Jonathan Chua

Risk management is the basis of insurance. Fear of the uncertain future creates the need for financial protection against a catastrophe. However, I recently stumbled on an article that provides reasons why some types of insurance are unnecessary. Here are the five unnecessary insurance policies mentioned:   1. Mortgage insurance   Instead of focusing on just paying off the mortgage, holistic coverage should be considered. In addition, most companies provide large sum discounts. There are term plans that mirror the mortgage insurance coverage, providing reducing coverage without needing you to submit mortgage documents and revising everything when you change residence.   2. Comprehensive motor insurance   Most drivers opt for low excess and a comprehensive plan instead of third party plan with higher excess. With the rising cost of motor insurance premiums, it is to your benefit to do some calculation if it is worth paying both an arm and a leg fo...

Singaporeans are getting wealthier and living longer but they are not living healthier. This is one the key findings of a survey released by insurer, AIA SIngapore. From a poll of 1,000 people, it found that Singaporeans are on average four years older than their chronological age due to unhealthy lifestyle choices they make each day. source>> Putting health first: AIA's Vitality programme rewards you for improving your lifestyle AIA Singapore has come up with a new programme called Vitality. The scheme, endorsed by the Health Promotion Board, rewards members who take the time and effort to make themselves healthier. -- PHOTO: AIA VITALITY Get healthy on discount Here’s something everyone should ponder: Is your body older than you really are? A recent survey conducted by life insurance giant AIA found that the average Singaporean’s body age is four years older than their chronological age, due to unhealthy lifestyle ...

Deciding whether you need life insurance can be a complicated process. The decision can be even harder when you are younger. This article highlights some of the issues that you should think about. We hope that this will help you to make an educated decision. Providing for Your Dependents If You Die Let's start with the most obvious reason for why someone should invest in life insurance ... the fact that it can replace your income if you die before your dependents. You may want your children to go to college and your family to enjoy a certain kind of lifestyle. Likely, you still want this to happen even if you die prematurely. But, if you are the primary bread winner for your family, they may not be able to afford it if you die and do not have enough savings to cover their expenses. You can address those concerns by buying enough life insurance. You Have Options You have the option of buying a term life insurance policy , which would cover you for a set n...

Life insurance premiums can be expensive. During times when money is tight and your financial future is uncertain, you can look for ways to save money. Rather than dropping your life insurance altogether, you may be able to do some things to reduce your  life insurance   premiums. Here are a few things you can try to get those life insurance premiums down to a manageable level: Get term, not whole life.  If you have a whole life insurance policy, cash it in and buy term life insurance. Term life insurance doesn’t build cash value the way whole life does, but it’s also a lot cheaper. You can get several times the face value for the same premium price when you switch to term. Reduce your term length.  The length of your term life insurance policy determines, in part, your premiums. Consider getting a shorter term policy, as that can reduce your premiums. Lower your face value.  One of the easiest ways to drop your rates is to lower your coverage. Figure...

Hi there, There are only a few guarantees in life, and paying taxes is one of them. Another is retirement. Everyone will face retirement someday, but have you planned for it? The reality is, most of us have not put enough thought into retirement planning and defer it only until much later in life. All of us have priorities at different stages of our lives, and very often our insurance needs get neglected. But if retirement is a certainty, shouldn’t planning for it then be our top priority? Do you know that if you wish to retire with S$2,000 a month for 20 years, you need to set aside S$480,000, without even taking into consideration inflation? Even then, S$480,000 is a hefty amount to set aside isn’t it? Retirement is the time when you are finally free from most financial obligations, and settle into the life you have always dreamt of. That’s why getting adequately prepared early is so important. So that when the actual day comes, you do not need to worry about whether you ...