Best Term Life Insurance Plans in Singapore (Updated)

By now you’d already know the differences between term insurance and whole life insurance.

And after reading whether you should get a term plan or a life plan, you decide that a term plan suits your needs and budget best.

Lucky for you, we’ve shortlisted the best term plans in Singapore that you can choose from.

Comparison of Term Insurance Policies in Singapore (2021)

Firstly, here’s a high-level comparison of the common term insurance plans available in Singapore to help you in your decision-making process.

With the above details, we select the best term plans in Singapore based on different criteria, read on!

Best Term Plans in Singapore

There are several sorts of term plans available in Singapore. This article will highlight the best term life insurance for you based on your coverage needs and the different criteria below.

Best Cheapest Term Plan – China Taiping i-Protect

The best cheapest term plan is China Taiping’s i-Protect.

This category exists because you might just want to look for coverage at the lowest price available, or you might even want to put more money into investments.

In this category, we just look at the price you have to pay for your premiums.

Based on the criteria, China Taiping i-Protect is selected because it requires the lowest premiums based on what’s currently available in the market.

For example, a 30-year-old male non-smoker would only have to pay a monthly premium of $41.50 for a coverage term of 40 years, with a sum assured of $500k.

On the other hand, term life insurance plans from AIA and Manulife will cost you more for similar specifications.

Interested to know more about this plan?

Read our review of China Taiping i-Protect here.

Best Most Value Term Plan – Tokio Marine TM Term Assure (II)

The best most value term plan is Tokio Marine’s TM Term Assure (II).

This category exists because you might be looking for a coverage plan that is value-for-money, while also providing protection against Death, Total and Permanent Disability (TPD), and Terminal Illness (TI). Moreover, you might also be looking for a term life plan that offers additional benefits such as guaranteed renewal and conversion privilege.

In this category, we compare product features such as renewability, level, convertibility, riders, and we also look at the price you pay for premiums so we can assess whether the plan gives you the most value.

Based on this criterion, Tokio Marine TM Term Assure (II) is chosen because the premiums are decently priced and you will also receive the protection benefits mentioned above, such as TPD, TI, and many more.

Moreover, this plan includes a guaranteed renewal privilege period of 5 or 10 years, with the last renewal age being 80 or 75 years old. This plan also gives the most value because the guaranteed conversion privilege allows you to convert your term policy into either a regular premium whole life or an endowment plan.

Others may argue that Aviva has the most value because it’s slightly cheaper per year, but Tokio Marine TM Term Assure (II) allows you to add coverage for your child as an additional rider – something Aviva’s MyProtector Term doesn’t offer.

With KidAssure GIO Rider, death, child-related diseases, and hospitalisation benefits are all covered under the TM Term Assure (II). Furthermore, at the rider’s maturity at the age of 19, 80% of the premiums paid will be reimbursed.

Hence Tokio Marine TM Term Assure (II) is selected under this category over Aviva’s.

Interested to know more about this plan?

Read our review of Tokio Marine TM Term Assure (II).

Best Most Flexible Term Plan – Aviva MyProtector Term Plan II

The best most flexible term plan is Aviva’s MyProtector Term Plan II.

This section exists because you might be looking for a term plan that provides you with flexibility, along with other added features.

In this category, we compare plans against flexibility. This means we look at whether the plan can be converted without any additional medical underwriting, we also look at renewability, convertibility, additional riders, and the policy term.

Aviva MyProtector Term Plan II is chosen for this criterion because without further medical underwriting, you can change your basic plan partially or completely into a new whole life insurance or savings policy.

This plan also offers renewability without further medical underwriting.

Moreover, this plan offers a guaranteed convertibility option where you can convert your plan either partially or fully into a new life insurance or a savings policy. This plan also offers additional riders for TPD and CI.

The reason why the MyProtector Term Plan II wins over Tokio Marine’s Term Assure (II) is that it offers coverage up to the age of 99, allowing for more flexibility in your planning.

Interested to read more on this policy?

Read our review on Aviva MyProtector Term Plan II.

Best to 99 Years Old Term Plan – AXA Term Protector

The best to 99 years-old term plan is the AXA Term Protector.

This category exists because you might be looking for a term plan that insures up to age 99 and offers a Death & Terminal Illness Benefit, along with additional features.

In this criterion, we compare term plans that provide coverage till 99 years old – Aviva MyProtector Term Plan II, Great Term, AXA Term Protector, and NTUC Income TermLife Solitaire.

AXA Term Protector is selected for this category because it is uncommon to find a term plan that provides coverage up to and including the age of 99.

Along with allowing you to be insured till age 99, this plan provides additional benefits such as policy conversion where you can convert it to another Basic Policy before the age of 60.

This plan allows you to select your preferred currency for protection and paying your premiums. This plan also provides a renewability option, so in the case that this plan wasn’t a 99-year plan and you decide you want to be insured till the age of 99, you can extend your current policies at AXA.

Moreover, AXA offers the option for limited pay so that when you retire and don’t have an income anymore, you won’t have to pay premiums until the age of 99, while other plans like TermLife Solitaire & GreatTerm don’t offer this option.

Furthermore, the MyProtector Term Plan’s 99-year coverage is also limited to single and third-party policies only.

AXA Term Protector is also chosen under this category because of the counter inflation benefit. AXA is one of the only insurers that allow you to gradually increase your sum assured, and help you beat inflation.

Interested to know more about this policy?

Read our review of the AXA Term Protector.

Best for Countering Inflation Term Plan – AXA Term Protector

The best for countering inflation term plan is also the AXA Term Protector.

This category exists because you might be looking for a plan with an Indexation Option. Indexation allows you to raise the quantity of coverage you have on a yearly basis in order to fight the impacts of inflation.

In this section, we solely compare term plans that can help counter inflation so that you don’t lose out on purchasing power when the cost of living increases.

The contenders in this category is the AXA Term Protector and Prudential’s PRUActive Term.

AXA Term Protector is selected for this category because AXA is only one of the few insurers that would let you raise your sum assured in order to beat inflation. This plan’s Indexation Option will allow you to do so.

Prudential’s PRUActive Term wasn’t selected due to the higher premium costs and it being a regular pay, as compared to AXA Term Protector’s option of being a limited or a regular pay policy.

Furthermore, AXA’s term plan allows you to renew and convert the policy while offering more riders to boost your coverage.

Interested in this plan?

Read our review of the AXA Term Protector.

Best for Smokers’ Term Plan – Manulife ManuProtect Term (II)

The best for smokers’ term plan is the Manulife ManuProtect Term (II).

This category exists because smokers pay higher premiums than nonsmokers, and not everyone is aware of this.

In this category, we compare terms plans that can benefit smokers, along with other benefits.

The contenders for this category is Aviva’s MyProtector Term Plan II, Manulife’s ManuProtect Term (II), and Tokio Marine’s TM Term Assure (II) due to them offering similar specifications.

Manulife ManuProtect Term (II) is chosen for this criterion because it has a Quit Smoking Incentive (QSI) that would benefit you if you plan to quit smoking within the next 3 years.

With this benefit, for the first 3 years of your insurance, smokers can enjoy a lower non-smoker premium rate and your future premiums can be charged at a non-smoker rate if you prove that you have quit smoking by the 3rd policy year.

If you quit smoking in the future, other term plans will not allow you to switch to a non-smoker premium. Thus, this is the only plan out there that provides this benefit for smokers.

Interested in this policy?

Check out our review of Manulife ManuProtect Term (II).

Conclusion

We hope this comparison and selection proves useful in your selecting the best term plan for yourself. However, do take note that even though there are the best options in each category, you should select your policies based on an overall perspective instead of individual picking.

If you need help in choosing the best term plan in Singapore for yourself while taking into consideration your overall financial goals, talk to a financial advisor that can provide you with an objective view.

source https://singaporefinancialplanners.com/blog/best-term-life-insurance-singapore/