
Josh Lim is a 25-year-old male who buys Smart Protect Essential Insurance 2. Let’s assume he is insured for RM100,000. If he lives till age of 75, he will accumulate 1% more per year on his sum assured for 50 years.

1% x RM100,000 x 50 years = RM50,000 more.
That means his loved ones will receive a total of RM150,000.

It provides financial protection against the unexpected

Smart Protect Essential Insurance 2 is built on a foundation of protection, to ensure you and your loved ones come first if the worst should happen. In the case of death, or should you be afflicted with Total and Permanent Disability (TPD), the basic sum assured and your total investment value will be paid out in full, or in accordance to the TPD provisions of the policy, ensuring your loved ones receive the financial resources they’ll need to carry on.

It lets you choose your own protection and investment level

You may start with just a little, but as your financial options grow wider, you can vary the protection and investment levels according to your later needs and goals. Available to you is an option to boost the investment value of your policy via single premium top-ups. A minimum amount of RM1,000 for a single premium top-up will effectively provide a fresh injection of 95% of the paid premium to unit funds, bolstering your investment value and potential returns.

It lets you pick your own funds

Whatever best suits you at any time are yours to pick and invest in. Our range of professionally managed funds will cater to your risk appetite and investment style. If you ever change your mind, simply make a new selection.

It offers extra protection

You can enjoy additional peace of mind by attaching comprehensive riders to your Smart Protect Essential Insurance 2:

- Smart Medic

Provides medical protection against unexpected emergencies

- Critical Illness Benefit

Secures your finances should a critical illness occur

- IL Comprehensive Accident Benefits Xtra Rider

Covers against death and injuries due to accidents

- IL Hospitalization Benefits Rider

Provides daily cash income should you be hospitalized

- IL Waiver of Premium Plus Rider

Waives premiums should disability or critical illness occur to the life assured

- IL LadyCare / IL LadyCare Advantage

Provides protection against female-linked illnesses and coverage for maternity-related issues

It gives you tax relief

Benefits received from Smart Protect Essential Insurance 2 are generally non-taxable and premiums paid may qualify for tax relief.



Frequently Asked Questions


Q : Who can apply?

A : Anyone between 30 days attained age and 70 years next birthday can apply for Smart Protect Essential Insurance 2.

Q : What are some of the exclusions under this policy?

A : No benefit is payable under the following circumstances:

- Pre-existing condition

- Death during the first policy year as a result of suicide, while sane or insane

- Total and Permanent Disability (TPD) resulting from self-inflicted injuries, while sane or insane

Q : How do I make my payment?

A : You can pay by credit card, banker’s order, GIRO, cheque or cash. You have the flexibility to pay your premium annually, half-yearly, quarterly or even monthly (by credit card, banker’s order or GIRO).

Q : What are the current fees and charges?

A : – Insurance charges: Applicable to the sum assured, vary according to age, sex, smoking habits, occupation and health condition.

- Monthly Policy Fee: RM6.

- Fund Management Charge: 0.5% – 1.50% per annum depending on your choice of fund.



Important Notices


Smart Protect Essential Insurance 2 is a regular premium investment-linked insurance policy. This plan is an insurance product that is tied to the performance of the underlying assets, and is not a pure investment product such as unit trusts. Premiums are payable for the whole term of the policy, or until death or Total and Permanent Disability (TPD), whichever comes first. You should satisfy yourself that this plan will best serve your needs and that the premiums payable under the policy is an amount you can afford.

A free-look period of 15 days is given for you to review the suitability of the plan. If the policy is returned to the Company during this period, the Company shall refund an amount equal to the sum of

- Total investment values of the policy based on the Net Asset Value at the next valuation date; and

- The investment values of the units which have been cancelled to pay for insurance charges and policy fee; and

- The amount of premiums that have not been allocated; minus the expenses incurred for medical examination, if any.

Net Asset Value is the single price at which the policy owner buys the units in a unit fund and sells the units back to the unit fund. The minimum basic premium allowable for the policy is RM1,200 a year. The premium may be segregated into Insurance Premium and Balancer (regular premium in excess of the Insurance Premium) if any, based on the premium invested for the policy. In cases where the purchase involves a premium of a sizeable amount i.e. RM5,000 and more, the prospect should consider purchasing a single premium investment-linked insurance policy as single premium plans offer better allocation rates for investment. However, please take note that single premium plans may not offer as much insurance protection as regular premium plans and may have less riders/supplementary benefits available.

You may stop paying the premiums and still enjoy protection as long as there is a sufficient total investment value to pay for the insurance charges, policy fee and supplementary benefit premiums, where applicable. However, there is a possibility of the policy lapsing when the required charges, including rider charges, exceed the value of the fund units available. Purchasing too many unit-deduction riders may deplete the fund units.

Buying an investment-linked insurance policy is a long-term commitment. An early termination of the policy involves high costs and the withdrawal value is dependent on prevailing market value of the underlying assets of the unit fund. Therefore, the withdrawal value may be less than the total premiums paid. The policy value may rise or fall, based on the underlying performance of the funds. The performance of the funds is not guaranteed. The investment risk under the policy will be borne solely by the policy owner. Past actual performance is not a guide to future performance, which may be different. Any amount of the premium that has not been allocated to purchase is used to meet the payment of commissions to intermediaries and general expenses of the Company. The Company reserves the right, in circumstances it considers exceptional, to suspend issuance or redemption of units.