Whole Life Insurance
Critical Illness (CI)
Early Critical Illness (ECI)
Asked 2w ago
Or should I get a separate ECI/CI standalone plan? Which approach is better in terms of coverage & cost?
Good on you for planning your insurance coverage at that age!
It depends a lot on your budget as of now. Whole life + CI/ECI coverage can be a pinch at the present moment compared to you getting a term plan and a standalone CI plan. Of course, Whole Life+CI/ECI coverage offer limited premium payment mode to allow you to be insured for life. So think of it as a 3-in-1 packaged solution.
Of course, standalone CI plans offer multi-pay options covering relapses etc. So it really depends on your needs and budget then. Term plans in general are also more affordable (relative to Whole Life) and can be converted to life plans at some point (but do check the T&C). This allows you the option of getting coverage now according to your budget and when your finances pick up, you can convert it to Whole Life later on.
Do check with a trusted agent to explore your options. All the best!
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In terms of coverage, definitely consider getting a whole life with CI and ECI coverage. Personally I do think this is the best value because it is a holistic coverage as compared to just getting a CI/ ECI coverage only.
In terms of cost, I think it depends on your budget and also the sum assured you are looking at. Cause sum assured will affect the cost. There are now limited pay options meaning you can choose how long you would pay the premiums of the policy for, and the policy will provide you coverage for the whole of life.
Generally, a whole life insurance policy creates the basic foundation on the insurance coverage that you will need for life. In most cases, you will pay the premium for a limited numebr of years, and enjoy coverage for the rest of your life.
Additionally, a standalone term insurance or whole life insurance policy adds as the booster to cover your needs for the required period of time. This is the affordable option to get the coverage that you need, and ensure that you don't overspend on insurance.
Since everyone's needs and future planning is different, I will suggest for you to speak with your agent or an experienced consultant for a customised solution.
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If you can afford, whole life + CI/ECI rider. If you get limited pay, e.g. pay for 20 years, you will enjoy whole life CI/ECI and just need to pay for 20 years. Although its quite expensive for the first 20 years of premium.
If you can manage your own finances well and invest the money properly, you can consider getting term life + CI/ECI. The cost of premiums will be much lower. Use the difference in premiums to invest and earn higher returns to pay for the future premiums.