Should I withdraw from my great eastern ILP and purchase a term/whole life insurance product instead?

Generally, it is dependent on the purpose behind why you purchase the policies. Investment-Linked Policy normally a life insurance plan that constitutes an investment component. Thus, if you are simply seeking coverage, it might be good to withdraw. However, if your policy has been providing a good return on investment, you might want to continue with it.

If you are considering between Life and Term Policy, do check out this article.

If you would like to find out more, do reach out to us and we will follow up with you.​​​

Generally, life insurance coverage can be split into three life's major event,

1. Pre-Mature Death

2. Total & Permanent Disability

3. Critical Illness

Death Coverage

There are a couple of factors that we need to clarify and plan before we can establish whether there is a need for death coverage if you are single. For example, do you have any dependents? Do you have any liabiltiies?

Based on the latter example, just because you are single doesn't mean that your liabilities will be written off upon death. Therefore, there exists a need for proper estate planning to this end.

More Details:

5 Reasons why You need Life Insurance - Death Coverage

Total & Permanent Disability

Since you are alive and continues to live, there exists a need to be insured.

More Details:

5 Reasons why You need Life Insurance - Total & Permanent Disability Coverage

Critical Illness

Similar to the rationale for Total & Permanent Disability, there exists a need for you to be insured.

More Details:

5 Reasons why You need Life Insurance - Critical Illness

On the whole, these are general guidelines which may or may not work for you. Therefore, you are encouraged to conduct comprehensive financial planning. Through this process, it ensures that we are well-planned ahead in life.

You should just give up the ILP and buy term life :)

It is most important to recognise your current situation.

Firstly, is to review the current status/performance of the ILP. I hope your planner is able to provide you with a good view of the current market situation as well. The features of the ILP also matters.

Next is to review the coverage you need and the cost of coverage. I do not know the coverage you have through the ILP, or if you can reduce/increase the coverage. You can compare the COI in the ILP vs the cost of term, which I suspect, in the long run the term makes more sense. If so reducing the sum assured in the ILP and increasing coverage using term makes perfect sense.

Do review both aspects to give yourself an idea what to do.