Last Updated on by Tree of Wealth
The NTUC Income Mortgage Term is a low cost term insurance good for covering for mortgage, as well as reducing sum assured liabilities for loans, including car loans.
Mortgage Term insurance, also known as Mortgage Reducing Term insurance, protects your property in the event of demise of the payer of the house due to death, total permanent disability or terminal illness. When facing this loss of not just the family member, another huge loss will be the income that is supporting the family.
Income Mortgage Term Features at a Glance
Death, TPD & Terminal Illness Coverage
In the event of death, total and permanent disability (TPD before age 70) or terminal illness, lump sum amount will be paid out.
Coverage will reduce annually based on the interest rate selected and can be supplemented for the remaining of your housing loan.
Choose from 5 to 35 years to meet your needs. Have the option to choose up to 85 years old of coverage as well. Premiums will be until 2 years before the end of the policy term of your choice.
Wide Range of Interest Rate Loans
Ranging from 1% to 7% to choose from to match your actual loan amount, as well as the rate of the decrease that you are comfortable with.
Supplementary Riders Available
To fully customise your coverage, choose from the variety of riders:
|Death, total and permanent disability (TPD before age 70)||Dread disease and terminal illness|
|Extra coverage for your plan with the following rider:|
|Enjoy premium waiver for your plan with the following riders:|
|Payor Premium Waiver||√||X|
|Enhanced Payor Premium Waiver||√||√|
|Dread Disease Premium Waiver||X||√|
Source: NTUC Income
How NTUC Income Mortgage Term Works
Mr Lee, age 40, is looking for a term life insurance plan to cover his mortgage loan for his new property. He signs up for Mortgage Term to cover his mortgage loan of $500,000, at a loan interest rate of 3%, for a policy term of 25 years.
|Age 40||Mr Lee signs up for Mortgage term and pays a monthly premium of $61 for 23 years only.|
|Age 50||Mr Lee suffers from a stroke that causes him to be totally and permanently disabled. The sum assured of $360,679 will be paid out to him and it can be used to pay for the remaining mortgage loan.|
Source: NTUC Income
NTUC Income Mortgage Term Plan is suitable if you would like:
- Standard mortgage reducing term plan with a reputable insurer.
- Flexible interest rates options.
- Protection Coverage for Death, Total Permanent Disability and Critical Illness (Optional)
- Coverage plan for Mortgage Loan and decreasing loan concerns
- Protection for Joint-Lives with loved ones/spouse
It would however be less suitable if:
- You are looking for limited pay premium term and coverage for life.
- You would like cash value in a protection plan.
- You want to include Critical Illnesses of all stages coverage from Early to Advance Stage.
- A Wealth Growth Endowment plan
- Single premium, One-Time Premium Term
- Cash Payouts regularly
Conclusion For NTUC Income Mortgage Term Plan
As with all term life insurance plans, the suitability of this plan for you will largely depend on your needs and expectations. There are many term insurance plans in the market with many strong Insurers. Which one suits you the most?
To find the most suitable coverage, simply fill in the form below and our friendly licensed FA advisor will get in touch with you. Based on your needs, a custom made solution will be adjusted only addressing your concerns.
No obligations, no hidden fees. All advice are of no charges.