I'm currently in my mid-twenties and have 2 life insurances already, any plan recommendations on multi claims until 70-75 years old?

Hey anon,

It’s great you got your insurances early. But it’s not about the number of plans. Do make sure to review with a trusted professional on your coverage amount.

I once met a client in her 40s with more than 10 protection plans and it was very saddening to find out that 10 plans add up don’t even give her 1 million in coverage and barely covered her 170k for critical illness.

Various insurers have multi claims plan. Multi claims plans are not necessarily a good fit for everyone, it depends on your needs and future plans. Hence I don’t think it’s right of me to recommend any plans without knowing you.

So make sure you do go through with your advisor on the plans and how it addresses your needs and how it will continue to fit into your long term plans.

For me, when it comes to planning with my clients, I always share with them my own unique concept known as IEP and we strategize their insurance, savings, and investment towards it. So they know why they chose this plan and how to utilize them effectively

Hi anon,

There are various insurers carrying multi-pay plans, so if you are specifically looking to get a multi pay, it would be good to sit down with an independent financial advisor to understand the structure of multi pay plans; not all plans have the same payout structure/criteria.

You will need to consider these few key factors for multi pay plans:

1. Payout Criteria (The trickiest thing to understand as no two plans are similar)

2. Payout/coverage amount (This should be based on your needs)

3. Stages of CI covered (early/intermediate/late)

4. Premiums payments/premium refund (some plans will waive premiums after you are diagnosed with major CI, but continue to cover you; some plans will have a surrender value after a certain number of years, etc)

5. Duration of cover (Depends on your needs)

As these criteria are unique to your requirements, only by letting a consultant know your needs, can the right selection of plans be presented to you for your consideration.

For your question on term insurance, if it is only covering death/TI/TPD, then Critical Illness will not trigger a payout. To be very specific, terminal illness is defined as "The conclusive diagnosis of an illness that is expected to result in the death of the Life Assured within 12 months. This diagnosis must be supported by a specialist and confirmed by the Company’s appointed doctor." In all likelihood, no doctor will likely dare to certify that one will pass on within 12 months no matter how ill you are; as medical technology advances, what if someone on the verge of death was saved after the payout was made? Then who would be held liable?

If you need more clarification, feel free to reply to this post.