How much critical illness coverage should I need?

The exact coverage amount required will differ from person to person, based on your financial situation. Generally, the recommended recovery period for major critical illness is benchmarked as 5 years by the Life Insurance Association of Singapore. Hence, it is key to ensure your critical illness coverage is sufficient to cover your treatment as well as your living expense during the 60-month recovery period.

You can make use of our PolicyPal Life Stage function to get an instant overview of your coverage gaps and possible steps to fill the gaps.

Alternatively, you can get in touch with us if you would like a personal financial portfolio review.

Before we begin, it will be good to have a complete understanding of your existing insurance portfolio. Through this process, it allows us to understand the coverage that we have, any financial gap, as well as to find out whether we are overpaying for our insurance policies.

Key Reasons Why:

Why Every Client needs an Insurance Policy Summary

How much insurance coverage should You have?

As a general rule,

10% to 20% of your annual income on healthcare insurance and life insurance

Basic Life Cover = 10 times your annual income

Critical Illness Coverage = 5 times your annual income

However, in order to determine your actual needs, we will need to understand you further, e.g. any family history, lifestyle, long-term planning. Thereupon, it gives us a better idea on how to conduct financial planning for you.

More Details: 3 Types of Insurance Policies in Singapore

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