Insurance & Costs of having and raising a child
26-05-2011, 02:24 AM
Just wanted to let all know that there is a short write-up on the different insurers' disability income plans that I happen to come across. The write-up is found in IM$savvy website: http://www.cpf.gov.sg/imsavvy/infohub_ar...2444369196}
21-06-2011, 11:12 AM
(This post was last modified: 21-06-2011, 11:16 AM by EarnestLearner.)
Hi MW,
I noted that for your new insurance policy, you have Death+TPD cover of $750k versus CI cover of S$150k. Can you share your thoughts behind such ratio? I am also in the midst of working out my policy and I am thinking perhaps someone who contracted any of the CI needs a higher sum assured. This is so because I am assuming that patients with CI would incur higher expenses to hire help to take care of the patient, which will not be covered under hospitalization policy. S$150k seems barely enough to last 2 years? I am thinking perhaps 2:1 ratio, i.e. for your case $750k death + TPD and S$300k for CI. What do you think? Look forward to you / other forumers' views on this. Thanks.
21-06-2011, 12:08 PM
(21-06-2011, 11:12 AM)EarnestLearner Wrote: Hi MW,I bought quite alot of term death cum CI and quite regreted it. My opinion is my case dont require alot of CI cover. A good medical plan will cover most of medical cost. A income protection plan to cover the monthly household requirement needs and cost required to hire helper.
21-06-2011, 12:53 PM
(21-06-2011, 11:12 AM)EarnestLearner Wrote: Hi MW, Hi, Just my 2 cents. If you are looking at long term care then maybe disability insurance might make more sense instead of increasing the critical illness coverage? You need to look at the terms of when you can claim for both CI and disability and see if it meets the need you have or the risk you want to insure against. Maybe there is no insurance to cover for the risk you are talking about or too expensive and thus maybe saving money to cover that risk might be the answer. But 1st you need to define and put it into writing what exactly you want to cover 1st. 
22-07-2011, 07:22 AM
Jul 22, 2011
Many Singaporeans still underinsured By Magdalen Ng ONLY one in 10 Singaporeans have adequate life insurance coverage and very few even regard it as important, according to new survey. It also found that many people do not review their financial protection needs with their spouses while 60 per cent felt it would be acceptable for their dependents to downgrade their living standards in the event of death or critical illnesses. Mr Tan Hak Leh, senior vice-president and chief executive officer of AIA Singapore, which conducted the survey of 1,013 respondents, told a briefing yesterday: 'When we asked them to nominate the most important items they spend on regularly, family vacations appeared at the top of the list. 'Only one in four are willing to forgo vacations for insurance premiums.' Mr Tan cited a Life Insurance Association study of four years ago that found the average Singaporean is underinsured by more than 65 per cent. This figure is based on a recommended coverage of approximately 11 times a person's annual income. So the average Singaporean has cover of about $165,000 when $495,000 would be needed to maintain their living standards. AIA chief marketing officer Paul Hughes said the firm is taking steps to address the protection gap issues raised by the survey. One is to have new, more flexible products that can cater to different needs while AIA will work with different agencies to create awareness about the importance of insurance coverage. AIA also announced a collaboration with the National Family Council to increase the understanding of life insurance and to try to build financial resilience in Singaporean families. Mr Lim Soon Hock, chairman of the National Family Council, said: 'There are a number of factors that contribute to a stable, resilient and happy family. Sound financial planning and management is one critical area that is often inadequately addressed.'
My Value Investing Blog: http://sgmusicwhiz.blogspot.com/
22-07-2011, 08:15 AM
Insurance is actually not cheap relative to the low wage level in SG...
A comprehensive coverage will eat up a lot of savings.. In addition, when it comes to making claims, a lot of conditions must be fulfilled... I am not surprised that many Singaporeans are UNDER-INSURED... The poor will not be able to afford a comprehensive coverage and the middle-income is already stressed trying to make ends meet in the ever expensive SG city !!!!
22-07-2011, 08:43 AM
(22-07-2011, 08:15 AM)Zelphon Wrote: Insurance is actually not cheap relative to the low wage level in SG... Unfortunately, insurance is not meant for the poor. The more pressing need for the poor is to pay for their living expenses and tries to save some money for rainy days. As for middle-income, it is a matter of prioritizing the needs.I think the price of a iphone can easily pay for the premiums of term insurance for 2 years for a person. Iphone or insurance? which will you choose?
22-07-2011, 08:47 AM
After awhile, think articles in SG newspapers should really not be taken at face value. This article is pretty much copy and pasted off what bosses of insurance companies are saying... of course everyone is under insured. The way this article is written, it's almost as if AIA is doing us a favor offering good financial planning and in particular life insurance.
Personally, as a guy with almost no dependents, life insurance is definitely not a necessity to me no matter how I look at it. Of course, things may differ with some as their family may need their full support whether or not they are around. Considering how the needs of every individual may differ, there must be loads of assumptions to derive the 65% figure.
22-07-2011, 04:57 PM
(This post was last modified: 22-07-2011, 04:57 PM by Jared Seah.)
Piggo,
Right on! There is a symbiotic relationship between media and vested interest. Call it public relations/communications/lobbying. If I sell milk, I will provide press kits or interviews to media how Singaporeans are not drinking enough milk to build up healthy bones and teeth! We have "experts" appearing on TV giving free investment tips/views on CNA, CNBC, Bloomberg, etc. Win-win. Media gets "free" content; while vested interest gets "free" exposure for their companies. It's not really "free" as there will be expenses. Like giving "free" meals to food bloggers so they will blog nice things about your restaurant.
Just google singapore man of leisure
22-07-2011, 07:46 PM
Insurance, especially for health is really for the "filthy rich".
Like one local "rich man" boasted and remarked, "All in I only spend a few $ for my heart surgery." i am sure every one of you knows who said that. If you are an ordinary wage earner, where got the money to buy this type of insurance? If you can afford term, life insurance or normal Medishield, it's a lot of your money already. Terok, O. K.
WB:-
1) Rule # 1, do not lose money. 2) Rule # 2, refer to # 1. 3) Not until you can manage your emotions, you can manage your money. Truism of Investments. A) Buying a security is buying RISK not Return B) You can control RISK (to a certain level, hopefully only.) But definitely not the outcome of the Return. NB:- My signature is meant for psychoing myself. No offence to anyone. i am trying not to lose money unnecessary anymore. |
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