need help on insurance / saving plan

[CrimsonP]

hello everyone , a brief intro about myself. 23 , non smoker.

currently i got no insurance to cover criticial illness or death .

so i'm planning to get an insurance coverage and at the same time do a saving plan.

i've come across pru flexi cash and will like to know the con of it.

i've did a own google/search and saw a few numerous case of people surrender way before maturity day, is there any reason?

i was aware of the guaranteed sum and non guaranteed sum which will be lower than the total premium paid in case prud isn't doing well.

after calculation of my financial position , i'm able to fork up about 600 max per month for it.

either on a 10 or 15 year policy as i will be then in mid 30s and that lump sum might help cover some expenses in my mid years.

is there other recommendation for insurance / saving plan beside pru flexi cash?

 

[FP_IFA]

hello everyone , i brief intro about myself. 23 , non smoker.

currently i got no insurance to cover criticial illness or death .

so i'm planning to get an insurance coverage and at the same time do a saving plan.

i've come across pru flexi cash and will like to know the con of it.

i've did a own google/search and saw a few numerous case of people surrender way before maturity day, is there any reason?

i was aware of the guaranteed sum and non guaranteed sum which will be lower than the total premium paid in case prud isn't doing well.

after calculation of my financial position , i'm able to fork up about 600 max per month for it.

either on a 10 or 15 year policy as i will be then in mid 30s and that lump sum might help cover some expenses in my mid years.

is there other recommendation for insurance / saving plan beside pru flexi cash?

I would suggest the following steps:
1. Shield plan
2. Term/Life plan
3. Saving

Reason being you want to get your insurance up while your health is at the peak and cost is low. Savings can wait, insurability cannot wait.

As to how much to insure and what plans are best suited, it would be best to sit down and discuss.

 

[shearmanlee]

I would suggest the following steps:
1. Shield plan
2. Term/Life plan
3. Saving

Reason being you want to get your insurance up while your health is at the peak and cost is low. Savings can wait, insurability cannot wait.

As to how much to insure and what plans are best suited, it would be best to sit down and discuss.

nice topic, can give some samples for the Shield plan? thanks.

 

[RaPtOrZ]

Shield plans are the upgraded versions of the cpf medishield.
So basically the premiums are paid yearly through the CPF medisave account.
IMO, the plans differ only slightly among the different insurers. It covers for about 70-80% of the hospitalisation bills provided if the bills are larger than the deductibles, for eg, a 10 day stay in a private hospital ward that cost 20k.

E.g. for Great Eastern's Supremehealth plan, the coverage is

(20000-3000)*0.9=15300

$3000 deductible and 10% co insurance is not claimable

So $15300 is claimable and the remaining $4700 needs to come out from cash or medisave.

In order to cover the bills 100%, we can get the policy paid using cash to cover the deductibles and co-insurance, in GE's context, it's called Totalshield.

Different insurers offer different kinds of cash policies, for e.g. aviva offers 2 different policies. 1 cover deductible, 1 covers co insurance. NTUC offers a rider that covers deductibles but not co-insurance( the amount payable is capped per year)

 

[FP_IFA]

Shield plans are the upgraded versions of the cpf medishield.
So basically the premiums are paid yearly through the CPF medisave account.
IMO, the plans differ only slightly among the different insurers. It covers for about 70-80% of the hospitalisation bills provided if the bills are larger than the deductibles, for eg, a 10 day stay in a private hospital ward that cost 20k.

E.g. for Great Eastern's Supremehealth plan, the coverage is

(20000-3000)*0.9=15300

$3000 deductible and 10% co insurance is not claimable

So $15300 is claimable and the remaining $4700 needs to come out from cash or medisave.

In order to cover the bills 100%, we can get the policy paid using cash to cover the deductibles and co-insurance, in GE's context, it's called Totalshield.

Different insurers offer different kinds of cash policies, for e.g. aviva offers 2 different policies. 1 cover deductible, 1 covers co insurance. NTUC offers a rider that covers deductibles but not co-insurance( the amount payable is capped per year)

Like to add that premium among the various shield plans differ and premium is not level but goes up as you age.

Note also shield plan has a strict underwriting criteria. Common things like BMI over 30, high blood pressure, raised cholesterol could face problems when applying (depending on which insurers). Don't apply blindly.

I have come across agents pushing in some applications without knowing that most likely it will be rejected. A rejection is a serious record that will affect future application.

 

[shearmanlee]

Like to add that premium among the various shield plans differ and premium is not level but goes up as you age.

Note also shield plan has a strict underwriting criteria. Common things like BMI over 30, high blood pressure, raised cholesterol could face problems when applying (depending on which insurers). Don't apply blindly.

I have come across agents pushing in some applications without knowing that most likely it will be rejected. A rejection is a serious record that will affect future application.

thanks again, but I keep on have the mind that shield plan can catch up around 30 years old, while can start saving plan earlier, say 25 years old, am I basically correct?

 

[shearmanlee]

Shield plans are the upgraded versions of the cpf medishield.
So basically the premiums are paid yearly through the CPF medisave account.
IMO, the plans differ only slightly among the different insurers. It covers for about 70-80% of the hospitalisation bills provided if the bills are larger than the deductibles, for eg, a 10 day stay in a private hospital ward that cost 20k.

E.g. for Great Eastern's Supremehealth plan, the coverage is

(20000-3000)*0.9=15300

$3000 deductible and 10% co insurance is not claimable

So $15300 is claimable and the remaining $4700 needs to come out from cash or medisave.

In order to cover the bills 100%, we can get the policy paid using cash to cover the deductibles and co-insurance, in GE's context, it's called Totalshield.

Different insurers offer different kinds of cash policies, for e.g. aviva offers 2 different policies. 1 cover deductible, 1 covers co insurance. NTUC offers a rider that covers deductibles but not co-insurance( the amount payable is capped per year)

thanks for the clearly clarify, thanks again.

 

[kebinu]

thanks again, but I keep on have the mind that shield plan can catch up around 30 years old, while can start saving plan earlier, say 25 years old, am I basically correct?

Shield plan costs less than $700 annually for a comprehensive coverage at your age. It's good to get it earlier for a piece of mind.

You may want to choose the bare minimum, the top up is less than $200 from medisave for a supreme health plan without a rider.

 

[kenneth27]

This shield plan comparison will help you on the way. See below link from MOH.GOV.SG

Comparison of MediShield and Private Integrated Plans | Ministry of Health

 

[FP_IFA]

thanks again, but I keep on have the mind that shield plan can catch up around 30 years old, while can start saving plan earlier, say 25 years old, am I basically correct?

You should get the shield plan now instead of waiting till 30. No one knows by age 30 what would be your health condition. It is not easy to find standard cases (no health issue) now for people around 30 and above from my experience.

I could recommend you an endowment or ILP plan and ignore shield and you probably still be happy about it. But IMO it is wrong. Always set your protection first.

 

[shearmanlee]

Shield plan costs less than $700 annually for a comprehensive coverage at your age. It's good to get it earlier for a piece of mind.

You may want to choose the bare minimum, the top up is less than $200 from medisave for a supreme health plan without a rider.

sorry for myself as a layman, i think you are refering to the

from Great Eastern, which show only 100 plus annually, can clarify?

 

[kebinu]

sorry for myself as a layman, i think you are refering to the

from Great Eastern, which show only 100 plus annually, can clarify?

This table shows the Supreme Health Plan. The life assured has to cover his/her first $3,000 (depending on ward) & co-insure 10% for the rest in a year.

To be able to claim from the first cent, you have to refer to this total shield rider.

With TotalShield and TotalShield Plus, you're always covered.

Let's assume you are 25 this year, it will cost $166.28 (medisave) + total shield (premium) $272.80 (cash) + totalshield plus rider (essential) $110.40 (cash) for the comprehensive coverage.

If you are looking at Supreme Health Plan B+ only, (which mean life assured has to pay first $x000 & co-insured 10%) it will cost $128.09 which is deductible from medisave.

You can mix and match accordingly to your needs and budget.

For anyone in Singapore, this should be the first plan, instead of saver plan etc, for insurance as an expensive hospital bill can put the whole family into huge debt. Do get the oversea coverage as travel insurance does not cover pre-existing condition.

 

[RaPtOrZ]

And just to add on, Great Eastern is having its CNY promotion $118 cash rebate. Criteria for getting this rebate is that the initial premium paid must be $250 in cash and above. So for e.g. you decided to get a Supremehealth and totalshield plan, and pay the totalshield plan yearly, you are entitled to the rebate, so a $272.80 plan will effectively cost $154.80 for the first year!

And yes, shield plan should be first but unfortunately, people don't see the need until something happens and we only have one chance for such situation arise, time's not going to rewind and allow us to make changes to it. One chance.

 

[PrussSatu]

i heard flexi cash is a lousy plan. it's merely savings plan, but the fact that u can withdraw, the interest is of coz lousier.

dun mix savings with health insurance, just get a life insurance. investments use other plans.

 

[matchy]

i heard flexi cash is a lousy plan. it's merely savings plan, but the fact that u can withdraw, the interest is of coz lousier.

dun mix savings with health insurance, just get a life insurance. investments use other plans.

if it is a lousy plan, why got ppl buy leh? and why the company come out with a lousy that can sell for so many years?

 

[warmsummer]

Like to add that premium among the various shield plans differ and premium is not level but goes up as you age.

Note also shield plan has a strict underwriting criteria. Common things like BMI over 30, high blood pressure, raised cholesterol could face problems when applying (depending on which insurers). Don't apply blindly.

I have come across agents pushing in some applications without knowing that most likely it will be rejected. A rejection is a serious record that will affect future application.

Hi there. I understand that Aviva MyShield has moratorium underwriting. So if the person is overweight, is it better to select moratorium underwriting?

 

[marque05]

Hi there. I understand that Aviva MyShield has moratorium underwriting. So if the person is overweight, is it better to select moratorium underwriting?

currently the MyShield does not require applicants to disclose their height and weight (so no BMI calculation is reviewed). However, do go through the T&Cs, as moratorium option means that pre conditions (major ones) like cancer, heart attack etc, will NOT be covered through out; any other pre-existing condition cannot relapse during a 5 year window, if so, that condition will NOT be covered as well.

Pros n Cons, depends on individual. If fit and healthy, suggest that do a full disclosure. for a safer mind.

some ppl like to save the trouble OR have certain pre existing condition that might have occurred during childhood but have since recovered, which might be rejected if selecting full disclosure, choose moratorium. because if the pre existing condition dont occur within that 5 years, it will be covered.. (does not include major ones like cancer, heart attack etc)

 

[FP_IFA]

Hi there. I understand that Aviva MyShield has moratorium underwriting. So if the person is overweight, is it better to select moratorium underwriting?

Only if there is no one else that is going to accept the person then one can consider going for moratorium. For eg. someone with a BMI of 35 and we know that the other insurers like NTUC, Prud and AIA are not going to accept, moratorium would be the only choice to go.

Note that it is very important the person must not get rejected first before applying for moratorium cause Aviva will not accept rejected condition. So if you know your BMI cannot be accepted, don't attempt to try your luck. Your agent can call up the insurers and verbally check with the underwriter on the possibility of rejection.

 

[warmsummer]

Only if there is no one else that is going to accept the person then one can consider going for moratorium. For eg. someone with a BMI of 35 and we know that the other insurers like NTUC, Prud and AIA are not going to accept, moratorium would be the only choice to go.

Note that it is very important the person must not get rejected first before applying for moratorium cause Aviva will not accept rejected condition. So if you know your BMI cannot be accepted, don't attempt to try your luck. Your agent can call up the insurers and verbally check with the underwriter on the possibility of rejection.

Tried calling Aviva, they also cannot advise me. Very lousy!!

 

[FP_IFA]

Tried calling Aviva, they also cannot advise me. Very lousy!!

Sorry to hear that. *sigh*

What was their replies? Did they say they will get their agent to talk to you direct?