Disability Insurance vs term with ci

[CronesWar]

im currently 30years old, non smoking male earning 3.2k/mth.

how much should one spend on insurance? i have been reading ~ 2 - 3%. so why this rate?
im working with one adviser but he advise me to spend 20-30% on insurance instead.

Also assuming i have 200$ for insurance, should i get disability or term with ci first? or take both with lower payouts?

Appreciate advises here... thanks.

 

[Layers]

im currently 30years old, non smoking male earning 3.2k/mth.

how much should one spend on insurance? i have been reading ~ 2 - 3%. so why this rate?
im working with one adviser but he advise me to spend 20-30% on insurance instead.

Also assuming i have 200$ for insurance, should i get disability or term with ci first? or take both with lower payouts?

Appreciate advises here... thanks.

Hospital plan first

WL got CI and disability. $200/month roughly 200k sum assured.

My monthly premium about 15% of my income. Buy what you are comfortable with. I wouldn't buy anymore already . 15% is alot.

Sent from PLUS ULTRA! using GAGT

 

[akwl88]

im currently 30years old, non smoking male earning 3.2k/mth.

how much should one spend on insurance? i have been reading ~ 2 - 3%. so why this rate?
im working with one adviser but he advise me to spend 20-30% on insurance instead.

Also assuming i have 200$ for insurance, should i get disability or term with ci first? or take both with lower payouts?

Appreciate advises here... thanks.

term coverage for death, tpd and ci. hosp plan. others you can consider if you can afford.

he "advise" you to spend 20-30% because he can get more comms from you to pay his Mercedes' loan

 

[CronesWar]

i already have hospitalization - ntuc incomeshield...

as for the disability, im thinking on the one with monthly payout ~2k/mth.

does WL plan tpd and ci also provide monthly payout?

 

[MikeZhang]

im currently 30years old, non smoking male earning 3.2k/mth.

how much should one spend on insurance? i have been reading ~ 2 - 3%. so why this rate?
im working with one adviser but he advise me to spend 20-30% on insurance instead.

Also assuming i have 200$ for insurance, should i get disability or term with ci first? or take both with lower payouts?

Appreciate advises here... thanks.

20% to 30% for insurance protection is alot. Unless 20-30% of your income include saving plan. Whole life, hospital plan and term plan coverage usually should hit about 10% of your income.

If you are willing to spend $200 for insurance, you should get a term plan with CI coverage first.

 

[mummy1234]

tPD and partial disability or income replacement plans r different...the latter is more important and often neglected IMO...Great Eastern has a good partial disability plan that covers income replacement for life I think. Important esp for breadwinners, I regret not getting it and getting the 5 year Manulife one instead...

 

[Layers]

i already have hospitalization - ntuc incomeshield...

as for the disability, im thinking on the one with monthly payout ~2k/mth.

does WL plan tpd and ci also provide monthly payout?

Lump sum. Imo lump sum better la. U get everything 1 shot. But depend on what u want

Sent from PLUS ULTRA! using GAGT

 

[Layers]

20% to 30% for insurance protection is alot. Unless 20-30% of your income include saving plan. Whole life, hospital plan and term plan coverage usually should hit about 10% of your income.

If you are willing to spend $200 for insurance, you should get a term plan with CI coverage first.

For term. U must know what u want after 65. Can u invest like the savy ppl here and use the it after 65 for retirement, sickness and anything that comes your way.

Yea 20% is too much. Assuming your income will increase. 15% now will become lesser over the yrs. Ultimately 10% is the sweet spot

Sent from PLUS ULTRA! using GAGT

 

[chopra]

Lets draw a venn diagram of e general ci and general disabilities (tt refrain someone frm working).

Anyone?

 

[eternalxiii]

Lets draw a venn diagram of e general ci and general disabilities (tt refrain someone frm working).

Anyone?

I dont have time to draw a venn diagram so I hope a short explanation can suffice.

Critical Illness - Lump sum amount to offset all your medical related expenses to recovery or death. Things like major cancers, heart attack, stroke.

Disability - Recover up to 75% of your monthly pay up to age 65as if you were still working. It covers things that are not covered by typical CI insurance such as early stage cancer or serious car accident. Its like extending your paid MC (some companies give up to 2 months).

Of course, if you kena CI, the disability will kick in as well so you can claim both. The idea is that even if you kena CI, your savings and investment plans wont be affected at all because its as if you were still working with 75% of your salary.