Pero hindi rin ibig sabihin na kapag licensed na ang isang pre-need company ay reputable company na. Malaki pa rin ang risk. Maganda ang maghanda sa pangangailangan natin in the future katulad ng pang-tuition at pang-retirement, pero maging mapanuri pa rin tayo sa company. Mag-invest tayo sa company na maraming back-up na prime assets at affiliated sa reputable companies.

Maganda rin kung makilala natin ang mga tao behind these pre-need companies, na sana masigurado natin na hindi sila katulad ng mga tao at pamilya na hanggang ngayon ay niloloko ang mga planholders, kagaya ng mga tao at pamilya behind Platinum Plans, Ideal Pension Plans, Grayline Plans, Legacy Plans at yong marami pang iba na naglaho na lang at iniwan ang mga umaasang planholders. Pero paano ba nating masasabi na ang isang executive, director o businessman ay reputable at magiging consistently reputable?

Saan ba tayo puedeng mag-invest nang merong katiyakan? Dahil mapa-bangko, mapa-insurance, mapa-pre-need, mapa-investment company, mapa-co-op, meron at meron nagko-close na wala man lang instructions sa customers, planholders or policyholders nila?

Here’s a list of the 21 pre-need firms licensed by the Insurance Commission as of September 6, 2011 to operate as pre-need companies for the year 2011.

Here’s the old list of pre-need firms or pre- need companies, if you like to compare:
Pre-Need Firms Licensed to Sell Pre-Need Plans in the Philippines as of Dec 2009

• Ace Insurance
• APEC Plans
• CAP Education
• CAP Pension
• Generali Pilipinas
• Golden Haven Memorial
• GreatLife
• Grepalife
• KC Fraternal
• Loyola Plans
• Manila Memorial
• Manulife
• Manuplan
• Paramount Insurance
• Philamlife
• Pramerica
• Prulife UK
• Sunlife of Canada
• Sunlife Financial

It’s news to me that CAP Education payments are still being collected.  So, when I saw the list at Southmall’s Bills Payment section, I wondered. Does this mean that CAP education policies are still being paid and that the benefits will be fully paid?

Kasi hindi naman magbabayad ang planholder kung walang assurance na naayos na ang problem ng CAP. Will research.  My niece’s CAP benefit was only partially paid at delayed na delayed.

There are other pre-need firms that failed, but they’re trying their best to return at least a part, if not a big part, of what they got from planholders. One is Pryce Plans. I know because my friend has been getting money and goods from this pre-need firm. Despite difficulties, Pamana was able to give checks to another friend of mine for her children’s education. A niece was able to get checks from CAP.

Permanent Plans has been updating its website for its planholders since it decided to stop operating. It has a letter to its planholders explaining its decision and its subsequent plans. Its latest report is dated February 25, 2011, which is a list of planholders for liquidation payment.

Prudentialife Plans was ordered by the SEC to stop selling pre-need plans, but it has continued servicing its pre-need planholders. The firm has diversified into other businesses, such as financial services, non-life insurance, health care, real estate, travel and leisure services.

Danvil Plans discontinued selling its portfolio to Legacy when it was warned about the condition of Legacy despite a higher purchase bid from Legacy. And it continued servicing its planholders through an insurance firm.  I know — I got my maturity benefits.

The owners and executives of most of the firms above have what we call integrity, moral values, compassion, and a sense of right and wrong.

Can we say the same of the owners of Platinum Plans, Ideal Pension Plans and Grayline Plans? Do these owners feel comfortable FEEDING THEIR CHILDREN and GRANDCHILDREN with the money grabbed from hardworking farmers, teachers, soldiers, laborers, and low-paid employees who sacrificed to be able to pay their premiums monthly so their children can have a good future?

Who will fight for these suffering planholders?     Government officials? The courts? Politicians?

They have not.  So perhaps a court higher than all the supreme courts on earth will.

Genesis 4

And He said, “What hast thou done?  The voice of thy brother’s blood crieth unto me from the ground.”

Romans 12:19 ESV

Beloved, never avenge yourselves, but leave it to the wrath of God, for it is written, “Vengeance is mine, I will repay, says the Lord.”

Numbers 14:18 ESV

The Lord is slow to anger and abounding in steadfast love, forgiving iniquity and transgression, but he will by no means clear the guilty, visiting the iniquity of the fathers on the children, to the third and the fourth generation.

Update from Nori on Ideal Pension Plans:

Next hearing is on March 18, 2011, Friday at 9:00 am sa RTC Makati Branch 66.

Under liquidation na po ang Ideal. The court is in the process of approving the liquidation plan. Kailan makukuha ang pera? Di po natin masasabi. It could be months or even years from now. Huwag po tayong mag expect na makukuha natin ng buo ang contract price. Approximately 20% lang makukuha. Depende sa mabebentang ari-arian ng court appointed liquidator, baka mas malaki o mas maliit ang makukuha.

Related Article:
Ideal Pension Plans Corp. Planholders — Time to Unite

Pre-need Companies in the Philippines Now under Insurance Commission

Pre-Need Planholders — How to Ask Help from the Insurance Commission

I looked at the IC website, but the news is not yet posted there. Perhaps because the list is not yet complete. The BusinessWorld report said that there are still 4 firms whose applications are pending, and that the deadline for license application is the end of February 2011.

The pre-need firms missing in the 2011 list which were in the SEC list as of December 2009 are:

1. Abundance Providers and Entrepreneurs Corporation (APEC) (formerly Pacific Plans)
2. Cocoplans
3. Danvil Plans (formerly Berkley International Plans)
4. First Country Plans
5. Grayline Plans
6. Trusteeship Plans

——————————————————–

UPDATE as of Feb 25, 2011:

The 18th and 19th pre-need firms licensed to sell plans this 2011 are Trusteeship Plans  and APEC, based on a report by BusinessWorld.  APEC, however, is authorized to sell only life plans, not pension and educational plans as its educational portfolio is still under a rehabilitation plan. APEC though is servicing its pension and fixed-value educational plans.

——————————————————–

It’s a relief to know that the IC examined the finances of the 17 pre-need firms before giving them their licenses and that these firms passed them. This means that these firms are strong because they survived the tumult in the pre-need sector. It’s also great that the IC is making sure that the remaining 4 firms with pending applications pass the requirements.

Based on the report, the IC examined the following:

• trust funds of the pre-need firms
• financial statements
• response to claims by planholders
• minimum paid-up capital
• types of investments

For those wondering about Danvil Plans, I don’t know if it’s among the 4 with still pending license applications. If the report is true that its portfolio was acquired by Philippine Prudential Life Insurance Company (PPLIC or Prudentialife), then it makes sense that it’s no longer in the list.

It was PPLIC which processed my benefit claim last October 2010. And it’s still processing Danvil Plans claims, from my latest update. PPLIC is an insurance firm — it’s in the list of 30 firms with renewed licenses for the year 2011. It’s also among those with highest premium profits.

I’ll post the final list of firms licensed to sell pre-need plans in the Philippines when the list is already on the IC website.

Here’s the list of firms licensed to sell pre-need plans in 2010:

Pre-need Companies in the Philippines Now under Insurance Commission
Life Insurance Companies in the Philippines With Licenses Renewed for 2011

Cash value is the amount you get from your insurance policy or pre-need plan
when you discontinue, cancel and surrender your policy or plan. It could range from zero to
a certain percentage of your total plan payments or your insurance face amount.

Cash value is often less than your total payments or your face amount,  since you’re getting it before maturity date or before the insurance is due.

Cash value is a provision that is not applied only in the Philippines; it is a practice around the world. It is not a scam. It may not be fair, but it’s a legal business practice.

Cash value is also the basis of computation if you’re applying for a loan from your insurance or pre-need plan.

The term Cash Value is more often associated with life insurance policies as the term commonly used in pre-need plans is Termination Value.

For many insurance policies, the Cash Value is ZERO for the first two or three years. However, there are now policies that have Cash Value in the second year.

How is cash value calculated for insurance policies?

Among the pages of your insurance policy is a Table of Non-Forfeiture Values, usually with this note: For each 1,000 pesos of Face Amount.

Go to the table of your Age at Issue (your age when your policy was issued — You can check your Issue Age on the front page of your policy.) Look for the columns End of Year and Cash Value, and get the corresponding number.

Divide the Face Amount of your insurance by 1,000. Multiply this result with the number you got from the table of Non-Forfeiture Value. That is your Cash Value.

How is cash value computer for pre-need plans?

Look for the Termination Values section in your contract. The following is an example:

If you have paid less than 20 percent of plan cost, you get ZERO
If you have paid 20 percent to 39.99 percent of plan cost, you get 20 percent of total payments made.
If you have paid 40 percent to 59.99 percent of plan cost, you get 30 percent of total payments made.

Take note that you’re getting a percentage of the total payments you made, and not a percentage of maturity benefits.

Why am I posting it?

First, because I want to share some rays of sunshine to my fellow Danvil planholders who are still to claim their maturity benefits.  According to the PhilPrudentialife Insurance (PPLIC) officer who handed me my check (PPLIC has been processing Danvil’s claims as part of an agreement), the last maturity dates of Danvil plans will be in 2013 — those pre-need plans issued under the Berkley/Family Life partnership, later purchased by Danvil Plans.

I took his explanation to mean that those plans sold by Danvil and which are maturing after 2013 are PPLIC plans, which are insurance plans, since PPLIC is an insurance company.  (By the way, PPLIC has launched its new website. Type in danvil.com.ph and you’ll arrive at PPLIC’s website.)

Secondly, I posted the check to show that pre-need firms can fulfill their promises to their planholders if only they manage their firms well. All the pre-need firms in the Philippines suffered through the same global financial meltdown, but Danvil and the others have been able to survive. Why did the others collapse? Because they touched their trust funds, they invested in unsaleable memorial-lot and other real estate projects and they went overboard in their administrative expenses.

Sabi ng ibang pre-need firms, kasi global financial crisis, kasi bumaba ang interest rate, kasi…  Bakit?  Kung bumaba ba yong interest rate, bumababa rin ba yong principal?  Kung di ninyo gagalawin yong trust funds, andon pa rin sila, makakapag-antay sila ng time na tataas uli yong interest rate.  Hindi naman sila stocks.

Sabihin ng ibang pre-need firms, hindi ganong kasimple… Ganon? Ang mga simpleng tao na nagpakahirap para lang makaipon para may pambayad sa premiums (at hindi naman sana sila nagpakahirap na magbayad sa inyo kung hindi ninyo sila binola, in the first place),  ano na sila ngayon?  Yong iba nga, umaasa na sana makuha nila yong claims nila at pambili na lang ng gamot, o kaya pangtawid sa araw-araw kasi nawalan sila ng trabaho.

These past weeks, it’s been painful to read comments from Ideal Pension planholders as they ask me about how to pursue their claims. They live in Mindanao, in the Mountain Province, in the Visayas — how can they travel to Makati and attend the bankruptcy/insolvency hearing for Ideal Pension?  At para saan ang hearing na yan?  Paano na yong mga walang pamasahe at time para mag-submit ng claims?  Yong mga walang lawyers?  Sino ang tutulong sa kanila? At bakit bankruptcy?

That’s why I’m glad that it’s not Ideal Pension people that made bola to me years before, or the other failed pre-need firms, but Berkley/Family First/Danvil Plans.  At least, kahit overboard yong marketing nila noon, they fulfilled naman their promise to me, giving me the exact amount of maturity benefits promised, on the date promised. Danvil has been paying benefits since the first plans matured in 2008.

To Mr. Daniel Villanueva of Danvil Plans and the other Danvil officers, although it’s your legal  duty to pay our maturity benefits, and therefore there’s no need for thanks, in light of what happened in the pre-need industry, I thank you for:

1.  listening to advice and didn’t pursue the almost-done sale of Danvil Plans’ pre-need portfolio to Legacy.

2.  not touching the trust funds and not putting our money in uncertain investments (presumably, kasi natanggap naman namin ang mga checks namin at nag-clear.)

Businesspeople with INTEGRITY and MORAL VALUES,  sana dadami pa kayo.

Related articles:

Danvil Plans — Claiming Your Maturity Benefits

Pre-need Companies in the Philippines Now under Insurance Commission

Ideal Pension Plans Corp. Planholders — Time to Unite

From time to time, I get inquiries about Ideal Pension Plans, as  many of my blog posts are about another pre-need firm Danvil Plans.

Last week, I received from Juni, an Ideal agent in Mindanao, a copy of a Notice of Hearing from the Makati Regional Trial Court for the petition by Ideal Pension Plans for voluntary insolvency. The copy is posted here:

Ideal Pension Plans Corp. Planholders — Time to Unite

Juni said he wrote an email to former Senator Espina inquiring about the status of Ideal Pension Plans. In his email, Juni also wrote about how he has been following up on Ideal, how his wife and brother traveled to Manila just to check into what’s happening at Ideal.

With a lot of planholders Juni and his family have sold plans to, the weight of the Ideal collapse rests heavy and painful on his shoulders.  It’s a harrowing situation.

I myself sold two big CAP plans years ago, and this is something I want to erase from my mind.  I thank the Lord though because these CAP clients understood my situation and never took the CAP failure against me.  They’ve informed me last year that there’s hope they’re getting a portion of what they’ve paid.

Following is the response of former Senator Espina to Juni’s email:  (Juni said Senator Espina gave permission for the posting of this letter.)

Thank you very much for your high regard for me.  I regret very much that I was not able to protect the interests of the plan holders.

I lost my own investment in Ideal but that is the least.  What I regret the most is losing my own good reputation which I value more than money.  I do not and never did control IPPC.  I was just a minority shareholder and the majority stock of the Gabriel family-mother, daughter, sisters and their friends are the majority shareholders.

Said controlling stockholders have mismanaged the corporation by running it like a family corporation and issuing several checks signed by mother and daughter which until the present time I could not audit inspite of the fact that I hired the services of Valdez and Company CPAs. IPPC has filed voluntary bankruptcy proceedings at the Makati RTC.

I will further update you further about IPPC…

Best regards,

Rene Espina

For Ideal Pension planholders, the hearing for Ideal’s petition for voluntary insolvency is on October 5, 2010 at 8:30 am at the 12th floor of the Makati City Hall.

Comment ko lang:  What really is voluntary insolvency?  Is this just a very convenient way of using the court to hide from responsibilities to planholders?

My answer was always about the need for Ideal planholders to connect with each other online and talk about how they can pursue their claims. I’ve even suggested that if they’re interested, I can email those who made comments here about Ideal and ask if they like to exchange email addresses.

Now, one Ideal Pension planholder, Juni, has placed on the comment section a notice he said it came from the Makati Regional Trial Court. And he’s calling for all Ideal Pension planholders to unite, help each other and show their power during the hearing on October 5, 2010.

Comments From Juni:

Hi all! I just received a NOTICE OF HEARING from the Regional Trial Court, National Capital Judicial Region, Branch 66, Makati City which states:

In the matter of the petition for VOLUNTARY INSOLVENCY of IDEAL PENSION PLANS CORP.

IDEAL PENSION PLANS, Petitioner.

Notice of Hearing for:  Meeting of all all IDEAL CREDITORS

You are hereby notified that the above-entitled case will be heard before this Court, located at the 12th Floor, Makati City Hall Building, on the 5th day of October 2010 at 8:30 am, at which date, time and place, you or your duly authorized representative may appear for the selection of assignee and to prove through written evidence your respective claims, without which, it shall not be admitted.

City of Makati, August 23, 2010.

SGD. ATTY. JOHN IVAN B. TABLIZO

Branch Clerk of Court

I hope that this time we will be one and united to press Ideal to give us what is legally due us. Hope everyone could come.

——————————————

According to online SEC records, Ideal Pension Plans Corp. was licensed to sell pre-need plans until December 31, 2008.   In the SEC pre-need list as of September 9, 2008, Ideal Pension was listed, but in the SEC list as of January 2009, Ideal was no longer on the list.

Now, Ideal planholders, you have a chance to make your demands together. Bring xerox and original copies of your Ideal pre-need policies, but guard your original copies. There’s POWER in number. The more planholders at the hearing, the better.

Those who can visit the Makati City Hall and check if there are changes in the notice, it is for everyone’s good if they can do so, and then inform other planholders.

Comments by Ideal planholders can also be found here:

Pre-need Companies in the Philippines Now Under the Insurance Commission

Danvil Plans,Other Pre-Need Firms — Updates

Update from Nori on Ideal Pension Plans as of March 13, 2011:  (Thanks a lot, Nori)

Next hearing is on March 18, 2011, Friday at 9:00 am sa RTC Makati Branch 66.

Under liquidation na po ang Ideal. The court is in the process of approving the liquidation plan. Kailan makukuha ang pera? Di po natin masasabi. It could be months or even years from now. Huwag po tayong mag expect na makukuha natin ng buo ang contract price. Approximately 20% lang makukuha. Depende sa mabebentang ari-arian ng court appointed liquidator, baka mas malaki o mas maliit ang makukuha.

Related Articles:

Planholders of Platinum Plans, Ideal Pension Plans, Grayline Plans — Who Will Fight for Them?

Pre-Need Planholders — How to Ask Help from the Insurance Commission

The sign on the outside was also already PPLIC, short for Philippine Prudential Life Insurance Co.  PPLIC and Danvil have been partners since PPLIC bought Danvil’s insurance portfolio in 2007, and probably before 2007, so whatever relationship they have now is not surprising. When you ask reps about the Danvil-PPLIC thing, you get different answers, so it’s enough for me that they’re processing Danvil claims while selling PPLIC plans.

Danvil Plans is strict about IDs — which is good, baka may mag-claim na iba, so prepare your IDs. If you lack IDs, get a postal ID or a TIN digitized ID now.

These are the requirements in filing your claim for maturity benefits:

1. Original copy of Policy Face Page (the separate one-page summary that contains details about the planholder, beneficiaries and amount)
2. Original copy of Certificate of Full Payment
3. Original copy of Contract Provision
4. Photocopy of Cedula or Community Tax Certificate (Current Year)
5. Photocopy of two primary IDs  or  one primary ID and two secondary IDs

Valid Primary IDs:

• Passport
• SSS Digitized ID
• Company ID (current)
• Driver’s License
• PRC ID
• School ID (current)

Valid Secondary IDs:

• Postal ID
• TIN Digitized ID
• Senior Citizen ID

The processing of claims takes 45 to 60 days, so file your claims about two to three months before your maturity date.  When claiming your check, bring the originals of the photocopies you submitted. Bring the required IDs and your cedula.

For planholders abroad or OFWs who are not able to file and claim in person:

– Choose a representative who is of legal age.

– Go to the Philippine Consulate in the country where you are, and obtain a Special Power of Attorney (SPA).  Danvil Plans specifies your SPA to be consularized.  The SPA should state that you are:

• authorizing the representative to transact and process the maturity benefit claim in your behalf
• authorizing the representative to claim the maturity benefit check and sign the release, waiver and quitclaim form in your behalf.

Your representative should present:

1. two primary IDs, or one primary ID and two secondary IDs
2. cedula (current year)
3. photocopy of the IDs and the cedula

You can request Danvil Plans for the check to be made payable to your representative, so he/she can encash it for you, or deposit in his/her account for subsequent wiring to your foreign account. But make sure your representative is a person of integrity. Remember, cash can disappear like magic. If you choose this option, include this request also in your SPA.  Check that you’re writing the correct name/spelling of your representative in your SPA.

Update as of August 15, 2010:

I filed my claim this afternoon. As described by others who filed last year and this year, the process was easy. Ganon pa rin… na ang unang step is to sign a small sheet of paper stating your purpose for visiting the office. Then you are ushered inside.

The time I was there, marami pa ring kinakausap. Makikita mo pa rin yong usual na nakikita noong Family First pa –  yong mga katatapos lang nag-grocery, kasi may mga SM grocery bags under the tables, mga spouses/bfs/gfs/children waiting, at yong walang kamatayang Iced Tea! Pero, in fairness, okay naman yong Iced Tea nila compared sa Max’s. The rep and I nagtsika konti, tapos kinuha at tsinek niya documents, then binigay sa akin one copy of the checklist/receipt for the claim filing.

Before I left, I asked the rep why the sign outside the office was already PPLIC, and no longer Danvil Plans. It seemed that this rep was more informed than the others because he was more confident in his answers. He said that Danvil Plans is still an existing firm, separate from PPLIC, and that PPLIC has not acquired Danvil. He explained that Danvil is no longer selling Danvil plans; it’s only servicing existing planholders. He said that Danvil and PPLIC have a special partnership, helping each other in the processing of claims and in the marketing of PPLIC plans.

Related Articles:

Philippine Prudential Life Insurance Company

Pre-need Companies in the Philippines Now under Insurance Commission

List of Other Articles on Danvil Plans

Philippine Prudential is an insurance company; it is not a pre-need firm.

It is different from pre-need firm Prudential Life Plans Inc. whose license was revoked by the SEC in 2009. These two firms are not affiliated with each other.

Philippine Prudential is one of 35 life insurance firms  whose licenses have been renewed by the Insurance Commission every year for the past years.  Their newest licenses are for the license year 2009 to 2010.

Of the 35 life insurance firms, Philippine Prudential is:

• 17th in ranking based on premium income as of December 31, 2009
  640,144,183  pesos
• 17th in ranking based on first-year premium as of December 31, 2009
  207,613,865
• 22nd in ranking based on paid-up capital as of December 31, 2009
  123,807,730 pesos

As can be seen on both the websites of Philippine Prudential and Danvil Plans and in SM malls, the two firms use the same sales offices in SM Pampanga, SM Fairview, SM North Edsa, SM Megamall and SM Southmall.