Life insurance

There are different types of life insurance products. Term life insurance provides a death benefit within a fixed policy term. Whole life and endowment life insurance include a savings component. Life insurance can also include riders for critical illness, medical, permanent disability, and loss of income due to incapable to perform work duty caused by injury. Take out the right life insurance based on your needs.

Term life insurance is a “pure life insurance” with no savings component, and in general no cash value at the end of the policy term. The relatively low premiums and high death benefit make it suitable for those who have less income such as those who have just started work, and breadwinners who need a large sum insured.

Whole life and endowment life insurance provide guaranteed cash value and non-guaranteed dividends. This makes it suitable for those who need savings and can afford a higher premium. However, they have lower life insurance components.

Common critical illnesses among the elderly are often covered by the critical illness insurance available on the market. However, the protection will not cover everything. Details of the coverage vary between insurance companies. Their definitions of illnesses such as cancer may vary too.

If you have purchased insurance at a relatively young age, you should check the policy regularly to ensure that it still meets with your needs. Our financial situation and protection needs will change with different life stages. Consider if there need to switch to another life insurance products or to adjust the protection amount accordingly.

Life insurance can perform the function of a will that enables the policyholder to select one or multiple beneficiaries to receive specific percentages of the death benefit.