Why I regret spending too much on Insurance

zidane13

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Thanks guys, I've decided not to get the annuity and to cancel my ILP.

About the STI ETFs, any idea where I can get info on buying ETFs on rsp? Do I need to open accounts with banks or something? Sorry for the noob questions.
 

happy_bear

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Hi all

Im in mid 30s ( no dependents except parents) and currently have two polices for ten Years

1) NTUC Income shield enhanced plus rider ($300 medisave , $300 cash /yr)
2) Manulife lifeprotector 20 with CI (20yrs limited premium plan-100kcoverage )-$2k/year

I do regular saving in low risk investment option like FD. No stocks and unit trust.

Should i increase my insurance coverage with a term insurance or whole life pla ? Any recommendation if im intending to get more coverage against ci and tpd?
 
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SmallDino

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I came across an advertisement today regarding selling insurance policy to a third party company instead of surrendering the policy back insurance company. How does this work? The company claims that they will buy at higher than surrender value.
 

Maeda_Toshiie

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Thanks guys, I've decided not to get the annuity and to cancel my ILP.

About the STI ETFs, any idea where I can get info on buying ETFs on rsp? Do I need to open accounts with banks or something? Sorry for the noob questions.

I suggest that you take a look at Shiny Thing's thread. Don't be daunted by the idea of investing.

Yes, you will need to open the relevant account(s) with the bank(s). The amount that you wish to invest will impact the choice of method to invest.

Hi all

Im in mid 30s ( no dependents except parents) and currently have two polices for ten Years

1) NTUC Income shield enhanced plus rider ($300 medisave , $300 cash /yr)
2) Manulife lifeprotector 20 with CI (20yrs limited premium plan-100kcoverage )-$2k/year

I do regular saving in low risk investment option like FD. No stocks and unit trust.

Should i increase my insurance coverage with a term insurance or whole life pla ? Any recommendation if im intending to get more coverage against ci and tpd?

Is that Manulife lifeprotector a whole life policy or ILP?

Your death/tpd coverage should be dependent on how much your dependents need to survive in the event of your untimely demise. This is something that only you (and your dependents) have to decide. If you find that 100k coverage is not enough, you can some cheap term plan for additional coverage.

BTW, fixed deposits are not investments.

I came across an advertisement today regarding selling insurance policy to a third party company instead of surrendering the policy back insurance company. How does this work? The company claims that they will buy at higher than surrender value.

Most likely they will continue to pay for the policy until maturity and then obtain the final surrender value.
 
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JuniorLion

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BBCWatcher

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I'm not recommending people pick many stocks, but rather just a few stocks.
We're going to have to disagree about that. Most people shouldn't be picking individual stocks at all. Let the high net worth individuals and professionals try that.

I allow one important, fairly common exception to the general advice. If you work for a company that offers an employee stock purchase program, and if you get an employee discount on the stock price, then regular share purchases of that particular stock can make a lot of financial sense. However, you should take care to keep that stock under 5% ("rule of thumb") of your total household net worth. Sell some shares periodically after at least the minimum holding period.
 

LiteHouse

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I came across an advertisement today regarding selling insurance policy to a third party company instead of surrendering the policy back insurance company. How does this work? The company claims that they will buy at higher than surrender value.

They buy the policy from u. Means they own the policy. They will pay for your transfer ownership paperwork and legal fees. Once you are dead, they will be the sole beneficiary of the death payouts.

Death payouts is ALWAYS higher than surrender payouts. If this is not the case, your insurance policy sucks.

For me, I don't feel comfortable a stranger looking forward to my death.
 

Myeddie

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They buy the policy from u. Means they own the policy. They will pay for your transfer ownership paperwork and legal fees. Once you are dead, they will be the sole beneficiary of the death payouts.

Death payouts is ALWAYS higher than surrender payouts. If this is not the case, your insurance policy sucks.

For me, I don't feel comfortable a stranger looking forward to my death.

They have to continue paying the premium until you die right?
 
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