AXA Record Pre-tax Loss

Axa Affin Life Insurance Berhad recorded a pre-tax loss of MYR 20.6 million for the nine-month period ended 30 September, 2016. The period under review was impacted by lower yield in MGS (Malaysia Government Securities), increased overhead expenses and higher claims incurred.

Impact on Policyholders - when a life insurance company makes profit (surplus), it is supposed to distribute a part of that profit to its policyholders, in the form of bonus payments and/or dividends. When a life insurance company makes loses - life insurance policyholders will stand to receive less benefits (Bonus/Dividend) compared to the sales illustration (projection). Life insurers losses will have the greatest impact on non-guaranteed benefits including Bonus and Dividend.  

Dividend - participating policies are usually conventional policy that pays dividends. The dividend is a portion of the insurance company's profits that are paid to policyholders (as if you were an investor or stockholder).

Bonus - refers to an extra payment received over and above the assured income. In life insurance, the concept of bonus is somewhat similar. One is entitled to the amount of sum assured (expected income) and over and above that there may be bonus payments. Various types of Bonus in the policy will be affected including - Simple Reversionary Bonus, Compound Reversionary Bonus, Interim Bonus (premature death) and Terminal Bonus (policy matures).

Top Life Insurers - over a 10-year period from 2006 to 2015, the average annualised net investment returns showed that AIA Singapore, Great Eastern Life and Prudential Singapore had the most number of top quartiles (top 25 per cent) of the 10 major life players in the market (source - Life Insurance Association Singapore). 

Be cautious when life insurer is running at a loss. Insurer must achieve good investment returns for their par funds consistently in-order to deliver the projected returns promised to their par policyholders in the long run.

AXA Psychopath Bully

We don’t expect to have to deal with bullying beyond high school. In fact - people are finding that bullying is not limited to adolescence. Staffs/agencies are encountering a sick psychopath bully at Axa. Bully manipulates us to falsely believe his action is just tough or push his subordinates to get results. It’s important to distinguish between a tough boss and a bullying boss.

Verbally abuses you – bully humiliates you in front of others. He talk-down at you and make offensive jokes at your expense. Abusive bully makes snide remarks or offer unfair criticism about you or your work. 

Intimidates you on a regular basis – bully intimidate & threaten to demote you, terminate your agency agreement, withdrawal of benefit, suspension of privilege. Bully threatens to fire staff, cold storage at Axa Head Office or relocate you to a branch far away from your family. This is a fear-management with the object to maintain power and control.

Challenge your adequacy and your commitment – bully questions your commitment and adequacy by belittling your opinions and ideas. Bully purposely do this in public, in-front of others – in chat group in whatapps, at meeting, at Axa Sin Bin (a training program designed to humiliate underperforming agency leaders). Bully blames you for poor production or poor recruitment - while boasting of his skills and past glory.

Undermines your work - bully sets unrealistic deadline that are bound to cause you to fail. He changes contest guidelines – to disrupt, to demotivate, to disqualify you and your agents.  He withholds vital information - to cause failure, to undermine and to sabotage your agency.

Impedes your success – bully don’t want to see you succeed because - he is jealous and he will lose control over you. He abused your agency agreement and punishes you on the slightest excuse – with or without evidence.  He makes it impossible for you to do your agency business.

Spreads rumours about – bully is a big-time gossip monger spreading rumours to make you look bad. He gossips about you recruiting Axa agent into multi-level-marketing or you have joined the competitors. This cowardly act is usually launched at agency meeting. Victims – hit below the belt - are not given the opportunity to rebuke or clarify his slander and mongering.

Isolates you at work - Bullying bosses excludes you socially. He removes you from whatapp’s chat group. Sit you at the end of the hall. He leaves you off party lists. He disallows you to attend work meetings or agency events.

Workplace bullying is not normal in any workplace environment. Repetitive verbal abuse, exploitation, micromanagement and other activities that repeatedly demean you or are discourteous will eventually take a toll on you. Do not complain to upper management because - Bully has the support of his superior. Consider joining AIA, Prudential & Great Eastern – they are truly a multinational corporation managed by professionals – they do not tolerate bully. 

AXA A Sinking Ship

You need to be careful when – when walking towards Axa Affin Life Insurance Agency office. It is similar to walking through a valley of death - with dead bodies of thousands of staffs (especially under Agency Department) and agency members. Hundreds more of staffs have left en-mass to join competitors. Axa is weak, lack of staff and is headless.

Why They Left – the sick psychopath Bully is the main reason most staff left (resigned or terminated). They stood-up and rejected being bullied or being humiliated by the Bully. They refused to be manipulated. They do not tolerate derogatory words, foul language and filthy sex jokes. They are afraid of unsolicited sexual advance by the sick sex predator.     

Where Are They - Most former staffs are experienced and capable. They quit and join the competitors with better position and/or higher salary.

Why They Are Dangerous to Axa - Former staffs has in-depth knowledge of Axa strengths and weaknesses. More importantly – they have access to Axa staffs and agencies. They left Axa under hostile & unfriendly circumstance. This makes them very dangerous for Axa. They are Axa worst enemy.

What Are They Doing - Former staffs returned to haunt Axa. They recruit Axa staffs and agencies. They are teaching their staff and agency to attack Axa’s product. They are teaching their agency to attack Axa’s customer and to lapse their policy. They are telling prospective agent not to join Axa because the Chief Agency Officer is a dictator & a bully.

Competitors & former staff/agency will have the last laugh. Axa is under threat, the worst performing life insurers and rotting at the bottom of the life insurance industry. You should leave immediately and join competitors. Competitors like AIA, Allianz, Zurich, Hong Leong, Prudential and Great Eastern offer you safe passage – but a conducive environment, professional management & innovations  – where you will definitely have a better career.  

AXA Leader Potential Bankrupt

In AXA agency agreement - Unit Manager and Agency Manager stood as “Guarantor” for himself, his agents and agency leaders under his supervision. 

What is a Guarantor?

In AXA agency agreement - Section 9.10 (a) and (b) – a Guarantor - agrees to be responsible for any debt, obligation, or liability due or owing or likely to become due or owing to the company by himself, his agents and agency leaders under his supervision. 

What Event?

An agent or agency leader under your supervision may have conducted one of the many actions:-

1. Free Look – customer returns the policy during the free look period.  AXA will refund 100% of premium and clawback all commissions, overrides and benefits paid
2. Mis-selling – customer lodged a complaint on agent mis-selling. AXA will refund 100% of premium and clawback all commissions, overrides and benefits paid
3. Misappropriation of premium – customer lodged a complaint on agent misappropriating premium. AXA will recover all commissions, overrides and benefits to repay customer
4. Customer sue Agent & AXA – AXA will recover all costs and liabilities from agent

Impact On Guarantor

AXA will initially seek to recover from your agent or agency leader under your supervision. Failing which, AXA will recover the same from you – as a Guarantor. In addition, under the agency agreement – you have also waived your right not to challenge, object or take any action against AXA. 

Open Liability

Example - if one of your agent or several agents - had received RM10,000 commissions and benefits from AXA. One day – customer(s) lodged complaint on mis-selling. AXA proceed to clawback from your agent(s). Your agent refused to pay and run away. AXA will then clawback RM10,000 from you as a Guarantor. Standing as Guarantor with unlimited amount - can potentially bankrupt you as AXA Agency Manager.

Competitor

AIA, Great Eastern, Prudential or Allianz does not have this so-called Guarantor Clause in their agency Agreement. These better managed insurers are more intelligent and uses other method to protect their agencies. Axa’s management is “Bangang” and is unable to protect its agencies. Now we know the reason – Axa is rotting at the bottom of a cesspool when AIA, Great Eastern, Prudential and Allianz is successful and growing rapidly.

AXA Dictator Terminates Agents

There are 24 pages in AXA Agency Manager Agreement. The agreement is worded to provide AXA maximum advantage over you. Entering into an agreement with AXA is to place the sword of Damocles (hanging by a single strand of hair) above your head. Something bad will surely happen to you & your business soon. 

Suspension Clause in Axa Agent Agreement - If the Company in its opinion suspects any of the events - may have happened, it may at its absolute discretion by notice suspend the operation of this Contract without giving any reason

Termination Clause in Axa Agent Agreement - The Company or the Manager may terminate this contract at any time and without giving any reason for so doing by giving 1 month’s notice to the other party in writing

Standard Procedure in AXA - The Chief Agency Officer (CAO) is the officer (exclusively) who decides to suspend and/or terminate your agency agreement. AXA will send a registered mail to your address.  

AXA will not hold any investigation

AXA will not call you for discussion

AXA will not make any courtesy call to you

What Is The Impact - Once your agency agreement is terminated – you will lose everything instantly:-

AXA stops paying your commission, overrides and all benefits

AXA hijacks all your agents and agency leaders under your supervision

AXA hijacks all your customers

Conclusion - AXA agency provides protection for client in the event of death or disability. No agent or agency is safe at AXA. AXA promised you that they will support you and your "Business". This is a lie. At AXA - Agency is not able to protect his/her own business. How can AXA Agent protects his/her client with Axa policy?

Hundreds of staffs and agencies have left to join AIA, Great Eastern, Allianz, Prudential - where they are doing better and earning more income.