When is the last time you did a review for your insurance policies?
If you have been trying to avoid such reviews for your insurance policies, there are actually some benefits (I have 5) you can gain from it.
1. You May Get To Save Money
We are currently living in a time era where policies can be confirmed and bought over the phone and even through leaflets. Plans like Personal Accident Plans are of such.
Phew! 2009 has been a rough year for many and there are many valuable lessons that one can learn from and apply to in 2010.
And some of these which I personally feel that it’s worthy to keep in mind at all times:
It’s wise to be more knowledgeable in what you are investing – nothing is safe till you know the risks involved.
It’s always good to diversify – not just your investment portfolios. Big companies with many years of history may just go bust overnight so do not put all your nest eggs into just one basket. In other words, it’s okay to have the same type of insurance plan with other companies. You need it too!
What “goes down in March” will “come up in August” – this is an investment lesson or experience that I have personally went through. A unit trust that went real down in March 2009 (also the time when many people choose to sell off) climbed back up in August 2009 (and it was higher than the normal times). So do not follow what other average people do, learn to differentiate and understands from within.
Not all are down during the recession – many stock prices are down but not all and it’s evident in the property market (especially in Singapore) and in the prices of Gold (have you seen how it climb at the last few months of 2009). What this mean to all of us is that we need to understand how the financial market really work – relationship between various investment options like Equities, Commodities, Properties and Cash.
If you have just started work, around the age of 25 and holding a monthly salary of around $2,500 (Gross, before CPF contribution, bringing home around $2000) onwards, then you would love to appreciate this post as I will be sharing with you on how to plan well (coverage in almost every aspect) with just 10% of your monthly “bring-home” income ($200/month).
Note #2: The plans discussed below are mostly offered by the Insurance Company that I am representing and should not be served as a direct guide. Any queries, please do contact your Financial Planner.
How To Plan With $200/month?
The premiums are derived based on a Male, age 25, and a non-smoker. Rates for Female may differ accordingly.
1. Medical Insurance (Compulsory) With Rider (Optional)