Life insurance

Life insurance is one of the most basic insurance plan.

It is basically a plan which will cover your life so that in the event of death, the sum assured will be paid to your beneficiary.

Is this a plan that you should consider?

For single: Yes if you are already working and you have dependents that you financially support (E.g. Elderly parents). Otherwise, no.

For married couple: Yes if you have dependents that you financially support (E.g. Spouse, elderly parents). No if both couple are working and there is no dependents.

For family with children: Yes to both husband and wife, even if the spouse is a not working.

Retiree: Yes if the spouse or children still need financial support. Otherwise, no.

When I said no, it does not mean you should not get it. It just means that other plan might be of higher priority.

Some of the plans that are available in the market:

1. Term plan.

2. Whole life plan.

3. Investment link plan.

4. Universal life plan.

There is no one best plan as everyone's situation is different, therefore a combination of plans might even be suitable for you.

Tips: Aim for at least 10 times of your annual income for your life coverage.