DPS Insurance Relevance

[mksing]

There is difference based on the entry age I believe.
In order to get $87/100000 level term - u may have to pay starting from early young age ?

Otherwise it looks too cheap on later years.
If this plan is really that cheap - I also want to know. it is only less than $1k / year for $1 mil coverage.

I give you some tips, checkout Aviva when they have yearly promotion of 20+% perpetual discount.

 

[anfielder]

Level term till age 65 for 1M coverage, there is nothing like contract that you must pay till whatever year, you can stop tomorrow if you want.

For level term the costs are averaged out over the policy term i.e. You pay more than renewable term early on and less later on. That means if you terminate early you would have paid more than what's necessary for the coverage. In that sense a renewable term is more flexible because you basically pay for what you consume. Renewable term might also help improve cashflow when you're younger and may not be able to afford higher premiums.

weigh the advantages and disadvantages and see what's best for you.

For me I'm keeping the DPS for now but will probably opt out when it starts to get expensive.

 

[MikeZhang]

I give you some tips, checkout Aviva when they have yearly promotion of 20+% perpetual discount.

Yup their promotion extended till end of March.

 

[Tornesoul]

the key point is
1. cheap initially
2. can use cpf

 

[akwl88]

Term plan to 65
500k for death and tpd
200k for ci
1k annual premiums

 

[paurusu]

For level term the costs are averaged out over the policy term i.e. You pay more than renewable term early on and less later on. That means if you terminate early you would have paid more than what's necessary for the coverage. In that sense a renewable term is more flexible because you basically pay for what you consume. Renewable term might also help improve cashflow when you're younger and may not be able to afford higher premiums.

weigh the advantages and disadvantages and see what's best for you.

For me I'm keeping the DPS for now but will probably opt out when it starts to get expensive.

Yes correct - that is what i am referring to. To get level term with that premium i thought u need to come in at early age and have substantial term contract duration (although u can back out any time)

I dont expect 40 something years old to get this level term to
age 65 for $87/100K - for example.

 

[paurusu]

Term plan to 65
500k for death and tpd
200k for ci
1k annual premiums

TS quoted 1 mio cover . This cover is only half although the CI part should be expensive .
What is the entry age?

 

[akwl88]

TS quoted 1 mio cover . This cover is only half although the CI part should be expensive .
What is the entry age?

27
Charxxx

 

[Soul77]

Premium is not comparable, that's what I found out. You can see my calculation in earlier post.

I think it is comparable. But of course you should compare it with yearly renewable term plan..
Anyway since you're paying $87 per 100k, just take this as free addition to the term plan till you're 39 yo as the premium coverage is close.

 

[mksing]

I think it is comparable. But of course you should compare it with yearly renewable term plan..
Anyway since you're paying $87 per 100k, just take this as free addition to the term plan till you're 39 yo as the premium coverage is close.

Will keep in mind to terminate when it gets expensive.

 

[mksing]

TS quoted 1 mio cover . This cover is only half although the CI part should be expensive .
What is the entry age?

I think 1K premium is because of CI. Usually in policy document there is a premium breakdown for each component.

 

[Witwit84]

I give you some tips, checkout Aviva when they have yearly promotion of 20+% perpetual discount.

$87 per 100,000, this premium is annual and not monthly? It is really cheap to be paying $870 for a 1 million coverage...this translates to only $72.5 per month. This is normal term insurance covering CI, TPD and Death?

Is this the SAF group term life insurance?

 

[mksing]

$87 per 100,000, this premium is annual and not monthly? It is really cheap to be paying $870 for a 1 million coverage...this translates to only $72.5 per month. This is normal term insurance covering CI, TPD and Death?

Is this the SAF group term life insurance?

I made some mistake, lost sight of month when doing calculation, went through the policy document again, 1M death + TPD + CI premium waiver total $1300 annual.

Individual Details:
Death: 1080 (Annual)
TPD: 170 (Annual)
CI Premium Waiver: 50 (Annual)

CI is always expensive, so I didn't opt for it.

 

[Witwit84]

I made some mistake, lost sight of month when doing calculation, went through the policy document again, 1M death + TPD + CI premium waiver total $1300 annual.

Individual Details:
Death: 1080 (Annual)
TPD: 170 (Annual)
CI Premium Waiver: 50 (Annual)

CI is always expensive, so I didn't opt for it.

I see, so $1300/12= $108.33/month for 1M Death + TPD coverage. Do you have any idea how much more it would cost if we were to add on 1M CI coverage?

 

[mksing]

I see, so $1300/12= $108.33/month for 1M Death + TPD coverage. Do you have any idea how much more it would cost if we were to add on 1M CI coverage?

I can't even imagine, I asked for 100K early and late CI coverage and was quoted 1K yearly.

 

[wts2013]

I made some mistake, lost sight of month when doing calculation, went through the policy document again, 1M death + TPD + CI premium waiver total $1300 annual.

Individual Details:
Death: 1080 (Annual)
TPD: 170 (Annual)
CI Premium Waiver: 50 (Annual)

CI is always expensive, so I didn't opt for it.

wah 1300 per year, till 65 wor, assuming u are 30 now, pay 35 years = 45500, wah all down the drain if nothing happens, then sway sway something happen at 66 or when u decide it is too expensive and terminate, liao lor

moi think CI is important to cover, also depends what u are working as and how much u earning lor

moi only buy wholelife, if nothing happens, moi can surrender and take money back at 4% pa, moi not greedy coverage is just in case, hahaha

 

[anfielder]

I can't even imagine, I asked for 100K early and late CI coverage and was quoted 1K yearly.

early CI is very expensive.

 

[FP_IFA]

wah 1300 per year, till 65 wor, assuming u are 30 now, pay 35 years = 45500, wah all down the drain if nothing happens, then sway sway something happen at 66 or when u decide it is too expensive and terminate, liao lor

moi think CI is important to cover, also depends what u are working as and how much u earning lor

moi only buy wholelife, if nothing happens, moi can surrender and take money back at 4% pa, moi not greedy coverage is just in case, hahaha

Nothing wrong with a $1mil term cover. I suggest you get a term to go with your whole life as well.

 

[wts2013]

Nothing wrong with a $1mil term cover. I suggest you get a term to go with your whole life as well.

hahaha no thanks, moi sufficiently covered, dun believe in throwing away money to insurance, moi pay a fixed premium but my coverage auto increase over the years with money earning 4% on maturity or shld moi surrender for retirement, hahaha

 

[Witwit84]

hahaha no thanks, moi sufficiently covered, dun believe in throwing away money to insurance, moi pay a fixed premium but my coverage auto increase over the years with money earning 4% on maturity or shld moi surrender for retirement, hahaha

is the 4% guaranteed?