Mr Tan
I purchased a financial guardian plan, some 17 years ago. It includes a rider to cover the following:
* $65 a day for bed
* $1,200 to cover surgical
* $300 for other expenses
* $20,000 to cover total disability and a few critical illness
These covers extend up to 65 only.
What can I do with it now since it cannot meet present hospital expenses? Should I buy a enhanced Incomeshield and drop the current plan?
REPLY
You should talk to an adviser or visit the business center of NTUC Income.
Your current rider provides cover up to age 65 only. It does not meet your needs beyond age 65. It is better for you to switch to a plan that offers lifetime coverage.
The premium rate for a rider is usually quite high. You may find it to be more affordable to buy a separate policy. But, as your are paying a level premium under the rider, it may be better for you to continue it (depending on the premium rate).
In my blog, I did write an article on review your old riders.
ReplyDeleteThe H&S riders premiums for this plan is definitely high and outdated, in the sense.
Shield Plans with riders to cover the deductible and co-insurance will be the better plan and it covers the whole life.
The other rider many failed to check are the term riders of convertible term 5 years rider of company A, and also the ADB, accidental death benefits.
These riders have high premiums as compared to riders offered today.
Please do a review of these riders.
Personal Accident plan is more comprehensive, lower in premium for same coverage as in the rider.
- Thomas Phua
The benefits in the rider seems very low in today's context. It is not even sufficient for a B2 ward in Singapore.
ReplyDeleteIf this is the only plan that he has, he has to seriously evaluate his hospital coverage.
Pls talk to your adviser soon.