What type of life insurance should you choose?
While shares and bonds and time deposits are more traditional investments, a large number of Singaporeans also use life insurance policies for long-term investments. Indeed, consumers here hold more than 13.1 million life insurance policies & insurance now accounts for 9.3% of households’ net worth. A key question some investors may have is whether buying a whole life insurance policy as an investment is better than buying a cheaper term insurance policy & investing the difference elsewhere. It is important to start by looking at why one should buy life insurance at all. Fundamentally, the goal of life insurance is to make sure beneficiaries such as young children or elderly parents have enough money to pay for their needs if something happens to the breadwinner in the family. There are several types of life insurance that can achieve this objective. The simplest option is term life insurance. You pay a premium, and the insurer guarantees that it will pay your benefi