Do you know that...life insurance policy can help you in case of emergency or cash needed such as medical expense, medication fee, physician expense or other expenses? All of these problems can be solved by your life insurance policy. “Policy loan service” is to use the policy cash value in order to ease the financial burden where life coverage still continues based on policy conditions, but you have to repay principal and interest later. The service allows you to manage money by yourself as there is no minimum repayment required and you can repay when you are ready.
For the policy loan service, do not forget to make repayment as soon as possible because if an unexpected event happens, your sum insured and coverage might be impacted. In addition, if the outstanding loan amount and interest are higher than the policy surrender value, your policy will end before the maturity date and policy benefits might be reduced according to the outstanding loan amount.
In case of self-request for loan
In case the authorized person requests for loan
At all branches of Customer Service Center of Muang Thai Life Assurance PCL nationwide, or submit the documents to the head office of Muang Thai Life Assurance PCL, 250 Rachadaphisek Road, Huaykwang District, Bangkok, 10310.
Media Clearing is a service which allows you to automatically receive policy benefits and other benefits via your bank account by not having to wait for a cheque.
Policy cash value is accumulated cash value in the life insurance policy from paid premium. The longer premium is paid, the higher policy cash value will be. Definitely, in the first year of premium payment, the policy does not have the cash value or, in some types of insurance plans, the cash value is really low. There will be cash value from year 2 or year 3 onwards. The cash value is subject to the policy conditions.
When your policy has cash value to some extent, you can manage your policy by yourself such as making policy loan from policy cash value (It is to use policy cash value in advance where life coverage still maintains the same, but you have to repay principal and interest later.)
Now you can see that you have more choices to get the most out of your policy when there is policy cash value, and it can be a saving when you need.
It is because the policy loan is when you use policy cash value instead of accumulating the cash value for life coverage or benefits that the Company has to pay you according to the insurance conditions. Once you get a loan from policy cash value, you are required to pay the loan interest.
Q: What is the limitation of the policy loan?
A: The limitation is insufficient policy cash value which might be due to failure of premium payment or high outstanding loan without repayment.
Q: What types of insurance plan can I make policy loan?
A: Insurance plans which have policy cash value such as ordinary insurance plans including annuity plans,endowment plans, whole life plans, etc.
Q: If I would like to make policy loan, but the request is rejected. Why is it rejected? What should I do?
A: The insured must reach the legal age if the insured would like to make the policy loan by yourself. In case the insured has not yet reached the legal age, policy loan must be made by legal representative who entered into the contract and is a premium payer. In case of transferring and exercising the rights, and transferring policy benefits, only the assignee of the rights can make the policy loan. In case the insured’s signature in the policy loan contract is different from that given to the Company, the insured must sign in the Company’s signature confirmation form.
Q: What should I do if the policy matures before all outstanding loan is repaid?
A: In case of policy maturity, outstanding loan will be deducted from maturity benefits before paying to the insured.
Q: What should I do if I pass away during the repayment period of the policy loan?
A: Outstanding loan will be deducted from death claim benefit before paying to the beneficiary.
Remark: Service conditions are as specified by Muang Thai Life Assurance PCL.