Discovery severe illness benefit

[Candystore]

Is it correct that if a Discovery severe illness benefit (that is linked to the life insurance policy) is paid out, it will reduce the insured amount (eventual proceeds of the life insurance policy) with the amount paid out, subject to the minimum protected fund?

I asked my broker that question and he was dodging a straight answer. He said the insured amount will be "replenished" again, leading me to believe the benefit of the full insured amount will be restored.

 

[beefymoocow]

Is it correct that if a Discovery severe illness benefit (that is linked to the life insurance policy) is paid out, it will reduce the insured amount (eventual proceeds of the life insurance policy) with the amount paid out, subject to the minimum protected fund?

I asked my broker that question and he was dodging a straight answer. He said the insured amount will be "replenished" again, leading me to believe the benefit of the full insured amount will be restored.

On your policy does it say accelerated or non accelerated. If it's accelerated then it won't replenish. It will only replenish by way of inflation.

 

[Candystore]

On your policy does it say accelerated or non accelerated. If it's accelerated then it won't replenish. It will only replenish by way of inflation.

Meaning? So, if it says "accelerated" then it will replenish by way of inflation and if it says non-accelerated then it will not replenish at all?

Sorry, you lost me.

 

[Candystore]

Oh and BTW, the plan is named Accelerater.

 

[beefymoocow]

It won't replenish if you on a accelerated plan. So the only time your policy cover will increase is if you elected your premium to increase by inflation. Therefore you cover will increase. For example if you have 10 mail cover and you use 2 mil for illness. Your life cover will be 8 mil. But let's say you elected your premium to increase by inflation. Your total cover the next year will be 8 *1.inflation.

Edit: check your actual policy. Accelerater does necessary mean you on a accelerated or non accelerated policy. It just means the older you get the higher your premium.

 

[beefymoocow]

Here an extracted of my life policy. This is where it tells u