Term insurance help

[kjke1986]

Hi all,

I am currently looking for a term insurance plan as I want to cancel my ILP. I am basically looking for $600k coverage with CI cover.

I have been researching the following NTUC policies:
(1) Plus! Term Life Insurance
(2) LUV
(3) SAFRA Essential Term + Living Care
(4) NTUC I-Term

Also, based on the website it seems that the maximum coverage offered by the various plans is about $200k - $300k.

I am aware that SAF Aviva plans are great value for money. However, I am uncomfortable that we cannot nominate benificiaries. According to NTUC hotline staff, under all these plans, nomination of beneficiaries is possible.

Also, I was told that there wouldn't be an issue increasing coverage to suit my needs in the future.

And have eliminated (1) and (4) on the basis that they do not provide CI cover.

Would like to ask the following:
(1) Are there any errors in what I have stated above? Appreciate any comments / suggestions from forumers.
(2) Is it possible to ask for coverage beyond $200k to $300k? If so, what would be the most efficient method to go about it (just call NTUC and ask for quotes?)
(3) Do you guys know of NTUC riders that allow me to stop paying premiums for my policy if I become disabled and still benefit from the policy? I can't seem to find any on their website.

Thanks.

 

[lzydata]

Not an agent, but I'll try to help.

Also, based on the website it seems that the maximum coverage offered by the various plans is about $200k - $300k.

The examples are usually in this range because of most people's budgets (higher sum assured, higher premiums), but insurers can cover much higher than this. NTUC Income even has "preferred rates" for sum assured above $1m, but subject to a medical checkup. This is understandable. If one suddenly shows up and asks for $5m or $10m life insurance, the insurer will suspect that he knows something that he's not telling them...

I am aware that SAF Aviva plans are great value for money. However, I am uncomfortable that we cannot nominate benificiaries. According to NTUC hotline staff, under all these plans, nomination of beneficiaries is possible.

Yes, we cannot make nominations for group insurance policies such as SAF Aviva, but IMO don't think it's a big problem. According to the law, "the insurance company may pay up to $150,000 of the policy proceeds to any person who is considered a 'proper claimant' under Section 61 of the Insurance Act. Any remaining amount above $150,000 will be paid to the executor(s) named under a Grant of Probate or administrator(s) named under a Grant of Letters of Administration." (LIA, Your Guide to the Nomination of Insurance Nominees 2013 (English))

The sum assured will become part of your estate, together with your other assets like your bank accounts, property (if not jointly owned), CPF money (if you do not have a CPF nomination), investments etc. The proceeds will be distributed either according to your will or to the rules of intestacy, if you do not have a will. So it is just a different legal process from nomination.

And have eliminated (1) and (4) on the basis that they do not provide CI cover.
(2) Is it possible to ask for coverage beyond $200k to $300k? If so, what would be the most efficient method to go about it (just call NTUC and ask for quotes?)
(3) Do you guys know of NTUC riders that allow me to stop paying premiums for my policy if I become disabled and still benefit from the policy? I can't seem to find any on their website.

Since you are mainly interested in NTUC Income policies, it should be very convenient to contact one of their agents and ask them for quotes on all these policies to compare, and also see the cost with or without riders. The Living Rider can be used to add CI cover to i-Term. For (3), these are called "waiver of premium" riders.

 

[wooty100]

(1) Are there any errors in what I have stated above? Appreciate any comments / suggestions from forumers.

Have you included the basis of coverage term ? Till 100 ANB non renewable or 10year renewable per se ? Prices varies differently and largely.

(2) Is it possible to ask for coverage beyond $200k to $300k? If so, what would be the most efficient method to go about it (just call NTUC and ask for quotes?)

You can opt for other companies plans which can cater better to your needs.


(3) Do you guys know of NTUC riders that allow me to stop paying premiums for my policy if I become disabled and still benefit from the policy? I can't seem to find any on their

Waiver of premium rider is usually optional for this case.

*Pm me if you like to quote

 

[zhizhong07]

Hi all,

I am currently looking for a term insurance plan as I want to cancel my ILP. I am basically looking for $600k coverage with CI cover.

I have been researching the following NTUC policies:
(1) Plus! Term Life Insurance
(2) LUV
(3) SAFRA Essential Term + Living Care
(4) NTUC I-Term

Also, based on the website it seems that the maximum coverage offered by the various plans is about $200k - $300k.

I am aware that SAF Aviva plans are great value for money. However, I am uncomfortable that we cannot nominate benificiaries. According to NTUC hotline staff, under all these plans, nomination of beneficiaries is possible.

Also, I was told that there wouldn't be an issue increasing coverage to suit my needs in the future.

And have eliminated (1) and (4) on the basis that they do not provide CI cover.

Would like to ask the following:
(1) Are there any errors in what I have stated above? Appreciate any comments / suggestions from forumers.
(2) Is it possible to ask for coverage beyond $200k to $300k? If so, what would be the most efficient method to go about it (just call NTUC and ask for quotes?)
(3) Do you guys know of NTUC riders that allow me to stop paying premiums for my policy if I become disabled and still benefit from the policy? I can't seem to find any on their website.

Thanks.

Hi, why not consult your advisor for the questions you have? They might be the best person to approach.

 

[kjke1986]

Hi all, many thanks for taking the time to read and reply.

Not an agent, but I'll try to help.

Also, based on the website it seems that the maximum coverage offered by the various plans is about $200k - $300k.

The examples are usually in this range because of most people's budgets (higher sum assured, higher premiums), but insurers can cover much higher than this. NTUC Income even has "preferred rates" for sum assured above $1m, but subject to a medical checkup. This is understandable. If one suddenly shows up and asks for $5m or $10m life insurance, the insurer will suspect that he knows something that he's not telling them...

I am aware that SAF Aviva plans are great value for money. However, I am uncomfortable that we cannot nominate benificiaries. According to NTUC hotline staff, under all these plans, nomination of beneficiaries is possible.

Yes, we cannot make nominations for group insurance policies such as SAF Aviva, but IMO don't think it's a big problem. According to the law, "the insurance company may pay up to $150,000 of the policy proceeds to any person who is considered a 'proper claimant' under Section 61 of the Insurance Act. Any remaining amount above $150,000 will be paid to the executor(s) named under a Grant of Probate or administrator(s) named under a Grant of Letters of Administration." (LIA, Your Guide to the Nomination of Insurance Nominees 2013 (English))

The sum assured will become part of your estate, together with your other assets like your bank accounts, property (if not jointly owned), CPF money (if you do not have a CPF nomination), investments etc. The proceeds will be distributed either according to your will or to the rules of intestacy, if you do not have a will. So it is just a different legal process from nomination.

The following is stated on their website (Customer Care - FAQs - Aviva Singapore) "The Nomination of Beneficiaries framework is not applicable for group insurance scheme. The main policyholder, that is, SAF/MINDEF, had directed Aviva to pay according to the prevailing laws of Singapore. That is to say, in the event of a Death Claim, the law provides for Aviva to pay to the immediate next-of-kin (NOK) or proper claimant up to S$150,000. The payout of the balance of the insurance compensation has to be decided by a Court."

If a Court is deciding it, should we feel uncomfortable about it? There maybe delays, ambiguity etc? Also, is it understood that the sum assured beyond S$150,000 would definitely form part of your estate? I do not see it written anywhere.

Have you included the basis of coverage term ? Till 100 ANB non renewable or 10year renewable per se ? Prices varies differently and largely.

Could you elaborate on what 100ANB is? And what is the difference between this and 10 year renewable?

 

[bubuyu]

Hi all,

I am currently looking for a term insurance plan as I want to cancel my ILP. I am basically looking for $600k coverage with CI cover.

I have been researching the following NTUC policies:
(1) Plus! Term Life Insurance
(2) LUV
(3) SAFRA Essential Term + Living Care
(4) NTUC I-Term

Also, based on the website it seems that the maximum coverage offered by the various plans is about $200k - $300k.

I am aware that SAF Aviva plans are great value for money. However, I am uncomfortable that we cannot nominate benificiaries. According to NTUC hotline staff, under all these plans, nomination of beneficiaries is possible.

Also, I was told that there wouldn't be an issue increasing coverage to suit my needs in the future.

And have eliminated (1) and (4) on the basis that they do not provide CI cover.

Would like to ask the following:
(1) Are there any errors in what I have stated above? Appreciate any comments / suggestions from forumers.
(2) Is it possible to ask for coverage beyond $200k to $300k? If so, what would be the most efficient method to go about it (just call NTUC and ask for quotes?)
(3) Do you guys know of NTUC riders that allow me to stop paying premiums for my policy if I become disabled and still benefit from the policy? I can't seem to find any on their website.

Thanks.

I also did quite extensive research on this.

SAF Aviva is a good plan with rebates on good yrs (though recently rebate seems to get lesser). CI coverage increases with age so if you are worried abt the premium at an older age, i suggest you go for i-term.

I-term and SAF aviva pricing are very competitive. Perhaps u pay slightly more by a small amount but at least it is a flat constant rate throughout the term.


As for PLUS and SAFRA, u need to be a safra or plus member to enjoy these discounts. After factoring in the cost of the membership, you will be in fact paying more. Therefore i suggest you consider perhaps splitting 300k aviva and 300k TPD + CI with Iterm

 

[lzydata]

If a Court is deciding it, should we feel uncomfortable about it? There maybe delays, ambiguity etc? Also, is it understood that the sum assured beyond S$150,000 would definitely form part of your estate? I do not see it written anywhere.

When it says the Court will decide, it leads on to the next two paragraphs talking about a Grant of Probate (for those with no will) or a Letter of Administration (for those with a will). After this the executor or administrator can begin collecting the assets and distributing them according to the will or to the intestate succession rules. This is a routine process - many people die every day. So long as the beneficiaries have no dispute then it should be smooth. It's not some kind of legal drama

I am not a lawyer and actually I do kind of take it for granted that a person's insurance policy sum assured is considered part of his assets, just like a savings account or his shares in his CDP account. Where is it written that your bank account's money is yours? Therefore there should not be an issue if the duly appointed executor or administrator goes to claim the policy sum assured. I guess if you really want to be sure, you have to ask someone at Aviva.

 

[Panerex]

I also did quite extensive research on this.

SAF Aviva is a good plan with rebates on good yrs (though recently rebate seems to get lesser). CI coverage increases with age so if you are worried abt the premium at an older age, i suggest you go for i-term.

I-term and SAF aviva pricing are very competitive. Perhaps u pay slightly more by a small amount but at least it is a flat constant rate throughout the term.


As for PLUS and SAFRA, u need to be a safra or plus member to enjoy these discounts. After factoring in the cost of the membership, you will be in fact paying more. Therefore i suggest you consider perhaps splitting 300k aviva and 300k TPD + CI with Iterm

How do you compare this with aviva my protector plus that is having a 25% disc now?

 

[Michyeosseo]

How do you compare this with aviva my protector plus that is having a 25% disc now?

That only applies to $1million coverage and above.

If i'm not wrong, MyProtector only have Critical Illness Premium Waiver and not Disability Premium Waiver.

 

[FP_IFA]

I also did quite extensive research on this.

SAF Aviva is a good plan with rebates on good yrs (though recently rebate seems to get lesser). CI coverage increases with age so if you are worried abt the premium at an older age, i suggest you go for i-term.

I-term and SAF aviva pricing are very competitive. Perhaps u pay slightly more by a small amount but at least it is a flat constant rate throughout the term.


As for PLUS and SAFRA, u need to be a safra or plus member to enjoy these discounts. After factoring in the cost of the membership, you will be in fact paying more. Therefore i suggest you consider perhaps splitting 300k aviva and 300k TPD + CI with Iterm

I-term does not have CI.

 

[Panerex]

That only applies to $1million coverage and above.

If i'm not wrong, MyProtector only have Critical Illness Premium Waiver and not Disability Premium Waiver.

So does it mean, if i am ok with a $1m term coverage, I shd go for aviva my protector plus?

And with which, to add in rider for CI coverage as well. Of course, the CI coverage will have to be something within my means and understand the premium will not be fixed.

 

[Motherliquor.P]

So does it mean, if i am ok with a $1m term coverage, I shd go for aviva my protector plus?

And with which, to add in rider for CI coverage as well. Of course, the CI coverage will have to be something within my means and understand the premium will not be fixed.

CI coverage is expensive, CI waiver is more affordable. If CI coverage is the main concern, you should rather get a whole life plan with tokio marine, as it has multiplier on CI and death coverage.

 

[henrylbh]

"The Nomination of Beneficiaries framework is not applicable for group insurance scheme. The main policyholder, that is, SAF/MINDEF, had directed Aviva to pay according to the prevailing laws of Singapore. That is to say, in the event of a Death Claim, the law provides for Aviva to pay to the immediate next-of-kin (NOK) or proper claimant up to S$150,000. The payout of the balance of the insurance compensation has to be decided by a Court."

If a Court is deciding it, should we feel uncomfortable about it? There maybe delays, ambiguity etc? Also, is it understood that the sum assured beyond S$150,000 would definitely form part of your estate? I do not see it written anywhere.

The payout of the balance of the insurance compensation has to decided by a Court?? Surely that's not "according to the prevailing laws of Singapore".

Common understanding is deceased's assets will form an estate and distributed according to the deceased's will or law of intestacy, if no will.

Grant of Probate or Grant of Letter of Administration need to be obtained from the Court but it doesn't mean "decided by a Court".

 

[DevilCurseYou]

Do not get bothered by waiver, or CI waiver. They are essentially just a decreasing term plan.

For instance, if you are currently 45 years old, and you have annual insurance premium of 1k, to age 65. CI waiver will pay u 1k annually to age 65 if you have CI now. Similarly, you can replace with a CI term plan, that will pay you 20k(and less, using time value of money) if you have CI.

My last calculation is that CI term plan has better value than CI waiver.

CI coverage is expensive, CI waiver is more affordable

please justify your case.

 

[Panerex]

CI coverage is expensive, CI waiver is more affordable. If CI coverage is the main concern, you should rather get a whole life plan with tokio marine, as it has multiplier on CI and death coverage.

So i shd get one term plan without the asdditional CI rider, you're suggesting?

 

[voodooesmeralda]

Most will just add on disability coverage w same sum assured as death as the premium is very cheap and even more so with the 25% discount for $1m and above.

That only applies to $1million coverage and above.

If i'm not wrong, MyProtector only have Critical Illness Premium Waiver and not Disability Premium Waiver.

 

[wooty100]

Hi all, many thanks for taking the time to read and reply.



The following is stated on their website (Customer Care - FAQs - Aviva Singapore) "The Nomination of Beneficiaries framework is not applicable for group insurance scheme. The main policyholder, that is, SAF/MINDEF, had directed Aviva to pay according to the prevailing laws of Singapore. That is to say, in the event of a Death Claim, the law provides for Aviva to pay to the immediate next-of-kin (NOK) or proper claimant up to S$150,000. The payout of the balance of the insurance compensation has to be decided by a Court."

If a Court is deciding it, should we feel uncomfortable about it? There maybe delays, ambiguity etc? Also, is it understood that the sum assured beyond S$150,000 would definitely form part of your estate? I do not see it written anywhere.



Could you elaborate on what 100ANB is? And what is the difference between this and 10 year renewable?

100ANB is age next birthday. You plan last till 99yrs old. Main difference is affordability and sum assured.

Eg $200pm can get $500,000 SA for 10yrs renewable term, but probably gives u $150,000 till age 100ANB

 

[whysoseriousdude]

Hi guys,

I need some help from you guys regarding term insurance.

My Plan is this : I am 25 years old this year. I want to insure to age 65. I Think I wont need CI Coverage as they are expensive to me and the coverage is for late stages.
Hence I will only need Death and TPD.

This is how I count how much coverage I need : $2000 per mth for parents till they 85 from now 60.

$2000 X 25 X 12 = 600K

I will insure 300k from NTUC , iterm plan = ??? ( any1 noe the guarantee premium till 65 per mth for 300k ) = estimate $40 per mth.
300K from Aviva , SAF Group , ( they got personal accident inside this plan , impt as young , the higher probability will get into accident ) = 12.8 X 3 =38.4$ per mth.


Is this a good idea ?? total around $80 buck insure for 600k ( include 300k from personal accident ) or should I all whack Aviva since got personal accident ?? what shld be the proportion ??? Are there any other better plan out there ... pls advise me .. Thanks a million.

 

[matchy]

why dun buy abit for other companies

 

[Panerex]

for an age range 36-40 male non-smoker

$1m death coverage with Aviva My Protector Plus Level Term plan, annual premium $1,065 after 25% discount.

Is this considered cheap?