Life or term insurance?

[dadaway]

Seriously, walk to a insurance agent for better explanation. Better to know you financial position and requirements in life. Otherwise u might as well not ask, as there are many missing information.

 

[iAdvisor]

Like what LordLeslie or ntucagent has said.

It depends on the requirements and needs. Different people at different stage of life require different needs. And of cos budget.

Term plan are usually cheaper , but u pay for longer period. When you are old and not working anymore, paying for high premiums might be a big headache.

Life plan, theres pay for life, cover for life, but theres also limited payment.

You need to strike a balance between these 2 to achieve the best effect, with the least budget.

 

[audiovideo]

Scenario: your age next birthday is 35.

Coverage is $100K from 35 till age 55.

With CI added, the new monthly premium is $265.20.

Total premium paid at age 55 = $63, 648

At age 55, you can get half your sum assured back (guaranteed) = $50,000 ( exclude non-guaranteed bonus )

Premium contribution will stop at age 55.

From 55 till 99, coverage is $50,000 for death and CI, disability waiver is from 35 till 55. You can choose to add in other riders you wish.

There is another option for the age instead of 55, 62 can be chosen instead. Just replace all the age 55 with age 62, premiums will be also be lowered with age 62 chosen. All premium contribution will end at either 55 or 62 of your choice.

Jack81,

Based on your example,
1. How is the CI payout condition like? Upon determining? early CI?
2. For Cancer, is it payout only at end stage?

thanks

 

[audiovideo]

Seriously, walk to a insurance agent for better explanation. Better to know you financial position and requirements in life. Otherwise u might as well not ask, as there are many missing information.

info given here is to give an idea what is the premium like ...
to me is good .... i can decide whether to engage the agent.

 

[zhiz22]

its good to compare premiums of plans from diff insurers. some are notably more expensive...., the A, P, G, A, A, H.......

 

[jack81]

Jack81,

Based on your example,
1. How is the CI payout condition like? Upon determining? early CI?
2. For Cancer, is it payout only at end stage?

thanks

1. The CI payout is in a lump sum upon diagnosis of a covered critical illness of the Life Insured. It is not like the early payout which is available in the market.

2. Hope the above answer will answer Qn 2.

thanks

 

[zhiz22]

Jack81,

Based on your example,
1. How is the CI payout condition like? Upon determining? early CI?
2. For Cancer, is it payout only at end stage?

thanks

btw there are now term plans that cover early CI payout, multiple payout and even double the payout if the critical illness worsen from a typical critical illness stage.

 

[audiovideo]

1. The CI payout is in a lump sum upon diagnosis of a covered critical illness of the Life Insured. It is not like the early payout which is available in the market.

2. Hope the above answer will answer Qn 2.

thanks

Not to assume... so for cancer is payout at END STAGE as per other normal CI in the market?

 

[henrylbh]

for a late 30s guy, which is more appropriate?

Life or term insurance?

Depends on your need and dependants. I need high coverage and low premium as in term insurance when I am young. But when I am old, I also dont really depend on insurance except for medical needs.

Why tie fund on life insurance which you cant deploy whenever you need money. Why let insurer manage your investment and to depend on insurance heavily for retirement or future financial need is like putting all eggs in one basket. Personally, I feel insurance companies are in high risk business. They need to keep taking in new insureds to keep going. Sounds familar?

When I am old, I depend more on my cpf and savings and investments more than insurance except for little endowment and single premiums.

 

[newgmkt]

some say to get term when you are working

 

[audiovideo]

Depends on your need and dependants. I need high coverage and low premium as in term insurance when I am young. But when I am old, I also dont really depend on insurance except for medical needs.

Why tie fund on life insurance which you cant deploy whenever you need money. Why let insurer manage your investment and to depend on insurance heavily for retirement or future financial need is like putting all eggs in one basket. Personally, I feel insurance companies are in high risk business. They need to keep taking in new insureds to keep going. Sounds familar?

When I am old, I depend more on my cpf and savings and investments more than insurance except for little endowment and single premiums.

actually life insurance not taking up a lot of my savings ... few hundred a month....dont think the insurance companies will cheat us and refuse to pay us our cash value upon maturity or 65years old or beyond ba. So life plan still a good choice since can get back premium we paid after many years... a form of saving...

My AIA life plan for $50k cover after paying for 20yrs still tell me have cash value of $80+k at 65... so far so good

Term... though comparatively lower premium but is pay and forget wor...
if few hundred a year still ok.... more than 1k a bit painful.... maybe is mindset or just me

 

[henrylbh]

actually life insurance not taking up a lot of my savings ... few hundred a month....dont think the insurance companies will cheat us and refuse to pay us our cash value upon maturity or 65years old or beyond ba. So life plan still a good choice since can get back premium we paid after many years... a form of saving...

My AIA life plan for $50k cover after paying for 20yrs still tell me have cash value of $80+k at 65... so far so good

Term... though comparatively lower premium but is pay and forget wor...
if few hundred a year still ok.... more than 1k a bit painful.... maybe is mindset or just me

I believe in viewing insurance as strictly insurance not savings or investments. The savings or investments part is a strict commitment for many and many years and if you, for some reasons, are unable to commit or even surrender, you are likely to be no better.

If you really want to force yourself to save without commitment, plan to buy single premium policy every year with different companies such that when you retire, every year one policy will mature. If one company fall, you wont be badly affected. If you need money badly, just surrender what you need only, just like instead of putting 500k as 1 FD, break it up to 20k X 25k FDs. Terminating one wont affect the rest.

 

[audiovideo]

keep seeing single premium policy lately....

just worry about the condition of my health may differ each time i attempt to buy new single premium policy

 

[henrylbh]

keep seeing single premium policy lately....

just worry about the condition of my health may differ each time i attempt to buy new single premium policy

If you worry or even suspect your health, you better buy health insurance which is more important than any other insurance without delay especially if got family history.

 

[jack81]

Not to assume... so for cancer is payout at END STAGE as per other normal CI in the market?

Sorry if I sound too technical but I hope it helps in your understanding.

Normal CI in the market payouts upon diagnosis of a CI, cancer in this case. Diagnosis means based on a certified doctor's report which means it could be an early stage cancer if detected early or end stage cancer if detected late.

When you say end-stage cancer, I take it you mean it's incurable or a terminal illness, TI. TI means one has a remaining lifespan of 12 months or less as certified by a certified doctor. So there is a difference between a CI and TI.

Going back to the rider, it's a CI rider.

 

[audiovideo]

Sorry if I sound too technical but I hope it helps in your understanding.

Normal CI in the market payouts upon diagnosis of a CI, cancer in this case. Diagnosis means based on a certified doctor's report which means it could be an early stage cancer if detected early or end stage cancer if detected late.

When you say end-stage cancer, I take it you mean it's incurable or a terminal illness, TI. TI means one has a remaining lifespan of 12 months or less as certified by a certified doctor. So there is a difference between a CI and TI.

Going back to the rider, it's a CI rider.

ha.. actually when i said end stage .... is a hear say from others, including insurance agents. The worry is that there is fine print the insured is not told...e.g. if cancer is detected but is early stage then NO PAYOUT because the policy say only pay at end stage. Well, this may not be true, but from that is what I heard and so far nobody has clarify.

As per what you have explained above, put simply means as long as the CI (listed in the policy) is detected, regardless of what stage or whatsoever, the company will pay. YES?

 

[jack81]

ha.. actually when i said end stage .... is a hear say from others, including insurance agents. The worry is that there is fine print the insured is not told...e.g. if cancer is detected but is early stage then NO PAYOUT because the policy say only pay at end stage. Well, this may not be true, but from that is what I heard and so far nobody has clarify.

As per what you have explained above, put simply means as long as the CI (listed in the policy) is detected, regardless of what stage or whatsoever, the company will pay. YES?

Its great that you actually clarified. Good for yourself and for agent too.

Yes and that claim must be accompanied by a certified doctor's diagnosis that one has the CI and that the CI is not caused by narcotics or drugs not prescribed by an medical practitioner.

 

[Cashcow]

Normal CI has a lot of emphasis on the word 'CRITICAL'.

first stage cancer is still consider minor and can cure so it is not critical. Lose 1 sight is still alright since got another eye to see so is not critical. For claim on CI, the doctor's report is very important. It has to match closely with the definition of the CI.

 

[audiovideo]

Normal CI has a lot of emphasis on the word 'CRITICAL'.

first stage cancer is still consider minor and can cure so it is not critical. Lose 1 sight is still alright since got another eye to see so is not critical. For claim on CI, the doctor's report is very important. It has to match closely with the definition of the CI.

that's the jialat part .... twist and turn until faint.
That's why need to make simple... as long as cancer... can cure cannot cure ...just pay (is cancer!!) and close the plan...full stop. .. nobody want that kind of $$ right?

Else we buy a plan still have to make so much effort to ensure, to clarify, to this and that to make sure there is payout. Suffering from deadly disease already very jialat liao still need to worry if one can claim from a plan that is meant to help when such problem arise.

If the insurance company so scare gana cheat then dont sell the plan lor. Why need to make things so complicated and end up "cheating" the consumer in return?

Totemo muzukashii desu

maybe think too much liao

 

[matchy]

both are good... but i guess late 30s better to get term