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Old 31-07-2020, 05:58 PM   #1
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Join Date: Jul 2020
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Insurance recommendation

As new PR family, My husband and I are considering insurance recently. Especially Whole life insurance and/or term insurance because of the CI definition will be changed on 26th Aug.

Background:
1. Both are healthy and non-smoker with a healthy 3 years old son.
2. Husband 36 years old + me 34 years old. Currently all have basic medical
insurance covered by company plan.
3. Annual income before tax and CPF deduction is around 120k each.
4. Expenditure roughly 4-5k/month not include mortgage.
5. Mortgage around 5K/month.

Target:
Target to get sum assured at 200k per person for death/CI/TPD after 65 or 70 years old, before 65/70 years old, prefer to be with 3 multiplier.

Could you help to suggest if the sum assured target is enough? Please feel free to send me your recommendation. Especially the insurance plan for CI or including CI.

Thanks a lot.
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Old 31-07-2020, 06:09 PM   #2
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2. Husband 36 years old + me 34 years old. Currently all have basic medical insurance covered by company plan.
I suggest getting a basic “as charged” Integrated Shield plan for everyone, probably with the rider. Then the company plan tops up from there. (You can file claims with both, but just make sure each carrier knows about the other.) The most affordable, PR appropriate plan of that type is NTUC Income’s Enhanced IncomeShield Basic with Classic Care rider. You presumably cannot count on permanent employment and coverage for the rest of your life, and MediShield Life doesn’t practically work for PRs.

Do the working adults have Disability Income Insurance already? That’s VERY important.

As far as term life insurance, just head over to Comparefirst.sg to get quotations on direct purchase. I do not recommend whole life or term beyond age 65 since it’s not realistic to plan you’re definitely going to work and earn an income past 65, and thus try to insure that income that doesn’t actually exist. “Buy term, invest the rest.”

If you want a form of long-term care insurance then have a look at CareShield Life, available from mid-2021.

Last edited by BBCWatcher; 31-07-2020 at 06:12 PM..
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Old 31-07-2020, 06:21 PM   #3
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Join Date: Apr 2009
Posts: 14,175
As new PR family, My husband and I are considering insurance recently. Especially Whole life insurance and/or term insurance because of the CI definition will be changed on 26th Aug.

Background:
1. Both are healthy and non-smoker with a healthy 3 years old son.
2. Husband 36 years old + me 34 years old. Currently all have basic medical
insurance covered by company plan.
3. Annual income before tax and CPF deduction is around 120k each.
4. Expenditure roughly 4-5k/month not include mortgage.
5. Mortgage around 5K/month.

Target:
Target to get sum assured at 200k per person for death/CI/TPD after 65 or 70 years old, before 65/70 years old, prefer to be with 3 multiplier.

Could you help to suggest if the sum assured target is enough? Please feel free to send me your recommendation. Especially the insurance plan for CI or including CI.

Thanks a lot.
If you are looking at the multiplier factor, i assumed you are more keen on wholelife?

We can always get the base sum assured to be at 200k so that upon expiry of the multiplier, it would be minimally 200k.

For ECI/CI, you have the option to add a rider on top of your life plan. It could be as a one off payout or multipay system. Which do you prefer?

For basic coverage that the company provides, does it include in the event of hospitalisation? If not, you may consider looking at integrated shield plan

As for if the sum assured is enough or not, it is up to individual and the budget. I would say if you are looking at 3x multiplier, it should be sufficient.

Do look at disability income insurance as well as it covers 75% of your monthly income in the event you are unable to continue on your profession due to medical conditions or disability
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Old 31-07-2020, 06:37 PM   #4
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As new PR family, My husband and I are considering insurance recently. Especially Whole life insurance and/or term insurance because of the CI definition will be changed on 26th Aug.

Background:
1. Both are healthy and non-smoker with a healthy 3 years old son.
2. Husband 36 years old + me 34 years old. Currently all have basic medical
insurance covered by company plan.
3. Annual income before tax and CPF deduction is around 120k each.
4. Expenditure roughly 4-5k/month not include mortgage.
5. Mortgage around 5K/month.

Target:
Target to get sum assured at 200k per person for death/CI/TPD after 65 or 70 years old, before 65/70 years old, prefer to be with 3 multiplier.

Could you help to suggest if the sum assured target is enough? Please feel free to send me your recommendation. Especially the insurance plan for CI or including CI.

Thanks a lot.
With your description, you surely meant a wholelife plan with multiplier boost. But why 3 and not 5? If you are looking more for protection and not cash value, u should go with boost of 5 multipler.

Rule of thumb for eci/ci is about 3 to 5 times of annual income and death/tpd is about 10 times of annual income.

I am able to give u quotes if need be.

Other consideration
1) hospital plan upgraded?
2) disability income insurance to protect you if not able to work

Last edited by boredboiboi; 31-07-2020 at 06:47 PM..
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Old 31-07-2020, 10:01 PM   #5
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Congrats on getting your PR status. Since there’s clearly long term intention to stay in Singapore already, protecting both you and your spouse will be as good as protecting your children too.

And since both of you are relatively young, it will help your family a great deal by looking into how you can secure protection without overpaying, this includes protecting your income which is even more important to support the whole family.
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Old 03-08-2020, 01:33 PM   #6
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Join Date: Jul 2020
Posts: 4
As new PR family, My husband and I are considering insurance recently. Especially Whole life insurance and/or term insurance because of the CI definition will be changed on 26th Aug.

Background:
1. Both are healthy and non-smoker with a healthy 3 years old son.
2. Husband 36 years old + me 34 years old. Currently all have basic medical
insurance covered by company plan.
3. Annual income before tax and CPF deduction is around 120k each.
4. Expenditure roughly 4-5k/month not include mortgage.
5. Mortgage around 5K/month.

Target:
Target to get sum assured at 200k per person for death/CI/TPD after 65 or 70 years old, before 65/70 years old, prefer to be with 3 multiplier.

Could you help to suggest if the sum assured target is enough? Please feel free to send me your recommendation. Especially the insurance plan for CI or including CI.

Thanks a lot.
I think if your are looking for 3x of $200k before 65 each base on your annual income is enough in the sense we often use 3-5years of annual income to calculate the insured amount.

From your target I think this plan from AIA call Guaranteed Protect Plus(II) might be suitable for you, it has Death, TPD and CI coverage with 2x 3x or 5x multiplier before age 65 or 75. And I think 1 good think is its you can choose to pay for only 12years or 15 years or until 65, so you do not need to worry about the payment after retire and it covers you for life. You can check it out this plan.

additional I will recommend you to get some Personal accident plans for your son as he is very young and maybe some saving planing for his education next time.

Hope all this can help you and give you more ideas, feel free to discuss more.
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Old 22-09-2020, 10:49 AM   #7
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I guess it really depends on other factors also, such as whether you are willing to invest in other insurance or other investment products also. But I looked at this website, there's some new concepts that you can try to check out regarding term life vs whole life insurance too!! It might help your decision. https://www.policypal.com/blog/insur...-or-term-life/
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Old 22-09-2020, 11:55 AM   #8
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I guess it really depends on other factors also, such as whether you are willing to invest in other insurance or other investment products also. But I looked at this website, there's some new concepts that you can try to check out regarding term life vs whole life insurance too!! It might help your decision. https://www.policypal.com/blog/insur...-or-term-life/
Not against policypal but it is getting irritating when new users are coming in to spam policypal links in attempt to get viewership?

Especially when some are digging out old threads. Policypal ur marketing/publicity needs to do better than spamming your links everywhere
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