What are your views about the early payout critical illness policy that has been advertised by Great Eastern. Is it necessary to have this insurance?
REPLY
It covers some of the important risks in life, but you have to observe the following points:
- Take the cover for not more than 20 years
- Compare the premium rates offered by three companies for the same cover
- Read the policy wordings to make sure that you understand the cover, i.e. do not rely on the explanation of the insurance agent.
I like to make a comparison of the premium rates for the following ages - 20, 25, 30, 35, 40, 45 - separately for males and females, and for terms of 5, 10, 15 and 20 years. Please get me the premium rates for this cover charged by different insurance companies. I will prepare the comparison for those that contributed to this research and for FISCA members,.
Early payout is a gimmick.It is part of the sum assured. It is a small sum. Eg. if the sum assured is $100K the early payout is $25K and if any claim in the future only $75K is left.How many people have $100K? Averagely Singaporeans have only $40K.Why ? because it is expensive that Singaporeans cannot afford to have more.Also it is NOT the only need.
ReplyDeleteIt is more important to have an H&S medical to address the early stage and not to fall into the trap of WL plan which is proven that it cannot meet your needs unless you are rich. It only meets the insurance salesmen greed for high commission.
Dear Mr Tan,
ReplyDeleteMay i know what might be the reason for not serving this policy for not more than 20 years? Wouldn't one be more vulnerable to Critical illness as we age?