In the event that Singlife closes down, what will happen to my savings? I understand that it is covered under PPF scheme which is different from Deposit Insurance Scheme. What does this mean? - Seedly
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Anonymous

Asked on 18 Jun 2020

In the event that Singlife closes down, what will happen to my savings? I understand that it is covered under PPF scheme which is different from Deposit Insurance Scheme. What does this mean?

The deposit insurance scheme covers up to $75,000 if a bank fails, but Singlife is not a bank. The PPF scheme states that if the insurer fails, we are still covered under general insurance scheme, so what will happen to my savings?

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Billy Ko
Billy Ko, Analyst at ClubMed
Level 7. Grand Master
Answered on 19 Jun 2020

Hi there!

The PPF scheme guarantees the surrender value of an policy. In the case of Singlife, your surrender value would be your account value + any interest that has already been paid.

In a nutshell, Singlife is a Capital Guaranteed endowment plan with potential interest (paid monthly after your first deposit) of up to 2.5% p.a.

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mskitti

1d ago

Hi Billy, I have the same question as well and read that SDIC states: ā€œIn the event a life insurer which is a PPF Scheme member fails and you have a claim under a life insured policy which happened before the PPF Scheme member failed; you have given notice to the life insurer that you want to surrender a life insured policy before the failure; or if your policies have matured before the insurer fails; or you have been receiving annuity payments, you are entitled to be paid compensation for the guaranteed benefits payable under your life insured policy. This is subject to certain caps.ā€ For people who purchased the SingLife plan/ELASTIQ as a savings account, which category does it fall under? I was wondering if the savings/deposit wonā€™t be covered under PPF in this case. Thanks in advance!
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Gabriel
Gabriel
Level 8. Wizard
Answered on 20 Jun 2020

Hey Anon, the Singlife Account is protected by SDIC under the Policy Owners' Protection Scheme (PPF). The PPF covers the guaranteed benefit or guaranteed surrender value at point of failure and in this case, the surrender benefit is the account value which is the amount of deposit you have in the account.

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Thank You!
Can you clarify
I wonder if
This is so helpful šŸ‘
What about
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