...

Resources

Industrypedia

Your insurance 101

Consider this your cheat sheet. We’ve broken down complex terms, so you can navigate your policy with total confidence.

Read More

Industry Performance

The pulse of the life insurance market

Get the full picture. Stay updated with the latest growth, trends, and infographics curated directly from our annual and quarterly reports.

Coming Soon
See Documents

Members VUL NAVPU Data

Your daily investment tracking

Track your growth in real-time. Access the latest Net Asset Value Per Unit (NAVPU) updates to monitor how Variable Universal Life (VUL) funds are performing across all our member companies.

Coming Soon
View Data

Industrypedia

We’ve broken down complex terms, so you can navigate your policy with total confidence.

B

Life insurance policies sold through banks, making them more accessible but sometimes leading to confusion about coverage differences from traditional agents

These are the people chosen by the policy owner to receive the benefits of the life insurance plan. They can be family members or other qualified dependents.

Educational Benefit
An Educational Benefit allows you to use the fund value of your plan to cover for your children’s schooling.

Death Benefit
Your beneficiaries will receive cash called a Death Benefit when you pass away. *Beneficiaries can be family members or dependents.

Living Benefit
Once you’re insured you can use an amount from your fund value called a Living Benefit in case you need a source of funds.

Maturity Benefit
Depending on your plan, if your insurance reaches a certain period over time, you get to receive a portion of your funds called a Maturity Benefit

C

The amount of cash that you will receive if you decide to cancel or surrender your life insurance plan. *There will be certain charges and fees applied before you would receive the final amount.

Once your life insurance policy has started to earn cash value, you can borrow the cash value of your policy. Compared to withdrawing, you get the cash you need, and your policy continues to build up your value.

In choosing a life insurance policy, ask yourself: Is the life insurance company a trusted name? What are the financial products that they offer? What benefits & riders can i add to my policy? Do the products that they offer fit my needs? How much are the premiums? How is their customer service?

When a policy is used as security for a loan, with the lender having a right to the payout.

A strategy where an employer and employee share the costs and benefits of a life insurance policy.

A lot of factors can affect how much your policy’s premium will be: Age, Sex, Occupation, Lifestyle, and Medical History. There are other factors that can affect the premium of your policy and it’s best to ask a financial advisor for a quotation.

D

Consumers can now access life insurance information and services online, anytime and from anywhere. Digital payments have become part of the day-to-day activities of every Filipino. The use of digital wallets and online banking have made transactions with insurance companies, HMOs, and other financial services convenient, just by using mobile phones. Digital financial services like microloans and microinsurance give low-income consumers access to credit and affordable financial protection against life’s unexpected challenges.

Dividends are like an annual bonus from your insurance company.
It’s a porton of your premiums paid back to you when the company does financially well.

E

A type of life insurance policy that also serves as a savings plan. When you pay your premiums, a portion of that money is invested by the insurance company, allowing it to grow over time. When the policy matures, reaches a specific period, or if something unexpected happens to you, you and your family are guaranteed to receive a lump sum.

Life insurance payouts in the Philippines are subject to estate tax if the policyholder is also the beneficiary. Clients often misunderstand how to structure their policy to minimize taxation.

F

This is the amount of your insurance coverage and the cash benefit your beneficiaries will receive at the time of your passing.

How do financial advisors get paid?
Financial Advisors work on a commission-based income, meaning they earn whenever a client avails a financial product from them. Aside from their commissions, they may also receive monthly allowances and incentives depending on their sales performance.

I can no longer contact my financial advisor.
Financial advisors are trained to provide continuous support to their clients after a sale to maintain their relationship with their clients while building their reputation. But in case you can no longer reach your financial advisor, you can contact the company of your financial advisor to assist you by providing options such as endorsing you to another Financial Advisor who can continue to assist you.

Many banks provide free insurance for account holders but with limited coverage, which some clients mistakenly assume is enough.

The investment portion of a VUL policy, which fluctuates depending on market performance.
The total worth of your VUL’s investment component. This value may grow over time depending on market conditions.

G

A customizable insurance plan that provides protection and coverage to employees or organization members under one policy owner. This is best for companies and employers who want to give their employees additional benefits for their hard work.

H

A type of insurance plan with the added benefit of health coverage from strokes, heart attacks, or any illnesses and injuries that are covered by the plan. Great for those who want to be prepared for any medical emergency and dealing with the huge financial burden from major illnesses.

Many Filipinos confuse Health Maintenance Organizations (HMOs) with life insurance, not realizing HMOs cover medical expenses while life insurance provides financial protection after death.

A way to calculate how much life insurance a person needs based on their future earning potential.

I

A projection of how a policy’s cash value and benefits may grow over time, which is not always guaranteed.

The regulatory body overseeing insurance companies in the Philippines, ensuring consumer protection.

Endowment
An insurance plan that grants the owner cash benefits when the plan reaches a certain period over time (eg. from the 5th year and every 2 years until the 20th year).

Term Insurance
An insurance plan that grants you protection for a certain duration like 1, 5, or 10 years. You have the option to renew the coverage but premiums will increase based on your current age at the time of renewal.

VUL
An insurance plan with added cash benefits and potential fund growth through investments.

Whole Life Insurance
An insurance plan that grants the insured a lifetime of protection as long as the policyholder continues to pay the premiums.

The people whose life is covered by the life insurance plan.

J

Policies purchased for children, often for future insurability or savings purposes.

K

A policy taken out by a business on a vital employee, with the business as the beneficiary.

L

When a policy becomes inactive due to missed payments, often leading to loss of coverage unless reinstated.

M

Affordable insurance policies designed for low-income individuals, often with lower coverage but essential benefits.

Morbidity relates to the likelihood of illness or disability, while mortality relates to the likelihood of death—both affect policy pricing.

P

Refers to the amount that you pay for your life insurance coverage.

Some health insurance and life insurance policies exclude coverage for medical conditions that existed before the policy was issued.

Refers to the owner of the policy. They are the ones who bought the plan for themselves, for others, or for a group. They make sure they pay the premiums regularly and they have control over the plan with the power to assign the beneficiaries, or make other changes to the plan.

R

A popular policy in the Philippines that combines life insurance with investment in mutual funds, stocks, or bonds.

A popular policy in the Philippines that combines life insurance with investment in mutual funds, stocks, or bonds.

A popular policy in the Philippines that combines life insurance with investment in mutual funds, stocks, or bonds.

Accident Coverage
Additional coverage in case of an untimely demise due to an accident. There are also other types of this rider that covers injuries and disabilities.

Critical Illness
A type of rider that can help you pay for your medical expenses in case you had a stroke, a heart attack, or get diagnosed with a critical illness that’s covered by your plan.

Waiver of Premium
In case of an unfortunate event, you can use this rider to let you take a pause from paying premiums for a certain period.

The category an applicant is placed in (e.g., preferred, standard, substandard) based on health, lifestyle, and other factors, affecting premiums.

S

A fee deducted if a policyholder withdraws or cancels a cash-value policy before a certain period.

T

Additional premium charges applied to applicants with higher health risks.

An additional amount that you add on top of your VUL’s premiums. This amount can increase your coverage or your fund value, or both.

V

A popular policy in the Philippines that combines life insurance with investment in mutual funds, stocks, or bonds.

A policy with investment options where cash value growth depends on market performance.

The fund value of my VUL is starting to decline. Should I stop paying the premiums of my plan?

The market may be low today, but it doesn’t mean it will remain that way over the long term.

Your protection benefit remains intact. Regardless of the market situation, the minimum death benefit on your plan remails guaranteed.

Think long term. The market changes everyday, but an upside becomes more likely over the long run.

Continue your plan. As long as you pay your premiums, you enjoy the protection & security of a life insurance plan with the opportunity to grow your funds.

W

Anyone can be a financial advisor! All they need is to submit their resume, undergo training, and pass the insurance licensure exam. If they have the determination to succeed, the willingness to learn, and the desire to help people, becoming a financial advisor can be a fulfilling career.

Members VUL NAVPU Data

Ready to check your investment growth? View transparent, up-to-date NAVPU data provided directly by our member companies.

View Data