Best Investment-Linked Policy (ILP) Singapore 2022
Offering the best of both worlds of Insurance and Investment, Investment-Linked Policies or ILPs, are simply having investment elements and insurance coverage packed into one policy. Should you be interested in a wealth growth instrument yielding higher than an endowment, ILP is one tool you can consider
What is an Investment-Linked Policy?
Putting together insurance coverage and investment (Unit Trust or Sub-funds), ILPs are a type of insurance policy that is similar to whole life plans.
However, instead of yielding interests through the underlying participating funds, Investment-Linked Policies offer higher wealth returns due to the investment into funds, as well as having a protection coverage coverage should death, TPD (total permanent disability) or even CI (critical illness) occur.
What Are The Differences Between a Whole Life Insurance Plan & Investment-Linked Policy?
It is true that an Investment-Linked Policy (ILP) has the influence of both worlds of Insurance and Investment. However, as with all financial products, an ILP is something to be considered with time, value as well as budget. It is true that an ILP potentially yields higher returns as compared to a whole life plan or endowment plan. This is made possible due to the fact that you, as a policy holder, will decide and choose the funds that will yield you the returns.
This is different as compared to a Whole Life Insurance plan because that is a participating policy that participates in the underlying participating fund, which does not offer a choice to the policy holder the flexibility of the areas of investment.
Similar to a Whole Life plan, ILPs do provide death coverage, TPD (Total Permanent Disability) protection as well as critical illness of different stages. The cost of insurance, or mortality charges, are deducted through the units invested via the unit trust.
Safe Wealth Instrument
Grow your wealth with at a good rate with a peace of mind. Strong returns, regulated and at a low risk.
Hit Your Goals Earlier
Principal and interest yields are guaranteed as long as term obligations are fulfilled as per contract. This means they actually help you achieve your goals faster.
Prepare for the Unexpected
Capital is guaranteed in the event of Death, Total Permanent Disability and/or Terminal Illness. Critical Illness and Cancer are included. Safeguard your savings in the event of unexpected loss.
Best insurance savings plans for wealth growth in Singapore
Endowment plans come in many forms from various insurers in the market. The historic returns, premium term and effective yield returns all play a part in growing your wealth.
Be it a 3 year savings plan, a 20 years limited pay savings plan or one that matures when you are 120 years old, we compare them all and explain to you what are the differences between wealth accumulation and wealth growth.
5th Year Break-Even Guaranteed. Flexible, stable and consistent, Choose to receive payouts for life or re-invest and withdraw anytime you want!
A Guaranteed Insurable plan despite of health conditions, ReadyBuilder II is a strong versatile plan that breaks-even early at the 15th year. Rivaling even to Retirement Plans!
Shortest term savings plan with the highest returns. An 8 years saving plan with attractive returns of up to 3.13% per annum upon maturity.
Best mid-term 12 years plan that only requires you to save for 6 years. The remaining 6 years' worth of premiums will be covered by the cash benefit.
A very versatile savings plan, it is suitable for fresh grads, young parents planning for children’s education, pre-retirees’ retirement as well as legacy planning. Manulife’s ReadyBuilder has a short break-even period of 15 years comes as a strong champion in the endowment savings arena.
Guaranteed issued plan with no medical underwriting, Aviva’s MyLifeIncome is the shortest break-even long term endowment plan in the market. By breaking even on a short 5th year, the plan either pays you a steady stream of income for life, or choose to grow it even more and withdraw anytime you want!
Best Short Term Savings Plan
With a 2 year premium paying term and a 6 years waiting period – total of 8 years and a Capital Guaranteed with attractive returns of up to 3.13% per annum upon maturity, the i-Saver8 is one of the strongest shortest savings plan available.
Get the Best Saving Plans in Singapore 2022
There are many variations of savings and endowment plans out there. We have specially reviewed and compare them for you so you don't have to do so.
Simply fill in the simple Endowment Savings Plan questions to find the best savings plan to best grow your wealth suited to your needs. Our experienced licensed FA advisor will get in touch with you shortly upon your request.
No obligations. No hidden fees and costs. Just professional advice.
Frequently Asked Questions
Savings plans are a type of Endowment policies that participates in the underlying assets of Insurers to help policy holders grow their wealth at a steady rate over a specific period of years or age. Savings plans nowadays are becoming more versatile and even provides certain cashback benefits. A new trend of savings plans are getting increasingly popular where “how long to plan maturity” is not the concern anymore.
Instead, the break-even period for premiums and guaranteed amount among insurers are the focus. And they mature when you turn 120 years old.
Depending on the plan features, certain Savings Plans mature after a number of years. There are versatile longer term savings plan that matures when the person is 99 or 120 years old, but breaks-even early at the 5th or 13th year and growing the wealth with flexible cash withdrawals, essentially making it very versatile as a legacy, children’s education planning, young adult’s retirement plan. These Savings Plan allows cash benefit withdrawals and most importantly has Guaranteed Issuance Offer (GIO).
You should consider a savings plan if you want a safe instrument to grow your wealth and also to protect it from inflation’s corrosion. In anutshell, a savings plan provides a lump sum payout at a stable rate of return and most insurers provide capital guaranteed at the end of the policy term.
A Savings Plan allows policy owner to save for a certain number or years (or a one time single premium) and receives a maturity lump sum amount at the end of the saving period. A Retirement Plan pays out a fixed income payout regularly (10, 20 or 30 years) at a specified retirement age chosen by the policy holder (60, 65, 70).