Protection for loss of income
Loss of Income – Protect the goose that lays the golden egg
All working adults are like goose that lay the golden eggs. We are able to generate an income, as long as we are healthy.While many breadwinners work hard to provide for their families, they often neglect to protect the goose that lays the golden eggs. Many people may have some insurance, but often inadequate. The goal of any insurance adviser is to ensure that if something should happen to the goose, the dependants can still have the golden eggs for long enough to be self sufficient. As a general guideline, most working adults should have life insurance cover amounting to 3 to 10 times of their annual income. For singles with no dependants, 3 to 5 times is a comfortable level. Married couples with children will need a about 6-10 times of their annual income. So a married couple earning an annual income of $50,000 should have life insurance cover between $300,000 to $500,000. This will ensure that the family can survive about 10 to 15 years, if the insurance proceeds are invested to earn 3-5% p.a.

Protection for major medical bills
Rising medical costs
If we have seen family members or relatives hospitalised, we would recognise that the costs can be very high. All working adults will be the CPF Medisave account for medical needs. However, this is often inadequate. We should have medical insurance to take care of major hospital bills at low cost. A few insurers offer medical plans that can be paid using the CPF Medisave.

Incomeshield from NTUC Income is the only plan that offers guaranteed lifetime coverage. It covers major hospital bills. The policyholder has to take care of part of the hospital bill using their Medisave. You can also consider other low cost hospital plans using cash to cover the portion not covered by the CPF medical insurance schemes.

Protection for housing and other big loans
Don’t leave your home to the bank
One area we should protect is our major loans.

For most people, their housing loan is the major loan that they will take.

Ensure that you have adequate insurance to cover the loan in event of premature death, disability or critical illness.

The most common type of insurance is the mortgage reducing plan. The coverage reduces every year, in proportion to the housing loan being repaid.

It is very low cost and is very affordable to everyone.

By protecting your housing loan, you ensure that your house will go to your family and not to the bank in the event of unexpected contingency.

Protection for assets like car and house
Protecting your assets
Our house and car are major assets for most people. There are possibilities of great financial loss if our car is stolen or our house is broken into. Other than protecting ourselves and our loved ones, it is also important to protect our key assets. Motor insurance is compulsory in Singapore and most parts of the world. Some of the coverage includes loss of car, major repair costs and injuries caused to third parties