Few days ago, I had supper with some old friends and I realized that many of them do not aware that they can actually claim the "36 critical illness" life insurance under ‘Medical Insurance” category when they’re filling for tax. But it is already too late for them, maybe for you too? I think this is worth to share with you guys ...
If you buy the "36 Critical Illness" life insurance from Great Eastern or they probably call it "Supreme Livin’Care Plus", you can claim up to 60% of your total premium paid under the education and medical insurance category (limit is RM 3000). However, of course you also can claim up to 100% of your total premium paid under life insurance and EPF category (limit is RM 6000).
Many people think that this critical illness life insurance can only be considered as life policy for tax relief but this is not true. It can be considered as medical policy as well for tax relief. Sometimes especially when you have fully utilized the RM 6000 limit (life and EPF), you can still claim the 60% under the medical insurance. At least this is true for Great Eastern and I'm not sure other insurance companines.
When you receive the tax relief statement from Great Eastern every year, it basically categorizes the insurance into 4 categories (stated at the back of your statement):
Life100% of premium paid are eligible for tax relief as life policyEducation/Life100% of premium paid are eligible for tax relief as education or life policyMedical/Life60% of premium paid are eligible for tax relief as medical policy. 100% of premium paid are eligible for tax relief as life policy
Medical100% of premium paid are eligible for tax relief as medical policy.