facebookAm I spending too much on insurance? I am currently 24 years old with an income of 2,200 (inc CPF), I am not sure if the policies I own are 'too much'? I am easily persuaded by my agents? - Seedly

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Anonymous

08 May 2020

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Retirement

Am I spending too much on insurance? I am currently 24 years old with an income of 2,200 (inc CPF), I am not sure if the policies I own are 'too much'? I am easily persuaded by my agents?

Currently, I have the following :

PruPersonal Accident: $14.88/mth
PruShield Premier: $322.20/ yr via CPF
PruExtra: $45.76/mth
PruLady Plan C: $1316.46/year
PruTriple Protect: $1093.28/year
AIA Secure Term Plus: $397.67/year
AIA Premier Disability Cover: $343.5/year

These exclude another 2 endowment policies I have.

Discussion (5)

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Charmaine Ng

08 May 2020

The Value Maximizer at @ Every Ma La Xiang Guo Stall

Looking at these numbers I actually find it a little excessive.

Some essentials from what you have that I think you can keep: Prupersonal accident, PruShield Premier & Pru Extra. Hospitalization + Personal Accident plan is quite essential IMHO. Then for PruLady Plan C, usually Lady's plans are more expensive. Should compare and review if you actually need it right now.

Need to review your family medical history and whether you are the sole breadwinner at home. I do find PruTriple Protect good in the sense that it allows 3 times of claim but whether it is essential and necessary at this stage is another matter.

Speak to a qualified FA, and by speaking to them you don't have to take out another new plan with them. Preferably someone you can trust - any friends or family members perhaps? And endowment plan at age 24 - I think it's too early. Unless your pay is higher and have some spare cash else I'd rather you build on emergency funds.

It looks like u r paying more than 10% of yr salary to insurance and that haven't include yr endowment plan.
Rule of thumb is not more than 10%.
U might want to talk to some good FA to restructure yr coverage.

Hi there,

First off, great that you have purchased numerous insurance plans.

Sometimes, health con...

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