Should I opt out of DPS?

[Tornesoul]

Hi guys, previously posted above to TS to keep his DPS.

I opted out initially (many years ago) as I didn't know much bout insurance. Looking to opt in again.

AFAIK both Great Eastern Life and NTUC Income have no difference in their DPS plans am I right? Which should I go for?

Any pros or cons of either? e.g. faster claims etc etc, or is it just a "flip a coin" sort of decision?

Cheers

 

[NiteX2]

Hi guys, previously posted above to TS to keep his DPS.

I opted out initially (many years ago) as I didn't know much bout insurance. Looking to opt in again.

AFAIK both Great Eastern Life and NTUC Income have no difference in their DPS plans am I right? Which should I go for?

Any pros or cons of either? e.g. faster claims etc etc, or is it just a "flip a coin" sort of decision?

Cheers

Its the same for both.

Death is death, as long as you provide the death cert then claim will be paid out

 

[MaoZeDuo]

Hi guys, previously posted above to TS to keep his DPS.

I opted out initially (many years ago) as I didn't know much bout insurance. Looking to opt in again.

AFAIK both Great Eastern Life and NTUC Income have no difference in their DPS plans am I right? Which should I go for?

Any pros or cons of either? e.g. faster claims etc etc, or is it just a "flip a coin" sort of decision?

Cheers

dont wait. dont look. do it on monday. you do not have control over insurability.

prefer orange - NTUC
prefer red - GE

 

[Hakuna Matata]

If you are a single and unmarried person, would you opt out of DPS? Yes or No?
I know it can be deducted from CPF, but it doesn't look useful to a single person.
It's only good & claimable for terminal illness and those who are totally permanently disabled.

 

[reddevil0728]

If you are a single and unmarried person, would you opt out of DPS? Yes or No?
I know it can be deducted from CPF, but it doesn't look useful to a single person.
It's only good & claimable for terminal illness and those who are totally permanently disabled.

If you are asking this sort of qns then you are asking other people their value of this “worth”.

what is the value of this “worth” to you?

I mean theoretically, if you got no financial dependents don’t need la

but being single n unmarried doesn’t mean no financial dependents. So you haven’t provided that piece of information

 

[Hakuna Matata]

If you are asking this sort of qns then you are asking other people their value of this “worth”.

what is the value of this “worth” to you?

I mean theoretically, if you got no financial dependents don’t need la

but being single n unmarried doesn’t mean no financial dependents. So you haven’t provided that piece of information

Relatives? Parents passed away. Only me and my sister. (Both single and unmarried).
Within group benefits plans, this refers specifically to your spouse and children. Parents, grandparents, and cousins for example, are not eligible dependents in a group benefits plan?

 

[reddevil0728]

Relatives? Parents passed away. Only me and my sister. (Both single and unmarried).
Within group benefits plans, this refers specifically to your spouse and children. Parents, grandparents, and cousins for example, are not eligible dependents in a group benefits plan?

Again, there can be unrelated people but you decide to financially support which will become your financial dependent.

So you have to ask yourself that.

in any case from what you are saying seems like a no.

 

[Hakuna Matata]

Again, there can be unrelated people but you decide to financially support which will become your financial dependent.

So you have to ask yourself that.

in any case from what you are saying seems like a no.

Thanks for your input.

 

[ctan84]

If you are a single and unmarried person, would you opt out of DPS? Yes or No?
I know it can be deducted from CPF, but it doesn't look useful to a single person.
It's only good & claimable for terminal illness and those who are totally permanently disabled.

It doesn't cover terminal illness lah. It only covers death and TPD.

 

[ceecookie]

Keep it. Last time I worked temp job in ntuc income processing death payout for this DPS scheme. Many low income families benefit from this esp when their sole breadwinner passed away - the payout helped the family have food to eat for a while.

Anyway it's quite cheap. Few dollars a year for 70k/55k payout. So I recommend to keep it.

 

[ctan84]

Keep it. Last time I worked temp job in ntuc income processing death payout for this DPS scheme. Many low income families benefit from this esp when their sole breadwinner passed away - the payout helped the family have food to eat for a while.

Anyway it's quite cheap. Few dollars a year for 70k/55k payout. So I recommend to keep it.

Simi few dollars per year? In the 1990s si boh? If you are already 40 - 44 age band, its $50 per year, 45-49 is its $93 while >50 is $188. That amount of money u use to just buy a term coverage for death and TPD under the Mindef Singlife insurance you can easily get a few X more coverage loh. DPS is only good for those who just started working / in the lower income group with tight cashflow folks coz its paid via your CPF.

 

[ceecookie]

Simi few dollars per year? In the 1990s si boh? If you are already 40 - 44 age band, its $50 per year, 45-49 is its $93 while >50 is $188. That amount of money u use to just buy a term coverage for death and TPD under the Mindef Singlife insurance you can easily get a few X more coverage loh. DPS is only good for those who just started working / in the lower income group with tight cashflow folks coz its paid via your CPF.

Paiseh, I rmb paying $18 a year and I tot this was the standard rate for all policyholder.

Yes it's good for the lower income ppl coz paid by cpf. Since their take home pay is for more urgent needs, I think they won't mind their cpf paying the annual rates.. Unless their cpf really got no money then no choice.

 

[wutawa]

i have opt out of dps. i will opt out of careshield if i can. medishield is ok.

 

[reddevil0728]

Keep it. Last time I worked temp job in ntuc income processing death payout for this DPS scheme. Many low income families benefit from this esp when their sole breadwinner passed away - the payout helped the family have food to eat for a while.

Anyway it's quite cheap. Few dollars a year for 70k/55k payout. So I recommend to keep it.

Paiseh, I rmb paying $18 a year and I tot this was the standard rate for all policyholder.

Yes it's good for the lower income ppl coz paid by cpf. Since their take home pay is for more urgent needs, I think they won't mind their cpf paying the annual rates.. Unless their cpf really got no money then no choice.

But if no family to help, keep got what use leh?

 

[royalmix]

If you are a single and unmarried person, would you opt out of DPS? Yes or No?
I know it can be deducted from CPF, but it doesn't look useful to a single person.
It's only good & claimable for terminal illness and those who are totally permanently disabled.

Always do you own due diligence! Get your reliable info from trusted source, ie CPFB website!

What is the Dependants' Protection Scheme?
Dependants' Protection Scheme (DPS) is a term-life insurance scheme which provides insured members and/or their families with some money to get through the first few years should the insured members meet an untimely death, suffer from terminal Illness or total permanent disability.

DPS covers insured members up to 65 years old. Members up to 60 years old will be covered for a maximum sum assured of $70,000. For members above age 60 and up to age 65, DPS covers them up to a maximum sum assured of $55,000.

DPS is currently solely administered by Great Eastern Life.

 

[BBCWatcher]

But if no family to help, keep got what use leh?

Yes, the threshold question is whether you have any genuine dependents. If you don't, you probably don't need life insurance. But here are some caveats:

• If you expect to have a dependent "soon" then your decision might change.
• The Dependants' Protection Scheme (DPS) also includes terminal illness and Total and Permanent Disability (TPD) coverage, both quite standard for term life insurance policies. I suppose you could make an argument that this "bundled" coverage has value to one's self, but I think there are better ways to insure against risks involving one's self (notably Disability Income Insurance).
• Some people consider a charitable cause as their dependent, so they view life insurance as a way to assure a particular gift to a charitable cause they care about. But that can be a very strange way to support a charity since you're making the charity wait until you pass on. I think there are better solutions. Most charities would much rather receive your gifts now so they can put the resources to good use now.

 

[BBCWatcher]

You still have a sister, is she your dependent or future caregiver or vice versa?

I suppose that's possible, but there's no inherent presumption that a sibling is or will be a dependent. Moreover, some families can self-insure.

Do you have other term or life or other insurance to cover you in case of TPD, terminal illness, death, etc?

How's a death benefit (life insurance) going to offer any value to the person who dies? TPD and TI, OK, if you squint hard enough. But there are other, likely better ways to insure against those classes of risk to one's self if you need to insure against them.

 

[BBCWatcher]

He already dun think it is not useful to him!

Which happens to be reasonable thinking as far as I can tell. The DPS is probably not useful to Hakuna Matata.

FWIW my spouse and I opted out of the DPS. We have at least one dependent, but we didn't/don't need the additional coverage and thus don't pay for it. I still think the DPS is terrific, and it's useful to a lot of people. But not everyone needs it. Fortunately the DPS is a choice, not an obligation.

 

[royalmix]

Which happens to be reasonable thinking as far as I can tell. The DPS is probably not useful to Hakuna Matata.

FWIW my spouse and I opted out of the DPS. We have at least one dependent, but we didn't/don't need the additional coverage and thus don't pay for it. I still think the DPS is terrific, and it's useful to a lot of people. But not everyone needs it. Fortunately the DPS is a choice, not an obligation.

Of course you dun need it! You only need, everyone knows, DII!

I dun have insurance expenses, only "investments", other than govt mandatory insurance, no choice but to pay! DPS is cheap to me, start and forget! With my insurance portfolio, I can self insure!

 

[BBCWatcher]

Of course you dun need it! You only need, everyone knows, DII!

Where did I write that? I/we currently have more than one insurance policy. I'm certainly not opposed to insurance. It's great stuff if you actually need it.

I dun have insurance expenses, only "investments", other than govt mandatory insurance, no choice but to pay! DPS is cheap to me, start and forget! With my insurance portfolio, I can self insure!

So apparently you don't have insurance expenses other than mandatory ones, and yet you do (the DPS), and yet you don't need the DPS, and yet you pay for it.