LPWL - Aviva MyWholeLife Plan (IV) vs Manulife LifeReady Plus vs NTUC Star Secure + Aviva Mindef Group Term Plan. Any thoughts?

Hi! I'm glad that you're considering protection planning for yourself. The Aviva term plan can be kept aside as the premiums are cheap.

​

For the Life plans you've mentioned, may I know what's the reason for choosing these plans? Have you looked at other plans covering more CI coverage and conditions? The premiums will be competitive and coverage are much comprehensive.

​

If you would like to discuss it in detail, I would love to connect with you!
https://www.instagram.com/thefinancialrab/

Hi anon,

​

I personally have WL CI as I feel that there is a benefit to having coverage for an event where you are alive and will be a financial burden on yourself and/or your loved ones.

​

Thus this is where WL CI cover comes into play since I will never know when I will get a CI, but I do know that when I have a CI, I'm very much still alive and me/my family will be bleeding money. I've a client who had a stroke earlier in the year, it was a minor one but the family had to make many changes to their lifestyle, since she was a housewife, they had to stop cooking completely and rely on buying food, hire a helper for a while, install air con for her comfort, etc. All this was a very visible financial strain on them. And this can happen regardless of age.

​

I'm not going to rely on BTIR since 1) there's no guarantee here as it's investments 2) If I'm lying in a hospital bed in a coma due to a stroke, who on earth will know what to do with my investments, let alone know the passwords to log in and sell them off to raise money? At least my family will be able to claim on an insurance policy regardless of which stage of life I am at, and the payout process is straightforward.

​

That's not to say that I don't invest, I do, but not for the purpose of preparing to liquidate it to pay for expenses when a CI strikes. I invest to enjoy the fruits of my investments later in life such as holidays, dining, getting another property, etc. Seems a bit odd to me to invest and always have to hold on to the investments waiting for a CI that may or may not occur, just so that I can liquidate and raise money, provided that I am able to do so on my own. Investments really should not be used as a proxy for insurance, because it is NOT.

​

So a WL with a decent multiplier will cover me very well during my working years, and cover me reasonably during my retirement. I have two such plans in fact.

​

For death/TPD, I would think that my death would only cause a financial burden when people are dependent on me. This will be during my active income years. So a term plan to cover death/TPD is sufficient. if I die earlier than expected in retirement, no one in my family should have to be suffering financially. And yes, I have a term plan to cover that too.

​

I hope that gives you some ideas into my thoughts.

​

Lastly, given your budget, look at a $60K x 5 WL with a 25 year premium term. Did the maths for you already, this should fit your requirements. I can't comment too much or give formal advice here but if you'd like a more detailed breakdown between the 3 plans you listed as well as my thoughts on the pros/cons of each plan, feel free to reach out via the google forms in my profile.