Insurance for Undergraduates?

Hello, I am currently insured $200,000 for AVIVA's Group Term Life, Group Personal Accident and Group Living Care. As an undergraduate, should I be increasing the amount of sum assured? I understand that the amount of coverage I should have should be based on my income. Given that I currently have none, does that mean I do not need these insurance plans? I do have hospitalisation under NTUC IncomeShield, and I believe that will cover any medical fees in the event something untoward happens.

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Hariz Arthur Maloy

10 Aug 2020

Independent Financial Advisor at Promiseland Independent

Hi Anon, yes you're right, since you do not have an income, by right you do not need insurance cover. However when it comes to Critical Illness, should something to you since you're quite young, your parents may still be taking care of you. So this money may be for them to quit their jobs and take care of you if need be or to hire help.

Different CIs affect you differently. The more debilitating ones like stroke may really affect you for the rest of your life, and you'll continue to be dependent on someone else should it be quite serious.

So I would still get some CI coverage at any point in my life. $200k seems reasonable imo.

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