RATING: NEUTRAL

You can read the benefit illustration that is shown in the PDF below.

This policy requires you to pay a premium of $3,520 for 5 years and to keep it for 10 more years to the maturity date. It pays a cash bonus of 5% of the sum assured from the 2nd year but assumed that it is left to accumulate with non-guaranteed interest of 3.5% p.a.

The death benefit is only slightly more than the total premium paid (plus accumulated interest), so this policy does not provide any meaningful amount of life insurance protection.

The surrender value for the first 9 years is below the total premiums paid but will break even after 10 years on the more optimistic projection. You will stand to lose a part of your savings, if you have to terminate the policy during the first 9 years.

On the maturity date (i.e. end of 15 years), the guaranteed cash value is $18,000 (i.e. slightly more than the total premium paid) and the non-guaranteed value ranged from $22,412 to $26,780. The yield to maturity is only slightly more than 3% on the optimistic assumption.

The distribution cost of $1,368. This is about 30% of the annual premium, which is quite reasonable.

There are better ways for you to invest your savings. Talk to a financial adviser listed here.

The table below shows the amount that you will get, if you invest the premium on your own, to earn a yield between 1% to 5%.

Annual saving | Yield | End of 5 years | End of 15 years |

3520 | 1% | 18,135 | 20,032 |

3520 | 2% | 18,685 | 22,776 |

3520 | 3% | 19,249 | 25,869 |

3520 | 4% | 19,828 | 29,350 |

3520 | 5% | 20,423 | 33,266 |

Tan Kin Lian

RATING: NEUTRAL

You can read the benefit illustration that is shown in the PDF below.

This policy requires you to pay a premium of $3,520 for 5 years and to keep it for 10 more years to the maturity date. It pays a cash bonus of 5% of the sum assured from the 2nd year but assumed that it is left to accumulate with non-guaranteed interest of 3.5% p.a.

The death benefit is only slightly more than the total premium paid (plus accumulated interest), so this policy does not provide any meaningful amount of life insurance protection.

The surrender value for the first 9 years is below the total premiums paid but will break even after 10 years on the more optimistic projection. You will stand to lose a part of your savings, if you have to terminate the policy during the first 9 years.

On the maturity date (i.e. end of 15 years), the guaranteed cash value is $18,000 (i.e. slightly more than the total premium paid) and the non-guaranteed value ranged from $22,412 to $26,780. The yield to maturity is only slightly more than 3% on the optimistic assumption.

The distribution cost of $1,368. This is about 30% of the annual premium, which is quite reasonable.

There are better ways for you to invest your savings. Talk to a financial adviser listed here.

The table below shows the amount that you will get, if you invest the premium on your own, to earn a yield between 1% to 5%.

Annual saving | Yield | End of 5 years | End of 15 years |

3520 | 1% | 18,135 | 20,032 |

3520 | 2% | 18,685 | 22,776 |

3520 | 3% | 19,249 | 25,869 |

3520 | 4% | 19,828 | 29,350 |

3520 | 5% | 20,423 | 33,266 |

Tan Kin Lian