According to a report published a week ago, an average Singaporean needs life insurance protection of $494,851. However, an average life cover for today is only $165,628, which already includes mortgage insurance and CPF savings. The amount of protection needs should ensure it is sufficient to provide enough cash to maintain dependants' current living standards, cover any outstanding debts and funeral expenses.
I did a rough estimation that decades down the road, factoring in inflation and ever increasing hospitalisation fee that usually increases faster than inflation, I am not adequately insured. So, should I buy term, limited life, traditional life, or ILP to raise my current low insured amount to a more comfortable level?
S'poreans under-insured [via]
