Life insurance serves an essential role in securing the financial status of the insured in case the insured and other beneficiaries are hospitalised. However, when it comes to getting your life insured in Singapore, there are several things you need to consider. Otherwise, you may end up investing in the wrong insurance plan.
To ensure you land better deals and purchase the right coverage, you apparently need to research and understand what different carriers have to offer. Precisely, you need to do a life insurance in Singapore comparison and find a plan that is ideal for you and your family. Thankfully, MoneySmart helps you learn about life insurance basics and compare different plans in Singapore, so you make an informed choice.
If you are in the market looking for life insurance in Singapore, this post will discuss some of the best plans you may consider. MoneySmart works with major providers to ensure you get the right plan.
Types of life insurance plans
There are three main types of life insurance plans: whole life, universal life, and term life insurance plan.
Whole life insurance is quite common and covers the insured for a lifetime. The payouts are usually made to the beneficiaries to plan for burial or have financial support. It differs from term life insurance in that term life policy covers the insured for a specified time. Once the term expires, the insured is mandated to renew the policy; otherwise, they won’t be protected.
Because of the vast perks it offers, whole life insurance is relatively more expensive compared to term life.
On the other side, universal insurance is usually sold to individuals with high net worth. It gives the insured an option to change the terms, coverage, and even premiums paid to the insurance company over time.
Best insurance plans
1. AIA Guaranteed Protect Plus II
This plan covers death, permanent or total disability, and an optional critical illness cover of up to age 100. At age 65 to 75, you can choose either 2 times, 3 times, or 5 times multiplier that helps raise the lump sum paid out to your beneficiaries. Based on the performance of your premiums, you may earn some bonuses.
2. AXA Life Treasure
AXA Life Treasure is a whole life insurance plan that pays coverage for death, terminal illness, and total permanent disability up to 99 years. A multiplier rider increases the coverage amount over a specified number of years. It can also lower the coverage and premiums when you realize you no longer need the huge coverage amount. Even better, the plan has over ten riders that you can use to customize the plan you buy.
3. China Tapping I-Secure
This plan covers terminal illness, total permanent disability, and death. A guaranteed benefit rider is an optional rider that multiplies the expected payout amount by 2,3 to 4 times when you are within 71 to 86 years. However, this multiplier can be extended for a lifetime if the insured wishes. This policy fits both children, young adults, and the old. It can be accompanied by two riders covering critical illnesses for 55 advanced illnesses among the adults and 161 illnesses for the early juvenile stage to advanced-stage illness. This plan also has special waivers on premiums in case a spouse passes out or is diagnosed with a critical condition.
4. Manulife LifeReady Plus
This is a whole life insurance plan that covers terminal illness, permanent disability, and death. Before attaining 70 years, you can get a multiply that runs up to 5 times to raise your coverage amount.
This plan has unique riders like annual payout riders, retrenchment benefits, early critical illness riders, and a health benefit rider.
5. NTUC Star Assure
NTUC Star Assure is a life insurance plan covering total permanent disability and terminal illness. You have an option of multiplying your assured sum up to 5 times before attaining 70 years. Just like other plans, NTUC Star Assure has several riders that you may use to personalize your plan. The advanced Assure Accelerator rider and Major Impact Benefit make this plan a better choice because they cover unpredictable and unknown diseases, including COVID-19.
6. Tokio Marine Legacy LifeFlex
Like most life insurance plans, Tokio Marine Legacy LifeFlex covers death, terminal illness, and total permanent disability. The assured sum can be multiplied up to 10 times until you reach 65 years. You have the option to pay total premiums within a range of 10-25 years, after which you stop paying but continue benefiting from the coverage. You can also choose to receive none guaranteed annual payouts in terms of dividends from age 65. You can also personalize your plan with several available waivers.
The best life insurance policy is one that best suits your needs. Generally, when buying a life insurance plan, you want first to ensure that it satisfies all your expectations and will provide the desired financial assistance when the time comes. For easy life insurance in Singapore comparison, visit MoneySmart and navigate their website to see how different plans compare, then purchase the plan that suits you.