i-MULA 50 Starter Pack Programme Empowers 100,000 eligible Malaysians with affordable life insurance protection
11 Leading Life Insurance Companies Join Forces to Offer 31 Affordable Protection Plans with RM50 Subsidy to First-Time Buyers, targeting Youth and Young Families
Kuala Lumpur, 28 August 2024 – The Life Insurance Association of Malaysia (LIAM) is proud to announce the launch of the i-MULA 50, an initiative designed to make life insurance more accessible and affordable for 100,000 eligible Malaysians. This RM5 million Starter Pack Programme, established by LIAM member companies, aims to support first time buyers to purchase life insurance protection. Under this programme, 11 life insurance companies will be offering 31 affordable protection plans, targeting youth and young families nationwide.
The i-MULA 50 was officially launched today, by the Deputy Governor of Bank Negara Malaysia, Encik Adnan Zaylani Mohamed Zahid, as part of the celebrations marking LIAM 50th Anniversary. This initiative reinforces the industry’s commitment to the development of Malaysia’s dynamic life insurance industry and supports the government’s social protection efforts.
LIAM President, Raymond Lew said “LIAM is dedicated to promoting financial education and inclusion. With a life insurance penetration rate of just 58.6% as of 2023, more than 40% of Malaysians remain uninsured. The 2023 Malaysian Financial Literacy Survey by RinggitPlus revealed that 48% of respondents with dependents lack life insurance, 44% do not have medical insurance, and 13% rely solely on company-issued medical cards.
Many Malaysians, especially in underserved areas, face financial risks during crises. The collaboration with the Financial Education Network (FEN) and Bank Negara Malaysia has allowed LIAM to work closely with partners and affiliates under the network on various outreach programmes initiatives to promote financial literacy and encourage insurance ownership across the country.”
Raymond also shared that in 2022, the insurance and takaful industry, in consultation with Bank Negara Malaysia, conducted a study on the B40 and M40 segments to design tailored microinsurance products for the low-income market. The study identified key risks like accidents, health issues, income loss, and bereavement, guiding insurers to develop affordable products that address these needs and promote inclusive growth.
“Insights from the study have led us to today’s launch of the Starter Pack Insurance Fund. Featuring low premium insurance plans and customized products from the Perlindungan Tenang initiative, this Fund provides basic life insurance coverage at subsidised premiums, making it more accessible, especially for first-time buyers who may have previously found insurance costs unaffordable.”
The i-MULA 50 provides a RM50 subsidy for each qualifying life insurance policy. The insurance coverage under i-MULA 50 includes benefits for death, total and permanent disability (TPD), critical illness, medical expenses, and hospital income. To maintain affordability, the annual premiums for these plans range from RM75 to RM600. Policyholder is required to make an annual premium payment of at least RM25 to receive the RM50 subsidy, ensuring that the policyholder fully understands the insurance product they plan to purchase. The i-MULA 50 programme starts on 28 August 2024 and will end once the RM5 million fund is fully utilised.
LIAM Chief Executive Officer, Mark O'Dell highlighted the significance of launching the i-MULA 50 Starter Pack during Merdeka month - a time to reflect our nation’s journey and LIAM’s contribution to nation building.
“Our 50th anniversary has been marked by a series of meaningful initiatives, aimed at reaching the underserved communities, particularly in Sabah and Sarawak,” Mark said.
He highlighted LIAM’s partnership with the National Cancer Society of Malaysia and the ROSE Foundation, through which LIAM and its 16 member companies contributing RM3.65 million to the Leaving No One Behind – HPV Vaccination & HPV Screening Programme. This initiative aims to reach out 100,000 young girls and 10,000 women aged 30-65 in Malaysia, aimed to raise awareness and educate the public about HPV and HPV-related cancers, emphasizing that prevention and early detection can save lives, and reduce the risk of cervical cancer, the 3rd most common cancer affecting women in Malaysia.
“LIAM has also launched two social media campaigns: #LifeIsFullOfSurprises and #LIAMGoldenMoments, designed to educate the public about life insurance and financial protection, while offering participants the chance to win cash prizes totaling over RM45,000.
Mark encouraged the public to participate, spread the word, and visit the LIAM website, Facebook or Instagram pages for more details.
“We’ve also incorporated a CSR element into the campaign, encouraging the public to share videos of their most cherished moments. For every video submitted (up to a maximum of 5,000), LIAM will contribute RM10 to five selected NGOs and social enterprises in Malaysia. By the end of the campaign, we will have raised at least RM50,000 to support their vital work in our communities.”
“We invite all Malaysians to rally behind this noble cause,” said Mark. “By participating in the #LIAMGoldenMoments campaign, you not only contribute to a noble cause, but also stand a chance to win exciting cash prizes.”
