3 Things You Didn’t Know Life Insurance Can Do To Save You Money (And Your Family’s Lives!)

In today’s Young Pinoy Millionaire post, we’ll be talking about life insurance.

You advised a friend to “save for you and your children’s future” and she replied “but God is the future”.

How do you respond?

This was what Jeff of Piso and Beyond asked me when we had an interview. I smiled first before answering because I usually hear this statement from friends who do not yet fully understand the value of life insurance or investing early.

My answer? “I-push mo yan, ‘te.”


God is my protection. But we still have fire extinguishers in our house and I still carry a pepper spray when I travel. I still get life insurance because it’s God’s tool to take care of my loved ones even when I’m gone.


God is my provider. But we still earn money so we can buy food and care for our loved ones.


God is my savior. But I still go to the hospital and buy medicines when I get ill.


God is the future, but he’s blessing you and giving you talents so you can help predict it. God is the future, but you can’t tell him to line up and pay for your children’s tuition fee – He’s too busy for that.”


Let’s get 3 things straight:

1st, Life insurance isn’t supposed to make you poor. You’re only supposed to pay the amount that you can conveniently and realistically afford!


2nd, You get life insurance so that your dependents are still financially protected in case you’re gone. It’s not meant to insure your life (that’s impossible), it’s meant to replace your income in the event that you pass away and can’t provide for your dependents anymore.


3rd, There’s already a life insurance product that has an investment component. Gone are the days when life insurance is just about solving the problem of “dying too young”. Now, life insurance can also address the problem of “living too long” or investing for your retirement through the use of Variable Unit-Linked VUL life insurance. 
(READ MORE: A Beginner’s Guide to Variable Unit-Linked VUL life insurance)  
Keep in mind that in this blog post, we’re talking about the 3 things you didn’t know VUL life insurance can do.


We won’t be talking about term insurance, because this only has one goal: to protect your income so you can provide financial assistance to your family even when you’re gone.  

Here are three things you probably didn’t know you could do with your VUL life insurance: 


1. Pay for your kid’s college education:

In a study done by Sun Life Financial Philippines, I found out that the biggest financial concern of Filipinos when it comes to their family is their children’s education.


Upon hearing that, I couldn’t help but say, “Weh? Are you sure?” because it seems obvious to me that majority of the people I talk to would rather eat at a high-end buffet for 3 hours while paying P1,500 per person instead of preparing for their kid’s education.


You see, financial concern is different from financial commitment. You may be concerned about your kid’s college fund, but if you’re not committed to it, what’s the point?


If you’re not investing for it today, what makes you think that you can invest for it tomorrow – kapag malaki na ang sweldo mo at malaki na din ang gastusin?



3 Things You Didn't Know Life Insurance Can Do To Save You Money (And Your Family's Lives!)

Another thing is this – maaaring nag-invest ka na sa stock market directly or sa mutual funds or sa UITF para sa pang-aral ng anak mo. But you don’t have life insurance YET?


If you pass away without any life insurance, your immediate family cannot get your investment agad-agad. They have to submit necessary documents AND pay estate tax first.



  1. Deed of Extra-Judicial Settlement of Estate with Affidavit of Self-Adjudication
  2. Proof of filing of the Deed with the Registry of Deeds where estate is located. (stamp at the back of #1).
  3. Proof of publication with Affidavit of Publication of the Deed of Extra-Judicial Settlement.
  4. Proof of payment of estate tax with tax clearance.
  5. Certificate of Marriage between spouses duly issued bye the National Statistics Office (NSO).
  6. Certificate of Death of client.
  7. Proof of identification of client and surviving spouse.


(READ MORE: What happens to your stocks when you die?)


Can VUL help you with your kid’s college fund?

Yes. It has:

1. Life Insurance Benefits (Income Protection) 

If one day, you don’t wake up anymore and God calls you unexpectedly, your family will get a lump sum of money – the death benefit – that they can use to fund your child’s college tuition and miscellaneous expenses. This way, your dreams for your children will still live and be achieved by your loved ones. :)

2. Investment Component 

If one day, buhay ka pa, good for you! VUL also has investment component so you can prepare for your:

– your child’s college education TODAY (so you can just relax and have a peace of mind in the future).


Hindi na hassle magbayad ng tuition agad-agad For example, a VUL that can help you with this is Sun Maxilink Bright.


This is only a P2,800/month proposal. So translate that to P94/day.


Compare this to your “gourmet” cup of coffee a day, or your weekly food trip, only this time, your P94 can provide for your kid’s college fund in the future. :) Click the picture to enlarge image.

sun maxilink bright  

2. Serve as an income source during retirement:

Assuming that you want to retire at age 60 and you will live up to age 80 (conservatively assuming, of course 🙂


You’ll need 3 meals every day for 20 years, right?


Retirement ang pinag-uusapan natin, so considering na hindi ka na din nagtatrabaho dito.


P60 X 3 (P60 per meal budget) X 365 (days in a year) X 20 (years retirement; unemployed) = P 1,314,000  


You need P 1,314,000 for your P60-meal only.


You don’t have budget for water and electricity yet – you can’t even brush your teeth with this amount!


Note that the P 1,314,000 amount doesn’t even cover the estimated annual inflation of 4%.


Ang mabibili ng P60 ngayon ay iba na sa mabibili ng P60 bukas.


Also, let’s be honest here: are you really just going to spend P60 for every meal…for the rest of your retirement life?


But Lianne, sandali. May SSS ako!


The average monthly pension in the Philippines is only P 8,000. (Actually, malaki na ito. My tita gets P1,200 monthly lang.)


Can you imagine being a burden to your loved ones when you’re already old, weak and frail?


Can you bear to hear your child’s frustrated remarks – pinagpapasahan ka kasi pabigat ka?


Okay, your own child may be kind and considerate to your needs because you raised them properly – but have you ever thought about your children-in-law? What if your kid marries an impolite and greedy witch?


Can VUL help you with your retirement fund in the future?

Yes. It has:

1. Life Insurance Benefits (Income Protection) 

Again, VUL has a death benefit that your family can use in the event of your death. This way, may natatanggap pa silang sweldo kahit inaalagaan ka na ni God sa taas.) 🙂

2. Investment Component 

VUL also has investment component so you can prepare for your: – retirement fund in the future. 


For example, a VUL that can help you with this is Sun Maxilink Prime.  This is only a P28,800 per year proposal. This is only 80/day.  Parang 1-piece chickenjoy lang with drink.  Parang 1 banana and choco chip muffin sa cafe. 


But your P80/day can already be one source of income during retirement.  Click the picture to enlarge image.

sun maxilink prime

3. Pay for your future hospital bills when you’re old and sick:

Most HMOs cover you until age 60 0r 65, which is quite ironic since mas prone ka magkasakit kapag mas matanda ka.


This means that beyond age 65, you are more prone to illnesses yet you will not be covered by your HMO anymore.  Usually, ang sagot dito is PhilHealth  but PhilHealth can only do so much kasi may limits din sila.   To give you an example, my grandma who was confined overnight in a hospital was billed this. (This isn’t the complete bill yet!): 


life insurance philippines

All in all, the total bill was around P18,000. They deducted her PhilHealth and senior citizen card, so she was able to pay around P11,000.  No HMO covered her, so she needed to pay a cash deposit even before she was confined. 


Bad news? The top 3 leading causes of death (heart attack, stroke and cancer) are still the same.


If this isn’t enough for you, consider this:  life insurance philippines

Good news? You can prepare for them by establishing a Health Fund.


If you’re on a tight budget, you can use Sun Maxilink Prime for your Health Fund. You’re insured and your money’s growing because it’s invested. This growing money can be used to pay for your hospital bills in the future. 


If you can afford to shell out more, why don’t you try a single-pay such as Sun Maxilink One. You’re insured and your money is also growing at the same time. 

sun maxilink one

Also, if you have this amount in time deposits, you can just withdraw it and transfer to your VUL account instead. Kumikita ka na, may life insurance ka pa. 

To be a Young Pinoy Millionaire, you have to always beat inflation and make you money work more for you!

Get started with your very own Sun Flexilink1 / Sun Maxilink One right away: please fill out this form so you can start investing.  

—–Want to:
– get FREE life insurance proposal – to financially protect your family;
– get FREE VUL proposal – to financially protect your family and invest to make your money work for you so you can reach your target goal;
– open a mutual fund account – to make your money grow and increase in value over time?
—–Want to get started managing your money/budgeting/investing?
Contact me, your trusted financial advisor, through the following: 
Email: liannemarthamlaroya@gmail.com or liannemartha.m.laroya@sunlife.com.ph
Twitter: @MsLianneLaroya
Mobile: 0906 243 5059
We can even meet personally for a FREE financial planning session! Let me know so we can finalize a schedule that works. No obligation to do anything – except maybe share what you learned with your friends! :)

About Lianne Martha M. Laroya

Hi! Thank you for dropping by and visiting YoungPinoyMillionaire.com. I am Lianne Laroya, Licensed Financial Advisor of Sun Life Financial. I'm authorized by the Insurance Commission to act as Insurance Agent and by the Securities and Exchange Commission to act as Investment Solicitor. You can call me at 0906 243 5059 (Phone/Viber) or email me at liannemarthamlaroya@gmail.com or email me at liannemartha.m.laroya@sunlife.com.ph My office is located at 12th Floor, Frabelle Building, 111 Rada St., Makati City. My inspiring network of clients include OFWs, doctors, entrepreneurs and young Pinoy professionals but I serve all members of the society. Most of my clients are based in Metro Manila but I also have clients from Laguna, Pampanga, Bulacan, Pangasinan and Cavite. Want to get FREE Sun Life proposal for yourself? Just click this and submit >>> If you want to open your own investment+income protection+savings account, life insurance, investment account, or you just want to ask something, you can contact Lianne via liannemartha.m.laroya@sunlife.com.ph or text/call her via 0906-243-5059 via mobile/Viber.