3. Pre-Need…
… and since
is about
solving a itdefinite need or
we know will happen,
problem long before the need arises.
why not prepare for it before it
happens?
… revolves around the idea that in life,
… Pre-Need is about providing a
there are future events that will
happen way before a problem exists
solution which will create problems
for the family.
4. What Definite Problems are we
bound to face?
1.
The need for education to improve
our standard of living
2.
Old Age
3.
Death
5. How Will You Solve These
Problems?
Wait until the problem happens?
Bahala na?
You’ll cross the bridge when you get
there?!
At-Need Solutions
6. Solving it the At-Need Way
1.
2.
3.
4.
You are under pressure.
You are in a hurry.
You are emotionally disturbed.
Other problems and worries come into
play.
5. Some people will take advantage of
your emotional state.
6. Somebody else is making the decision.
7. How Should You Solve These
Problems?
Find a solution before the problem
happens.
Do not leave it to chance.
Face the reality NOW and do it before
the time of need!
Pre-Need Solutions
8. Solving it the Pre-Need Way
1. You are in a normal state of mind.
2. You are not in a hurry.
3. You are not emotionally disturbed.
4. You are able to make good choices.
5. You are free from the tension and
anxiety because you are secured.
6. You make the correct decision.
9. A Pre-Need Agent sells
• Peace of Mind
• Investment
• Protection
• Assurance
10. Having a Pre-Need Plan Means…
• You care for your loved ones
• Fulfilling your responsibility
• Comfort and convenience
• Keeping your pride and dignity
• Financial security in the future
11. Think about this:
It is better to
have a plan and you don’t need it
than to
need a plan and you don’t have it!
13. One of the in the Securities and Exchange
• Registered leading Pre-Need companies with more
than 300,000 planholders
Commission on April 19, 1989
• PhP37.9B* Trust Fund
• Formerly known as Philam Plans, Inc.
• PhP700M in paid-up capital
• PhilsFirst, Inc and Systems Technology Inc.
• acquired all the shares of amounting to Inc.
With total paid benefits Philam Plans, PhP2.3
from Philam Life in September, 2009.
Billion as of 2011
*audited as of December 31, 2011
14. PhilPlans Market Share
Against Life Insurance Companies
(Based on Premium Income = First Year + Renewal Premiums)
Company
1
2
3
4
5
6
7
8
9
Premium Income
Sunlife
Philam Life & Gen.
Phil. Axa
Pru Life
Insular Life
BPI-Philam
Manulife (Phils)
SunLife Grepa
United Cocolife
10 PhilPlans First Inc.
13,884,308,644
13,507,442,515
9,983,494,021
9,900,022,868
7,483,646,727
6,420,399,324
4,994,562,292
3,048,820,156
2,916,473,766
1,313,798,853
Source: Business World Top 1000 Corporations & Insurance Commission
15. PhilPlans Market Share
Against Pre-Need Companies
(Based on Premium Income = First Year + Renewal Premiums)
Company
2011
2010
Market Share
1 St. Peter Life Plan, Inc.
3,866,883,000
2,898,200,856
43.20%
2 First Union Plans, Inc.
1,388,860,373
278,699,787
15.51%
1,313,798,853 1,404,139,332
14.68%
3 PhilPlans First, Inc.
4 Sun Life Financial Plans, Inc.
645,544,058
935,665,978
7.21%
5 Manulife Financial Plans, Inc.
631,128,907
738,776,829
7.05%
6 Loyola Plans Consolidated, Inc.
455,057,838
526,912,521
5.08%
7 Eternal Plans, Inc.
244,261,385
200,901,518
2.73%
8 APEC
200,024,000
219,496,000
2.23%
69,076,320
125,410,174
0.77%
10 Transnational Plans
67,497,437
91,993,775
0.75%
11 Himlayang Pilipino Plans, Inc.
61,793,000
72,061,225
0.69%
8,213,200
12,400,583
0.09%
8,952,138,371
7,504,658,578
9 Ayala Plans
12 Paz Memorial Services, Inc.
Total
Source: Business World Top 1000 Corporations & Insurance Commission
16. PhilPlans Ranking
Against Pre-Need Companies
(Based on Net Income = Total Profits – Total Expenses)
COMPANY
PhilPlans First Inc.
NET INCOME
(PHP in Million) % Change
1,647
St. Peter Life Plan, Inc.
Sun Life Financial Plans, Inc.
Generali Pilipinas
545
12
251
62.9
88.5
-38.5
The leading pre-need company in the country with
40.1 Billion in Trust Funds
(unaudited as of October 2012)
N.B. In BusinessWorld’s 2011 Top 1,000 Corporations, PhilPlans (42.3%) is ranked bigger than St. Peter (30.1%)
in terms of shares in gross revenues because of its huge trust fund income. Moreover, PhilPlans posted over
P1.6 Billion in net income, ranking no. 1 in Pre-Need and 3 in Life Insurance.
18. •
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
iACADEMY
Philippine Women’s University (PWU)
BancLife Insurance Co., Inc.
First Gen Corporation
Summit Technologies Inc.
GROW – Global Resource for Outsourced
Worker Inc.
Ventures Securities Inc.
Classic Finance Inc.
Tanco & Tanco Holdings Inc.
First Optima Realty Corp.
Cement Center, Inc.
Southern Textile Mills, Inc. (STMI)
Delos Santos – STI Hospital
Asian Terminals, Inc.
United Coconut Chem., Inc.
Energy Development Corp. (EDC)
23. Filipinos and “Saving”
36% of working, middle class Filipinos save
36% of working, middle class Filipinos save
regularly every month
regularly every month
64% save only when they can
64% save only when they can
Source: Moneysense Magazine, September 2008
24. Why do Filipinos fail to save?
“Mañana” habit
Lack of funds / Poor Income
Increasing expenses
Short-term thinking
Lack of knowledge
“My children will take care of me during
my old age.”
Source: Moneysense Magazine, September 2008
25. “It pays to plan
ahead.
It wasn’t raining
when Noah built
the ark.”
29. Mega Plan 30 – 1 Pay
PNP: PhP 1,000,000.00
Single pay, Semi-Annual, Quarterly, and Monthly modes
YEARLY CASH BENEFIT Amount (5% of PNP)= PhP50,000
1
0
Plan
Anniversary
3
4 5
6
7
8
9 10
11
12
13
14
15
16
17
18
19
20
21
22
Maturity Date
23
24
25
26
27
28 29
Full Availment Date
start of Yearly Cash Benefits
Equivalent to 5% of the PNP for 27 years
Return of Investment
PhP 1,000,000.00
Credit Life and Disability (Waiver of Installments)
Accidental Death and Disability (200% of the PNP) = PhP 2,000,000.00
Term Life Insurance (100% of the PNP) = PhP 1,000,000.00
Return: Return of Investment + YCB
Php1,000,000 + PhP1,350,000 (PhP50,000 x 27 years)
30
TOTAL : PhP 2,350,000.00
30. Mega Plan 30 – 5 Pay
PNP: PhP 500,000.00; AI: PhP 100,000.00
Single pay, Semi-Annual, Quarterly, and Monthly modes
YEARLY CASH BENEFIT Amount (5% of PNP)= PhP25,000
1 2 3 4 5
Plan
Anniversary
7
8
9 10
11
12
13
14
15
16
17
18
19
Maturity Date
20
21
22
23
24
25
26
27
28
29
Full Availment Date
start of Yearly Cash Benefits
Equivalent to 5% of the PNP for 23 years
Return of Investment
PhP 500,000.00
Credit Life and Disability (Waiver of Installments)
Accidental Death and Disability (200% of the PNP) = PhP 1,000,000.00
Term Life Insurance (100% of the PNP) = PhP 500,000.00
Return: Return of Investment + YCB
Php500,000 + PhP575,000 (PhP25,000 x 23 years)
30
TOTAL : PhP 1,075,000.00
31. Insurance Benefits
During the Paying Period
Credit Life
Disability Benefit
Accidental Death and Disability
During the Paying Period up to Full Availment Date
Term Life Insurance
32. Credit Life
waiver of payments upon death of the
Planholder
if the Planholder dies during the paying
period and:
before age 65*: 100% of the balance is waived
between 65 and before 70 years old*: 50% of the
balance is waived
*age last birthday
33. Disability Benefit
waiver of payments upon disablement
of the Planholder
if the Planholder becomes totally and
permanently disabled** during the
paying period and:
before age 65*: 100% of the balance is waived
between 65 and before 70 years old*: 50% of the
balance is waived
*age last birthday
**subject to a 6-month observation period; disability claim must be filed within 180 days.
34. Accidental Death and Disability
in case of death or disability of the
planholder due to accident during the
paying period and:
before age 65*: 200% of the PNP
between 65 and before 70 years old*: 100% of the
PNP
*age last birthday
Note: The benefit schedule is attached to the Plan Contract. Disability must be Total and Permanent, subject
to a 6-month observation period. Disability claim must be filed within 180 days from the date of accident.
35. Term Life Insurance
in case of death of the planholder before
the Full Availment Date and:
before age 65*: 100% of the PNP
between 65 and before 70 years old*: 50% of the
PNP
*age last birthday
36.
37. Programs Available
1-Pay
PhP 50,000 minimum* Annual Installment
5-Pay
PhP 20,000 minimum* Annual Installment
*amount may be increased by increments of PhP1,000
38. Nova Plan 20 – 1 Pay
PNP: PhP 1,000,000.00
Single pay, Semi-Annual, Quarterly, and Monthly modes
YEARLY CASH BENEFIT Amount (5% of PNP)= PhP50,000
0
1
Plan
Anniversary
7
8
9
10
11
12
13
14
15
16
Maturity Date
17
18
19
Full Availment Date
start of Yearly Cash Benefits
Equivalent to 5% of the PNP for 13 years
Return of Investment
PhP 1,000,000.00
Credit Life and Disability (Waiver of Installments)
Accidental Death and Disability (200% of the PNP) = PhP 2,000,000.00
Term Life Insurance (100% of the PNP) = PhP 1,000,000.00
Return: Return of Investment + YCB
Php1,000,000 + PhP650,000 (PhP50,000 x 13 years)
20
TOTAL : PhP 1,650,000.00
39. Nova Plan 20 – 5 Pay
PNP: PhP 500,000.00; AI: PhP 100,000.00
Single pay, Semi-Annual, Quarterly, and Monthly modes
1 2
3
YEARLY CASH BENEFIT Amount (5% of PNP)= PhP25,000
4
Plan
Anniversary
5
7
8
9
10
11
12
13
14
Maturity Date
15
16
17
18
19
Full Availment Date
start of Yearly Cash Benefits
Equivalent to 5% of the PNP for 13 years
Return of Investment
PhP 500,000.00
Credit Life and Disability (Waiver of Installments)
Accidental Death and Disability (200% of the PNP) = PhP 1,000,000.00
Term Life Insurance (100% of the PNP) = PhP 500,000.00
Return: Return of Investment + YCB
Php500,000 + PhP325,000 (PhP25,000 x 13 years)
20
TOTAL : PhP 825,000.00
40. Insurance Benefits
During the Paying Period
Credit Life
Disability Benefit
Accidental Death and Disability
During the Paying Period up to Full Availment Date
Term Life Insurance
43. Ingat Yaman Pitaka – 5 Pay
PNP: PhP 100,000.00; AI: PhP 20,000.00
Annual, Semi-Annual, Quarterly, and Monthly modes
1
2
3
4
GUARANTEED
MATURITY
BENEFIT (115% of
PNP):
5
Plan Anniversary
10
PhP 115,000.00
Maturity Date
Credit Life and
Disability Insurance
Accidental
Death and
Disability
(Waiver of Installments)
(200% of the PNP) = PhP 200,000.00
Term Life Insurance (100% of the PNP) = PhP 100,000.00
44. Ingat Yaman Alkansya – 5 Pay
PNP: PhP 100,000.00; AI: PhP 20,000.00
Annual, Semi-Annual, Quarterly, and Monthly modes
1
2
3
4
GUARANTEED
MATURITY
BENEFIT (125% of
PNP):
5
Plan Anniversary
12
PhP 125,000.00
Maturity Date
Credit Life and
Disability Insurance
Accidental
Death and
Disability
(Waiver of Installments)
(200% of the PNP) = PhP 200,000.00
Term Life Insurance (100% of the PNP) = PhP 100,000.00
45. Ingat Yaman Kaban – 5 Pay
PNP: PhP 100,000.00; AI: PhP 20,000.00
Annual, Semi-Annual, Quarterly, and Monthly modes
Maturity Date
start of Yearly Cash Benefits
Credit Life and
Disability Insurance
Accidental
Death and
Disability
(Waiver of Installments)
(200% of the PNP) = PhP 200,000.00
Term Life Insurance (100% of the PNP) = PhP 100,000.00
PhP 8,000.00
10% of the MB
PhP 8,000.00
15% of the MB
PhP 12,000.00
13th
20% of the MB
PhP 16,000.00
14th
Full
Availment
Date
10% of the MB
12th
10 11 12 13 14 15
Computation
10th
Plan
Anniversary
YCB AMOUNT
11th
1 2 3 4 5
Year
YEARLY CASH BENEFIT
20% of the MB
PhP 16,000.00
TOTAL YCB
PhP
60,000.00
(80% of PNP):
PhP 80,000.00
Return: Return of Investment + YCB
Php80,000 + PhP60,000
TOTAL : PhP 140,000.00
(140% of the PNP)
47. Guaranteed Yearly Cash Benefit
Year
Yearly Cash Benefit Amount
Computation
10th
10% of the Maturity Benefit
10% x PhP 80,000.00 = PhP 8,000.00
11th
10% of the Maturity Benefit
10% x PhP 80,000.00 = PhP 8,000.00
12th
15% of the Maturity Benefit
15% x PhP 80,000.00 = PhP 12,000.00
13th
20% of the Maturity Benefit
20% x PhP 80,000.00 = PhP 16,000.00
14th
20% of the Maturity Benefit
20% x PhP 80,000.00 = PhP 16,000.00
TOTAL YEARLY CASH BENEFITS
PhP 60,000.00
will be paid out upon confirmation of the
Planholder starting on the Maturity Date
48. Insurance Benefits
During the Paying Period
Credit Life
Disability Benefit
Accidental Death and Disability
During the Paying Period up to Full Availment Date
Term Life Insurance
50. Summary of Benefits
PRODUCT FEATURES
PAY PERIOD/
Minimum Investment/
Annual Installment
1-Pay = 180K
5-Pay = 20K
1-Pay = 50K
5-Pay = 20K
30
20
100% of the PNP given on the 30th
plan anniversary
100% of the PNP given on the 20th
plan anniversary
ANNUAL CASH PAY OUT
√
√
YEARLY CASH BENEFIT
SCHEDULE
5% of the PNP beginning on the 3rd
(for 1 Pay) or 7th (for 5 Pay) plan
anniversary up to the 29th plan
anniversary
5% of the PNP beginning on the 7th
plan anniversary up to the 19th plan
anniversary
1 Pay: 5% x 27 years + ROI =
235% of the PNP
5 Pay: 5% x 23 years + ROI =
215% of the PNP
1 Pay & 5 Pay: 5% x 13 years + ROI =
165% of the PNP
MATURITY
MATURITY BENEFIT
TOTAL LIVING
BENEFITS:
51. Summary of Benefits
PRODUCT FEATURES
CREDIT LIFE
Yes, during the Paying Period
Yes, during the Paying Period
DISABILITY BENEFIT
Yes, during the Paying Period
Yes, during the Paying Period
ACCIDENT & DEATH
DISABILITY (AD&D)
200% of the PNP during paying
period
200% of the PNP during paying period
100% of the PNP during paying &
waiting period; ends at Full
Availment or Planholder’s demise
100% of the PNP during paying &
waiting period; ends at Full
Availment or Planholder’s demise
1 Pay: 535% of the PNP
5 Pay: 515% of the PNP
1 Pay & 5 Pay: 465% of the PNP
TERM LIFE
TOTAL BENEFITS:
(With Insurance)
52. Summary of Benefits
PRODUCT FEATURES
PAY PERIOD
5
5
5
MATURITY
10
12
15
115% of the PNP given on
the 10th plan anniversary
125% of the PNP given on
the 12th plan anniversary
80% of the PNP given on
the 15th plan anniversary
N/A
N/A
√
MATURITY BENEFIT
ANNUAL CASH PAY OUT
10th year: 10% of the
Maturity Benefit
11th year:10% of the
Maturity Benefit
YEARLY CASH BENEFIT
SCHEDULE
N/A
N/A
12th year:15% of the
Maturity Benefit
13th year:20% of the
Maturity Benefit
14th year:20% of the
Maturity Benefit
TOTAL LIVING BENEFITS:
115% of PNP
125% of PNP
Note: Minimum Annual Installment Amount = PhP20,000
140% of PNP
53. Summary of Benefits
PRODUCT FEATURES
CREDIT LIFE
Yes, during the Paying
Period
Yes, during the Paying
Period
Yes, during the Paying
Period
DISABILITY BENEFIT
Yes, during the Paying
Period
Yes, during the Paying
Period
Yes, during the Paying
Period
ACCIDENT & DEATH
DISABILITY (AD&D)
200% of the PNP during
paying period
200% of the PNP during
paying period
200% of the PNP during
paying period
TERM LIFE
100% of the PNP during
paying & waiting
period; ends at
Maturity or Planholder’s
demise
100% of the PNP during
paying & waiting
period; ends at Maturity
or Planholder’s demise
100% of the PNP during
paying & waiting
period; ends at Full
Availment or
Planholder’s demise
415% of PNP
425% of PNP
440% of PNP
TOTAL BENEFITS:
(With Insurance)
Note: Minimum Annual Installment Amount = PhP20,000
55. Acceptance Age
With Insurance
Benefit
No Insurance Benefit
18 – 69 years old*
18 – 99 years old
In good health
Note: A Planholder with insurance benefits will undergo a 1-Year
Contestability.
*age last birthday
56. Incontestability
Death due to Health Reasons
• The Insurer conducts an investigation if death occurs
within one (1) year from the plan effective date.
• Provides the Insurer the right to deny claims due to
concealment of facts on the application.
Contestability Period
EFFECTIVITY DATE
January 1, 2013
1 YEAR FROM EFFECTIVITY DATE
January 1, 2014
The insurer can no longer contest claims after the plan has remained in force for (1) year except
for gross fraud.
57. Transferability
The Planholder may transfer the rights and
privileges in the Plan Contract to another
person subject to the following:
Plan Contract must be in force
Request must be made in writing, in a
standard company form provided by
PhilPlans, Inc.
58. Transferability
New Application form signed by the person to
whom the plan is to be transferred
Prospective Planholder will be treated as a
New Planholder and will be subject to
underwriting requirements for purposes of
insurance coverage.
59. Transferability
The transfer shall be subject to the same
Terms and Conditions of the Original Policy
Contract.
New Planholder will receive a new Policy
Contract upon approval.
60. Plan Termination Value
The Planholder may opt to avail of the
Plan Termination Value in case he cannot
continue to pay for the plan.
The Plan Termination Value is included in
the Plan Agreement.
61. Reinstatement
Pure Reinstatement
all overdue installments are paid with
surcharge at the prevailing rate, plus fees and
other charges
Redating
pay one current installment at the current rate
and terms, plus fees and other charges
Maturity Date and Full Availment Date will be
adjusted accordingly
Note: Planholder will undergo 1 year contestability after Reinstatement
62. Reinstatement Overview
Last
Due Date
Quick Paid-Up Status
60 Days
2 Years
Grace Period
DELINQUENT
Reinstatement Period
LAPSED
2 Types of Reinstatement:
Reinstate to Original
Maturity/Full Availment Benefit
1.Pure Reinstatement
2.Redating
Plan Termination Value
Reduced Maturity Benefit
Note: the Planholder will undergo 1 year contestability after Reinstatement
63. Modal Factors
for Pension Plans
Semi-Annual = 0.525 x Annual Installment
Quarterly = 0.267 x Annual Installment
Monthly = 0.090 x Annual Installment
64. VAT Rate
for Pension Plans
5.88%*
*49% of the Gross Installment Amount x 12% VAT
72. TIPS IN SELLING
Be PREPARED!
Know your customer
Know your product
Look good!
Start with the BENEFITS!
Handle the Objections.
Close the SALE!
Things to AVOID:
hard selling.
technical terms.
Forgetting your
materials.
73. Yearly Cash Benefit: P25,000
Total Yearly Cash Benefit: P575,000
Return of Investment: P500,000
Total Return: P1,075,000
Pre-Need Price: P500,000
Paying Period: 5 years
Annual Installment: P105,880
Return: Return of Investment + YCB
0 1 2 3 4 5
P105,880 P105,880 P105,880
P105,880 P105,880
Paying Period
TOTAL : P1,075,000
P500,000 + P575,000
7
25k
8
25k
9 10
25k
11
25k
12
13
25k
25k
14
15
25k
25k
16
17
25k
25k
18
19
25k
25k
20
21
25k
25k
22
23
25k
25k
24
25
25k
25k
26
28
27
25k
25k
29
30
25k
25k
25k
Planholder to invest
P105,880 for 5 years
Credit Life
YEARLY CASH BENEFIT Amount (PhP25,000 x 23 years) =
P575,000
Disability Benefit
Accidental Death
and Disability
(200% of PNP) =
P1,000,000
Maturity Date
start of Yearly Cash Benefits
Equivalent to 5% of the PNP for 23 years
Term Insurance (100% of PNP) = P500,000
Full Availment Date
Return of Investment
P500,000
74. Yearly Cash Benefit: P25,000
Total Yearly Cash Benefit: P325,000
Return of Investment: P500,000
Total Return: P825,000
Pre-Need Price: P500,000
Paying Period: 5 years
Annual Installment: P105,880
Return: Return of Investment + YCB
0 1 2
3
4
P105,880 P105,880 P105,880
P105,880 P105,880
Paying Period
5
TOTAL : P825,000
P500,000 + P325,000
7
8
9
25k
25k
10
11
25k
25k
12
13
25k
25k
14
15
25k
25k
16
17
25k
25k
18
19
20
25k
25k
25k
Planholder to invest
P105,880 for 5 years
Credit Life
YEARLY CASH BENEFIT Amount (PhP25,000 x 13 years) =
P325,000
Disability Benefit
Accidental Death and
Disability (200% of
PNP) = P1,000,000
Maturity Date
start of Yearly Cash Benefits
Equivalent to 5% of the PNP for 13 years
Term Insurance (100% of PNP) = P500,000
Full Availment Date
Return of Investment
P500,000
75. Return of Investment: P115,000
Pre-Need Price: P100,000
Paying Period: 5 years
Annual Installment: P21,176
0 1 2
Return:
3
4
P115,000
5
P21,176
P21,176
P21,176
P21,176
P21,176
Paying Period
Planholder to invest
P21,176 for 5 years
10
Maturity Date
Return of Investment
Equivalent to 115% of the PNP
Credit Life
Disability Benefit
Accidental Death and
Disability (200% of
PNP) = P200,000
Term Insurance (100% of PNP) = P100,000
76. Return of Investment: P125,000
Pre-Need Price: P100,000
Paying Period: 5 years
Annual Installment: P21,176
0 1 2
Return:
3
4
P125,000
5
P21,176
P21,176
P21,176
P21,176
P21,176
Paying Period
Planholder to invest
P21,176 for 5 years
12
Maturity Date
Return of Investment
Equivalent to 125% of the PNP
Credit Life
Disability Benefit
Accidental Death and
Disability (200% of
PNP) = P200,000
Term Insurance (100% of PNP) = P100,000
77. Maturity Benefit: P80,000
Total Yearly Cash Benefit: P60,000
Total Return: P140,000
Pre-Need Price: P100,000
Paying Period: 5 years
Annual Installment: P21,176
Return: Maturity Benefit + YCB
0 1 2
3
4
P21,176
P21,176
P21,176
P21,176
P21,176
Paying Period
5
TOTAL : P140,000
P80,000 + P60,000
Year
10
11
12
13
14
12k
8k
16k
16k
YEARLY CASH BENEFIT
Amount = P60,000
10th
10% of MB = P8,000
11th
10% of MB = P8,000
12th
8k
Planholder to invest
P21,176 for 5 years
Credit Life
15
Yearly Cash Benefit
Amount
15% of MB = P12,000
13th
20% of MB = P16,000
14th
20% of MB = P16,000
Disability Benefit
Accidental Death and
Disability (200% of
PNP) = P200,000
Maturity Date
start of Yearly Cash Benefits
Term Insurance (100% of PNP) = P100,000
Full Availment Date
Maturity Benefit Equivalent to 80% of the PNP
P80,000
78. Get a partner.
Practice How To Sell
Scenarios:
Party/Get together
Office/Work
Community
Present your
scenario to the
group!
79. Yearly Cash Benefit: P25,000
Total Yearly Cash Benefit: P575,000
Return of Investment: P500,000
Total Return: P1,075,000
Pre-Need Price: P500,000
Paying Period: 5 years
Annual Installment: P105,880
Return: Return of Investment + YCB
0 1 2 3 4 5
P105,880 P105,880 P105,880
P105,880 P105,880
Paying Period
TOTAL : P1,075,000
P500,000 + P575,000
7
25k
8
25k
9 10
25k
11
25k
12
13
25k
25k
14
15
25k
25k
16
17
25k
25k
18
19
25k
25k
20
21
25k
25k
22
23
25k
25k
24
25
25k
25k
26
28
27
25k
25k
29
30
25k
25k
25k
Planholder to invest
P105,880 for 5 years
Credit Life
YEARLY CASH BENEFIT Amount (PhP25,000 x 23 years) =
P575,000
Disability Benefit
Accidental Death
and Disability
(200% of PNP) =
P1,000,000
Maturity Date
start of Yearly Cash Benefits
Equivalent to 5% of the PNP for 23 years
Term Insurance (100% of PNP) = P500,000
Full Availment Date
Return of Investment
P500,000
80. Yearly Cash Benefit: P25,000
Total Yearly Cash Benefit: P325,000
Return of Investment: P500,000
Total Return: P825,000
Pre-Need Price: P500,000
Paying Period: 5 years
Annual Installment: P105,880
Return: Return of Investment + YCB
0 1 2
3
4
P105,880 P105,880 P105,880
P105,880 P105,880
Paying Period
5
TOTAL : P825,000
P500,000 + P325,000
7
8
9
25k
25k
10
11
25k
25k
12
13
25k
25k
14
15
25k
25k
16
17
25k
25k
18
19
20
25k
25k
25k
Planholder to invest
P105,880 for 5 years
Credit Life
YEARLY CASH BENEFIT Amount (PhP25,000 x 13 years) =
P325,000
Disability Benefit
Accidental Death and
Disability (200% of
PNP) = P1,000,000
Maturity Date
start of Yearly Cash Benefits
Equivalent to 5% of the PNP for 13 years
Term Insurance (100% of PNP) = P500,000
Full Availment Date
Return of Investment
P500,000
81. Return of Investment: P115,000
Pre-Need Price: P100,000
Paying Period: 5 years
Annual Installment: P21,176
0 1 2
Return:
3
4
P115,000
5
P21,176
P21,176
P21,176
P21,176
P21,176
Paying Period
Planholder to invest
P21,176 for 5 years
10
Maturity Date
Return of Investment
Equivalent to 115% of the PNP
Credit Life
Disability Benefit
Accidental Death and
Disability (200% of
PNP) = P200,000
Term Insurance (100% of PNP) = P100,000
82. Return of Investment: P125,000
Pre-Need Price: P100,000
Paying Period: 5 years
Annual Installment: P21,176
0 1 2
Return:
3
4
P125,000
5
P21,176
P21,176
P21,176
P21,176
P21,176
Paying Period
Planholder to invest
P21,176 for 5 years
12
Maturity Date
Return of Investment
Equivalent to 125% of the PNP
Credit Life
Disability Benefit
Accidental Death and
Disability (200% of
PNP) = P200,000
Term Insurance (100% of PNP) = P100,000
83. Maturity Benefit: P80,000
Total Yearly Cash Benefit: P60,000
Total Return: P140,000
Pre-Need Price: P100,000
Paying Period: 5 years
Annual Installment: P21,176
Return: Maturity Benefit + YCB
0 1 2
3
4
P21,176
P21,176
P21,176
P21,176
P21,176
Paying Period
5
TOTAL : P140,000
P80,000 + P60,000
Year
10
11
12
13
14
12k
8k
16k
16k
YEARLY CASH BENEFIT
Amount = P60,000
10th
10% of MB = P8,000
11th
10% of MB = P8,000
12th
8k
Planholder to invest
P21,176 for 5 years
Credit Life
15
Yearly Cash Benefit
Amount
15% of MB = P12,000
13th
20% of MB = P16,000
14th
20% of MB = P16,000
Disability Benefit
Accidental Death and
Disability (200% of
PNP) = P200,000
Maturity Date
start of Yearly Cash Benefits
Term Insurance (100% of PNP) = P100,000
Full Availment Date
Maturity Benefit Equivalent to 80% of the PNP
P80,000
86. Sample Computation
Mega Plan 1/30
Annual Installment of PhP1,000,000 X 1 Plan per month
1st Year GROSS
BASIC COMMISSION
LESS
10,000.00
1st Year NET
BASIC COMMISSION
Basic Commission
50,000
Agents’ Bonus
10,000
(Tax (15%))
8,500
Total
60,000
11,500
48,500
(Tax (15%) & CBR (5%))
1,500
POTENTIAL INCOME = PhP 48,500.00
40,000
87. Commission
For 1-Pay
Basic Commission
Year 1
5% of FYP
Agents’ Bonus
Year 1
5% of FYP
Productivity Bonus**
Year 1
5% of FYP
**For every 4 PC or PhP50,000 FP (cumulative) validated every month
88. Sample Computation
Nova Plan 1/20
Annual Installment of PhP1,000,000 X 1 Plan per month
1st Year GROSS
BASIC COMMISSION
Basic Commission
50,000
Agents’ Bonus
50,000
Productivity
Bonus
Total
LESS
10,000.00
(Tax (15%) & CBR (5%))
15,000.00
50,000
(Tax (15%) for Agent’s Bonus
& Productivity Bonus)
150,000
25,000
1st Year NET
BASIC COMMISSION
40,000
85,000
125,000
POTENTIAL INCOME = PhP 125,000.00
Note: with the assumption that the parameters for Productivity Bonus was met
89. Commission
For 5-Pay
Basic Commission
Year 1
20% of FYP
Agents’ Bonus
Year 1
9.7% of FYP
Productivity Bonus**
Year 1
5% of FYP
**For every 4 PC or PhP50,000 FP (cumulative) validated every month
90. Sample Computation
Mega Plan 5/30
Annual Installment of PhP100,000 X 4 Plans per month
1st Year GROSS
BASIC COMMISSION
Basic Commission
20,000
Agents’ Bonus
9,700
Productivity
Bonus
Total
LESS
P4,000.00
(Tax (15%) & CBR (5%))
P2,205.00
5,000
(Tax (15%) for Agent’s Bonus
& Productivity Bonus)
34,700
6,205
1st Year NET
BASIC COMMISSION
16,000
12,495
28,495
POTENTIAL INCOME = Net Basic Commission x 4 Plans
P 28,495 x 4 = PhP 113,980.00
Note: with the assumption that the parameters for Productivity Bonus was met
91. Agency Leaders & Associates
Protection Program (Sales Counselors)
Classification
RECOGNITION TIER
BRONZE
SILVER
GOLD
50,000 FP & 8 PCs
150,000 FP & 10 PCs
750,000 FP & 12 PCs
Below 65 years old 50,000
100,000
150,000
65 to 70 years old 10,000
20,000
30,000
Term Insurance
PhilCare
---
---
License Fees
---
---
Waived
NOTE: Parameters and Benefits are subject to change annually.
93.
JUAN ANTONIO
SANTOS
DELA CRUZ
01
01
1980
Manila
Maria Antonia F. Santos
Business
Businessman – Mini Grocery
N/A
(02) 888-0000
0919 894-7253
ABC & D Manufacturing Co.
123-456-789
N/A
(02) 927-9446
N/A
(02) 894-7253
ja_delacruz@yahoo.com
9 8 7 B S P E N C E R S T R E E T,
C U B A O, Q U E Z O N C I T Y
1 5 F A B C & D B L D G ., 1 2 3
A Y A L A A V E., M A K A T I C I T Y
94. D E L A C R U Z , J U A N A C.
12
12
Php 100,000
Php 500,000
Mega Plan 30
1980
Spouse
5 yrs.
30 yrs.
Php 500,000
Php 100,000
Php 5,880
Php 300
Php 106,180
Note to Trainer:
Pre-Need was initially associated with selling memorial plans. It was traditionally selling “packaged” memorial plans that includes mortuary services, and caskets; prices usually vary depending on the type of casket and viewing chapel.
Peace of Mind because you don’t need to worry about what may happen in the future.
An Investment with a guaranteed return when the time of need comes.
Protection against being taken advantage of at the time when the entire family is emotionally disturbed.
Assurance that our family will be spared from financial difficulty.
Trust fund audited in 2010 is at P 35.7B
Excess of trust fund is at P 10.2B in 2011 against P 7.9B in 2010
************************
From: Gonzales, Jerik D. Sent: Friday, July 20, 2012 8:55 AMTo: Orendain, Ma. Celina G.Cc: Cordero, Ellen F.Subject: 2011 and 2012 benefit payout
Ms. Nina,
Attached are the latest 2012 benefits payout data and total 2011 benefit data.
Below is the summary of 2011 payout:
Education: 878,511,615
Pension: 1,424,665,064
Memorial: 17,904,333
Thanks!
Jerik D. Gonzales | Marketing Officer
Brand Management Department
( (02) 802-7300 ext. 28657
**Merger of AsianLife and BancLife will soon be announced and called Philippine Life
In a survey done in year 2008, 8 out of 10 Filipinos believe that they will face bleak retirement. And only 1 out of 10 are preparing financially for their retirement. The remaining 9 Filipinos has a bit of savings but they are not sure if it will be enough. Also, most of them do not have any idea how much they’ll need to save for retirement and more unfortunate, some might not even have started planning about their retirement.
Only 36% of Filipinos save regularly on a monthly basis while 64% only save when they can. In a survey done, it was said that 9 out of 10 Filipinos attempt to follow a budget, while only 33% stick to it.
“Mañana Habit”- Most Filipinos have a habit procrastination. Unfortunately, even with the concept of retirement planning. Most Filipinos have a habit of putting the future on hold because they have to deal with the present first.
That brings us to the next point which is Lack of funds/poor income. Everybody knows that before anything else, it is vital that we address first our basic needs which are food, shelter and clothing. Unfortunately, sometimes, the consolidated earnings of the Filipino family are just enough to cover for the basic needs, we cannot afford set aside for our future financial plans.
Also, due to lack of funds and the constant increase in our expenses, we barely have enough to save or put into a retirement plan. We can avoid this situation by realizing that it is not necessary that we put large amounts all the time in our savings plan, rather, we can always add what we can currently afford and for sure, it will go a long way than not saving anything at all.
Short-term thinking shows us the Filipino mentality of “isang kahig,isang tuka”. Since living on a daily basis is what we usually do, we sometimes forget that the preparing for the future is as important as dealing with the present expenses.
Lack of knowledge- According to an article, for Filipinos, the best investment vehicles for retirement are Real Estate, Time Deposit and Savings. We can say that Filipinos remain to be unsophisticated in their choices for investment instruments. Majority still haven’t had the opportunity to explore pre-need plans, life insurance, stocks and the like.
“My children will take of me during my old age”- This is what we usually call the Filipino Retirement planning. Further, most parents are too busy preparing for their children’s future and they tend to forget to prepare for their old age. They will simple say, if I can provide a good future for my children they will look after me during my old age.
Note:
proof of Total and Permanent Disability must be submitted within 90 days after the occurrence of such disability
Note:
Indemnities will be paid if the insured suffers accidental bodily injuries resulting to any of the specified losses within 180 days after the date of accident causing the loss provided that the date of said accident occurred during the continuance of the rider and before the age of 65.
Low minimum entry (Minimum Annual Installment requirement) therefore the Maturity is on the 7th Plan Anniversary
Low minimum entry (Minimum Annual Installment requirement) therefore the Maturity is on the 7th Plan Anniversary
Check For Understanding
Ask participants if they still have clarifications about the Insurance Benefits (Credit Life, Disability, Accidental Death and Disability, and Term Life) which has been previously discussed. If there’s none, proceed to the next topic.
Computation of the Yearly Cash Benefit for Ingat-Yaman Kaban:
10th Year = (PNP x 80%) x 10%
11th Year = (PNP x 80%) x 10%
12th Year = (PNP x 80%) x 15%
13th Year = (PNP x 80%) x 20%
14th Year = (PNP x 80%) x 20%
Check For Understanding
Ask participants if they still have clarifications about the Insurance Benefits (Credit Life, Disability, Accidental Death and Disability, and Term Life) which has been previously discussed. If there’s none, proceed to the next topic.
Plan Termination Value:
- Statutory reserve less 20% surrender charge
- based on several factors and computed per individual. Different values per individual, and will be stated on the plan contract
*does not include VAT and tax
VAT
Activity: For the next 15minutes, participants to start doing their iProject 30 by filling-out of names on the Prospect portion of the page
Know your customer:
qualify mo na sya
Alam mo na diskarte mo sa kanya
Baka techie sya, techie ka rin ba?
That’s why we have to know how to use technology and powerpoint
Hard selling: “bili ka na nito, mura lang!” wala ka pa ngang pinipresent eh.
Forgetting to bring black ballpen, calculator, and the Application Form!
Practice with your partner for 15mins
Role Play tayo.
Note to Trainer:
Please stress the importance of filling out the Declaration and Representations as these will affect the approval of our client’s application since these questions will determine whether the client is in good health or not. Plus the fact that our insurer, Banclife, is strict about this, we must explain to our participants that truthful answering of these question will not only make the processing of their application faster, but can also avoid pending cases that may result to non-approval of their application.
Those who are qualified to pre-screen an application form are the following:
Territory Head
Regional Sales Manager
TH’s Secretary
RSM’s Secretary
Area Manager
Branch Services Officers/Customer Service Assistants
