20/09/2025
The Story of Carlo
Carlo was 30 when he first thought about life insurance. His advisor showed him a plan that cost ₱3,000 a month for ₱2M coverage. He nodded, said “I’ll think about it,” and kept delaying.
By 35, life had gotten busier. He went back to check again same coverage now cost ₱4,200 a month. The difference? Age. The company priced in the fact that he was five years older, so his “risk” was higher. Carlo shrugged, “₱1,200 more a month won’t kill me. I’ll wait.”
At 40, he finally got serious. This time, the same ₱2M coverage cost nearly ₱6,000 a month. Not only that, his medical exam flagged slightly high blood pressure. The insurer approved him—but with an extra rating, meaning he had to pay more than the standard rate. What was once ₱3,000 had doubled.
And the kicker? All those years he delayed, he also lost out on the time value of money. Had he started at 30, the plan’s savings/investment portion could have grown steadily for ten years. By waiting, he lost compound growth. Instead of money working quietly in the background, he had nothing but higher bills.
By 50, Carlo’s friend Ana had already built up her policy fund to over ₱1M just from starting early. Carlo? He was still paying more every month for less growth.
Lesson Woven In
Age and premium: the later you start, the higher the cost.
Health risk: delay long enough, and your body may add extra charges or exclusions.
Time value of money: starting early lets compounding work for you; delaying just throws money into higher premiums.
