Term Life Insurance

Purely coverage focused product

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Term Life Insurance
  • Asked by Anonymous

    Brandan Chen
    Brandan Chen, Financial Planner at Manulife Singapore
    Level 5. Genius
    Answered 3w ago
    I am an Advisor with Manulife, but due to MAS regulations, we arent allowed to provide any recommendations online without having a full understanding of your profile. However, I can break down the basics for you via this comment. Firstly, we should first understand how much coverage we require for both Early CI and Late CI. Typically, we would suggest a coverage of about 5x of your annual income for coverage. For Early stage, typically about 1 - 2 x of your annual income. Secondly, what are the options available. There are typicall 3 options for you to take up. Whole Life Plan with ECI & CI rider, Term Plan with CI Rider, Multi-claim CI plans which is a term plan that only covers CI but allows for one to claim multiple times. Thirdly, What is your overall budget? My suggestion is that you should NOT spend more than 10% of your income on all your insurance including your health insurance and Personal accident insurance if any. Things to look out for: 1) No of conditions that are covered. For Manulife, we cover a total of 106 conditions, which is one of the more comprehensive CI plans in the market 2) Fine print on the definition of the conditions 3) For Multi-Claim CI, it would be good to take a look at the structure from the various insurers. Some insurers provide 0 waiting period for their ECI claims but do not allow you to claim from the same category of CI again, whereas some may have a waiting period of 1 year for multiple claims but yet do not restrict you in the category of CIs. In conclusion for Critical Illness plans, you may either get a combination of Whole Life and Term, or a Multi-claim CI plan depending on your budget and preference! As for endowment policies, there are typically 2 types, those with flexibility and those without. More often than not, the endowment plans with flexibility tend to generate lower returns as compared to those without flexibility. More importantly, before deciding on an endowment plan, do understand your current risk profile and your savings/investment objective. There are plenty of options for you to grow your money. You should definitely speak to a financial advisor to find out more! Lastly, feel free to connect with me via my email at [email protected] if you would like to have a further (non-obligatory) discussion on your personal financial planning.
  • Asked by Anonymous

    Li Yu
    Li Yu, Financial Services Consultant at Manulife Financial Advisors
    Level 3. Wonderkid
    Answered 4w ago
    Assuming the policies offer the same coverage for the same premium, always get from an insurance company. This is becos there will be someone servicing you if you get from insurance company, but not from the bank. Of course there is likelihood that your insurance agent is irresponsible or he/she may leave the company, but at least you still get higher chance of being serviced after purchaing the plan.
  • Asked by Anonymous

    Brandan Chen
    Brandan Chen, Financial Planner at Manulife Singapore
    Level 5. Genius
    Answered on 16 Apr 2019
    Insurance is meant to be a tailored solution to fit each individual needs. Term is most cost effective for Death/Disabilty coverage, whereas for CI & ECI coverage, Whole Life may make more sense. Like what Hariz mentioned, its really not about Term or WL but rather what combination would fit both your needs and budget. Perhaps you should speak to a financial advisor that is able to provide you with proper advice. Alternatively, you may always reach out to me via https://www.facebook.com/brandan.chen
  • Asked by Anonymous

    Loh Tat Tian
    Loh Tat Tian, Ex-Financial Advisor, Founder at Singapore Insurance Value Finding
    Level 6. Master
    Answered on 05 Apr 2019
    I have whole life for 1-2 year annual income coverage, and a term for 5 years annual income which include CI. I do the base WL, and a term top up for high liabilities (between age 30 to 55, where your kids etc are still depending on you). For your case, it depends on your situation.
  • Asked by Anonymous

    Hariz Arthur Maloy
    Hariz Arthur Maloy, Independent Financial Advisor at Promiseland Independent
    Top Contributor

    Top Contributor (Apr)

    Level 7. Grand Master
    Answered on 01 Apr 2019
    In the event of a claim, you would claim from all your insurance plans, so it wouldn't make sense to have 2 for the reason you mentioned. It might make sense to have 2 or more to "diversify" your risk, but I don't quite believe in that. In fact, getting a higher coverage from one policy will make the premiums cheaper. However, if those term plan were bought at different ages, and for the current age, another insurance company is providing a better cover, by all means get from the other company for the 2nd policy.
  • Asked by Anonymous

    Hariz Arthur Maloy
    Hariz Arthur Maloy, Independent Financial Advisor at Promiseland Independent
    Top Contributor

    Top Contributor (Apr)

    Level 7. Grand Master
    Answered on 21 Mar 2019
    We've discussed this quite a few times already but here's my answer again. :) You purchase insurance for your newborn not because anyone is depending on his income, but if he falls ill, a parent will need to stop work and hire a domestic worker to help take care of the family and other responsibilities. You buy insurance to cover in the event of illness of the child as additional expenses and a potential loss of income for the family will be incurred. Also, at a young age, a limited pay Whole Life plan for the child may make more sense financially. And if you get a term only, your child might not be able to get insured later in life if there are any complications or illness. A WL plans locks his insurability at least. I'd look at getting around 100 to 150k of CI coverage for life for a newborn. If you'd like a comparison or a deeper understanding of what other risks you may need to manage for a newborn, you can always drop me a message on FB. All the best!
  • Asked by Anonymous

    Hariz Arthur Maloy
    Hariz Arthur Maloy, Independent Financial Advisor at Promiseland Independent
    Top Contributor

    Top Contributor (Apr)

    Level 7. Grand Master
    Answered on 06 Feb 2019
    Instead of looking at premiums, look at coverage. You should have 10-15X your annual income as Life Cover, 3-5X your annual income as income protection (CI). If you're making 50k a year, that's 500-750K in Life Cover and 150-250K in CI coverage. If you're covered for more, you may want to decrease your cover. Typically, if you're covered for the above amounts, you should be paying 8-12% of your monthly income in life insurance.
  • Asked by Koe Wei Loong

    Nicholes Wong
    Nicholes Wong, Diploma in Business Management at Nanyang Polytechnic
    Level 6. Master
    Answered on 02 Mar 2019
    Will you still be working to take care of your family after 65? If yes, you should still have term insurance.
  • Asked by Anonymous

    Jonathan Chia Guangrong
    Jonathan Chia Guangrong, Fund Manager at JCG Fund
    Level 6. Master
    Answered on 04 Feb 2019
    From what I know the waiting period is one year for cases of suicide. Depending on the contract wording the death benefit may pay out or the policy may be void and the premiums paid will be 'refunded' to the estate. Need to fall back on the contract wording for claims assessment.
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