Thomas Phua's Blog

2012-01-22T19:12:00.002+08:00

May I take this opportunity to wish you and family joy, health and wealth in the coming year.

Private Medical Insurance

2012-01-13T09:51:00.002+08:00

Do not come to me just for IncomeShield Plan, I normally do not want to do ONLY IncomeShield for those who seek me.

I have decided on this yesterday, enough is enough.

I use to do it for those who come to me for IncomeShield ONLY and along the years, there is no other business, this is not my concern.

In between when a claim arises or they do not understand the terms and conditions again, the person to be blamed is me.

Sorry for those who contacted me, I always encourage one to go with their current agent to establish a relationship for the future.

I have been in this for 24 years and lots of misunderstandings from those who takes IncomeShield only and along the years when claim arises, when one do not understand deductibles and co-insurance, agent is always accused of not explaining.

I am also thankful for those who are quite understanding.

Gathering your earthly treasures

2012-01-03T17:06:00.004+08:00

Have you considered to draw a spreadsheet and input your assets?

This may be good as you will then know what you have and where they are. You can can draw out templates for insurance, bank balance, CPF, investments, etc.

You can also draw a time line to mark out the important milestones, where your assets matures or time expected to liquidate or reap the investment returns.

Frankly, other than gathering and organising the assets, in event of unfortunate situation, at least the family will have easier time tracing. Just a practical tip.

Year 2011 coming to a close

2011-12-30T20:51:00.002+08:00

As we approach 2012, may I take this opportunity to wish one and all a Happy New Year 2012.

Year 2011 is coming to a close soon.

Time passes quite quickly, imagine as a youngster now to over the hill past 50 year old man.

Like it or not, time just fly past. I wish I can write good things of the past, I mean in term of how we plan our coverage.

I have grown with my clients and many have become my friend and appreciating the plans and the yields of their matured policies and medical coverage at time they needed it most.

When we are younger, we usually do not pay much attention to medical insurance and when come to past 40's or even 50's then realise in old age, medical coverage is important.

In the past writings that I wrote, I have been advising that Shield Plans are important and also critical illness plan and then rest of retirement plan and savings plan to enjoy in latter years or to have better yield.

Many have start to ask me about upgrading IncomeShield when they have hypertension set in which is one condition that insurer will exclude and exclusion is quite tough as also with condition related to hypertension, this means stroke, heart attack, and conditions related to it will be excluded.

There is nothing much that can be done, except to say again, PLAN WHEN YOU ARE HEALTHY AND NOT TOWARDS OLDER AGE OR WHEN SUCH CONDITION SET IN.

As one age, some conditions are sure to set in, hypertension, high chlorestrol, glaucoma, etc.

My advice is to insure early to preapre for the future. Many think they are young until too late, and more people are having hypertension set in at earlier age, perhaps because of life style and stress.

May I encourage you to plan early and not until it is too late.

Orange Force - NTUC INCOME, the only insurer that backs up motor policyholder with such an accident assistance response team 24/7

2011-12-16T23:08:00.002+08:00

Orange Force - Call 67895000 or 67886616

2011-10-20T08:46:00.002+08:00

Orange Force is NTUC Income’s new 24/7 accident response team. In our mission to assist policyholders who are often in a state of stress and anxiety after an accident, Orange Force Riders will arrive at accident scenes to render help anytime and anywhere on the island. They will advise our policyholders, ensure their safety at the scene, assist in removing their vehicles if necessary, arrange alternative transportation and ensure that their interests are fully protected.

Plan early appropriately

2011-09-20T21:49:00.003+08:00

Many have emailed me to ask why I have not been updating my blog.

Frankly, there is nothing much to write as it will be same story all over again and if one will not take the advice to plan and take action early, one will live to regret later.

Many of my client in the 50's start to have hypertension, high chlorestrol, diabetes, etc, setting in and start to think of hospital and surgical plan like IncomeShield, it is too late, as conditions will be excluded or even not offered the plan.

The picture reflects what one will need to build up and plan in life.

One can talk and not take action.

One may be even be more willing to spend $1000 a month to pay for instalments of a car that will go to scrap in 10 years, but when considering $100 for insurance plan, it is never done until too late.

There are priorities to take care of, but how practical will one be ?

VivoCare

2011-09-09T11:15:00.001+08:00

Vivocare, latest plan launched with coverage for early stage dread diseases , intermediate and advance stage dread diseases. There will be progressive payment for various stage of disease which can meet some cost of disability. Example, carcinoma in-situ , early stage cancer diagnosed is paid.

BENEFITS AT A GLANCE
■Covers an extensive range of 74 medical conditions for Early, Intermediate and Advanced stages of Dread Diseases1

■Comprehensive coverage against Total and Permanent Disability (TPD)

■First insurer with 3 times coverage for death and terminal illnesses before age 65 (last birthday)7

■Extra coverage4 for Angioplasty, Diabetic Complications, Severe Osteoporosis and Severe Rheumatoid Arthritis

CPF Minimum Sum at $131,000 fro 1st July 2011

2011-06-01T12:44:00.000+08:00

CPF Minimum Sum

The Ministry of Manpower announced in August 2003 that the CPF Minimum Sum (MS) will be raised gradually to reach $120,000 (in 2003 dollars) in 2013. The increase in MS, which includes an adjustment for inflation, is to ensure that Singaporeans set aside sufficient savings for their retirement. In line with this policy, from 1 July 2011, the prevailing MS will be revised to $131,000, up from $123,000. Members who can set aside the MS fully in cash can apply to commence their monthly payouts of $1,170 when they reach their draw down age. The new MS will apply to CPF members who turn 55 from 1 July 2011 to 30 June 2012.

For more detail goto http://mycpf.cpf.gov.sg/CPF/News/News-Release/N_31May2010.htm

Yield of NTUC INCOME plans

2011-04-29T10:20:00.007+08:00

Yield of NTUC INCOME plans has been publish public to date.

Will others do the same to publish their yields? Why ?

Plan before it is too late

2011-02-14T09:28:00.002+08:00

I have not been writing on the blog for a while because I am using FACEBOOK. Maybe I should consider to have a FACEBOOK account to replace my BLOG ?

Recently, I have two emails from two customers and the situations are two extremes as they wrote :-

["Knowing you for the past 20 years is a blessing and you are definitely a god sent messenger to me too. You gained my first insurance policy then and have given me constant drilling into financial planning, having adequate and basic insurance both medical and savings etc etc. Without knowing you at that time, I may not been able to work towards my retirement goal. Somehow, I have been able to set certain threshold for insurance and the rest for self investments and these work fairly well for me. Thank you for being not just my insurance agent but being more than that, “FRIEND”."]

["If I want to take up enhance incomeshield I am 51yo. But one question if recently I have a stent inset (heart artery blockage) and also hospitalized for 5 days . Can ntuc income accept my application? Or subject to their review? "]

We have to consider what is our priority in planning to meet our needs as we move along. Protection, medical, savings, retirement planning, etc. We can say as much but keep hesitating and procastinate until it is too late, like the IncomeShield planning and protection plan involve life insurance planning.

Basically we start with insurance planning, medical, savings and when come to older age, retirement planning, but it is also a myth that retirement planning comes at older age. If one has the budget, long term retirement plan can be done early as well.

I wrote this in my Facebook, this profession is a love-hate profession.

How do you like to be in a love-hate profession, left cornered by client, right pushed by office, for outstanding payments and for services, etc. A very challenging job to keep sane and the day will come, I am going to take it easy. Those who love you wish you will not die before them, those who hate you, wish you go first, they complain.

Basically for me, I have enjoyed past 23 years meeting clients and the needs of some of them, and many have taken me as their personal friends more than just an agent. My own plans is also done with same objectives to care for the family and as I age, I will not be a burden to the next generation. These are two simple principles I have for myself and when a client comes to me, my own experience comes in handy as I plan for them.

Do look into your own needs before it is too late. There is nothing much I can help after a condition has set in. If you need to review your needs, with the two emails I received above, you probably would know what are the essentials.

2010-12-31T14:03:00.001+08:00

As we approach the end of 2010, may I take this opportunity to wish you and family joy, health and wealth.

2010 has been an exciting year and a good year for most as economy picks up.

I will always do what I can when I am needed. This year has not seen any major claim, which is good, meaning most are in good health. Do pardon me for any lapse of service, if any.

It has also been exciting even into last few days when one of my client's IncomeShield has been switched out by fraud. The case has been reported to police for investigation since signature is not my client's signature. Important is to get it reinstated, thus proof of fraud is important in this case. This show case that there are some black sheep in the industry. I have never imagined how this can happen.

2011 seems bullish and may be a year to watch out, to liquidate some investment funds if it gets too bullish or maybe 2012. This is just my personal take on the economy. With all respect, during market down turn, no fund manager speaks, but after market recovered, most will talk about upturn and how record will be achieved forward, but when it collapsed, most go silent again for a long time. So when there is talk of bullish market and how index record will climb, perhaps is a sign to consider if it is time to liquidate. What goes up will come down, easy to say but always never take action until too late.

Hope 2011 will be another exciting and prosperous year, wishing you and family all the best.

Your car may not be due for inspection !

2010-09-07T17:21:00.007+08:00

Many car owners received road tax renewal and on impulse sent car for inspection which is unnecessary. If car inspection is required, it will be specified at the bottom of the road tax. Inspection interval for car is 2 years after year 3. Problem is inspection centres are sending out their leaflet based on database. So please check and do not pay for nothing.

Inspection is required only when official letter is sent from LTA. And it is reflected clearly on the road tax renewal disc sent to car owner.

I think many have sent their car for inspection without realising it is inspection centre's marketing letter and not request from LTA.

Inspection centres are laughing all the way to the bank.

LTA's requirement for inspection for car is biennially, every 2 years, there is a list of vehicle inspection requirements for all types of vehicles, link at http://www.onemotoring.com.sg/publish/onemotoring/en/lta_information_guidelines/maintain_vehicle/inspection.html

Plan to meet NEEDS.

2010-07-21T22:06:00.004+08:00

Concluded the biggest sums assured I ever done yesterday, $2 million term and $1 million critical illness Living Rider. Beyond my imagination, pass through the stringent medical check and still could get standard rate. A case that I never think will get standard when one is a Hepatitis B carrier, but with anti-bodies.

On the same day, a client died, submitting a claim for $10,000 plus bonus.

Some time it is an awful sense of responsibility and some time guilt that I am not able to convince those who refuse to see the need, how one should plan, how I can help others see their needs.

NTUC INCOME to be Iconic

2010-07-03T13:36:00.003+08:00

It is not a secret that NTUC INCOME wants to be number 1, and achieved that last year.

But to be number 1 without a heart and feeling, is but just a position.

NTUC INCOME always pride itself as a co-operative and work for the benefit of the people.

I am touched when the CEO said, "we are successful, and we do well to do good."

Some may not understand that as a co-operative, NTUC INCOME do have a social responsibility and social purpose to meet the needs of the policyholders and for their good.

I am glad to be associated with such a co-operative insurer.

Action to do when car tyre has a blow-out,puncture.

2010-06-29T09:04:00.003+08:00

A friend sent me this video clip on what action to take during tyre blow out, I think it is good public education and I like to share it with you. Just click to view the video.

I think the natural instinct when a tyre puncture is to hit the brakes, but it is not so, view the video for advice.

Colon Cancer Claim - 3 C's ?

2010-06-10T09:25:00.002+08:00

Another of my client, age 45, WAS DIAGNOSED WITH MODERATELY DIFFERENTIATED ADENOCARCINOMA OF RECTUM, commonly known as colon cancer.

Life is fragile. IncomeShield and a critical illness plan is so important ( not to advertise ), I have seen and met and plan for many and such are the basics in insurance planning.

I have always mention that whatever Shield plan, one need to be insured. Basic Medishield or any of the private medical insurance plans, Shield Plan.

Critical Illness or Dread Diseases will cripple a person if one is not prepared for the bills that will come along with it.

It is NEEDS to be met before WANTS.

Put the essential needs in place before planning for savings or investment plans.

There is nothing new to write about but just the reality of life.

How to reduce income tax?

2010-06-04T08:52:00.004+08:00

Most of us would think that to reduce income tax, is to contribute to SRS, Supplementary Retirement Scheme.

There is also another avenue, that is to do cash top up to parent's retirement account.

If your parent is retired and above 62, and you have been giving your parents allowance, one can actually do cash top up of up to $7000 to parent's CPF Retirement account and the parent gets a monthly draw down of $297.

If you have been giving allowance to your parents, this is one way to claim tax by doing cash top up.

You can have a joint bank account, and the monthly payout from the MSS, $297 will be credited to the account monthly and at the same time there is tax relief.

Growth Plan current maturity yield

2010-05-13T23:19:00.004+08:00

Maturity Yield has been published by NTUC INCOME at http://income.com.sg/aboutus/Bonus/2010/index.asp .

Policyholders will also receive cheques of $25 or $50 for policyholders who has been policyholders for more than 10 years, this is a once off voucher for NTUC INCOME's 40th Anniversary on top of the good bonus already declared on the policy.

Growth Plan has been giving good yield, below is a list of some of my policyholders' maturity this July (PH details deleted) that gives yield of 4.577% over 10 years.

$100,000 mature for $156,453.90

$20,000 mature for $31,290.78

$5000 mature for $7,824.93

If your have spare cash that you wish to set aside, you can consider, this can be for retirement planning or for children's education.

If you look at the topic on Timeline planning, the Growth Plan can be planned to mature at a time when it is needed.

5 years Growth Plan matured at 3.2% yield this period.

If you are keen on this plan, please do not hesitate to contact me.

----- Original Message -----
July 2010 Maturity Report

Subject: Monthly Maturity Mailing Exercise

Policyholder: S000XXXA
Policyno Plan MaturityDate MaturityAmt AssigneeType
006936XXXX GRL1 26-07-2010 156,453.90 No Assignee ( $100,000 placed in year 2000 and this is the maturity )

Policyholder: S0106XXXB
Policyno Plan MaturityDate MaturityAmt AssigneeType
006943XXXX GRL1 26-07-2010 30,641.15 No Assignee ($20,000 placed in year 2000, maturity $30,641.15 )

Policyholder: S015XXXXH
Policyno Plan MaturityDate MaturityAmt AssigneeType
006942XXXX GRL1 20-07-2010 31,290.78 No Assignee ( $20,000 placed in year 2000, maturity $31,290.78 )

Policyholder: S1361XXXXB
Policyno Plan MaturityDate MaturityAmt AssigneeType
006935XXXX GRL1 01-07-2010 7,824.93 No Assignee ( $5,000 placed in year 2000, maturity $7,824.93 )

Policyholder: S1554XXXJ
Policyno Plan MaturityDate MaturityAmt AssigneeType
006940XXXX GRL1 14-07-2010 78,225.46 No Assignee ( $50,000 placed in year 2000, maturity $78,225.46 )

Policyholder: S1629XXXE
Plan MaturityDate MaturityAmt AssigneeType
006938XXXX GRL1 06-07-2010 31,290.78 No Assignee ( $20,000 placed in year 2000, maturity $31,290.78 )

Published Yield of NTUC INCOME policy

2010-05-05T09:22:00.008+08:00

Those with policy matured with NTUC INCOME will know that INCOME policy offer better values, because as a co-operative, most of the profits and surplus are distributed to policyholders, because it is a social enterprise, for the people, by the people, with the people. Social in purpose and excellence commercially. NTUC INCOME has still to meet the aspiration of next generation to be the prefered insurer.It took 40 years, with good values and some are still ignorant of the purpose of NTUC INCOME in meeting the needs of policyholder as a social enterprise from her humble beginning. The yield published shows the audited values of INCOME policies which no other insurer has shown to date. Just click on the picture for larger view.

$415.5m bonus for Income policyholders

2010-04-30T14:39:00.004+08:00

$415.5m bonus for Income policyholders Bumper payout to mark company crossing $3b in premium revenue Last year was a record-breaking one for NTUC Income. It chalked up $275.2 million in weighted new business life premiums, up 7 per cent from $256 million in 2008.

To mark NTUC Income's 40th anniversary, CEO Tan Suee Chieh visited four of the company's longest-standing policyholders, including Mr Ganeshan Kumarasamy, to present them with their cheques and surprise hampers. Mr Ganeshan has been a customer since 1971. INSURER NTUC Income will distribute a bumper $415.5 million in bonus payments to 746,000 policyholders to celebrate its crossing $3 billion in premium revenue last year. The payout is well up on the $270.8 million dished out last year and the $302.5 million paid during the company's 35th anniversary in 2005.

Chief executive Tan Suee Chieh said yesterday that the payouts reflected the company's philosophy as a social enterprise. 'We distribute very little to our shareholders because we are not a commercial company... Our job is to maximise value to our customers, consistent with sound practice,' he said.

NTUC INCOME has still to meet the aspiration of next generation to be the prefered insurer.

Timeline planning

2010-03-31T11:09:00.005+08:00

Timeline Planning - Expanded
A spreadsheet to plot out the timeline and to gather one's assets in one page view is quite helpful.

You can include your CPF savings, other investments and maturity of policies, bank accounts, etc, to have an indication of what are your assets in total, present and future with a good estimate.

Timeline spreadsheet can also faciliate the planning for future needs and plug any gaps ahead.

Actually, there is no secret in doing this, just use your creativity, and insert formulas to aggregate the portfolios and add on as the time progress and the assets increase over the time.

Have fun in gathering and designing the spreadsheet to your own taste and colours.

(Click on the image and expand the view, you will see the example of the spreadsheet)

Uni fees in 2015,2020 & 2030 with 6% inflation

2010-03-25T15:50:00.003+08:00

In 2006, the fee for other courses in SMU was $7500 per year, and today ( 2010 ), it is $9890 which is 7.16% inflation.

I have drawn out an estimate, based on 6% inflation from 2006, by 2015, 2020 and 2030, the fees could be $12,671, $16,956 and $30,367 respectively.

This is time value of money and the fees will surely goes up with inflation.

Are we prepared in one way or another for our own children?

I know this figures because I paid $7500 per year for my own daughter who is finishing this year, but I have two more to provide for, if they survive the education system.

Unknowingly, I have put aside in the Growth Plan and some investment plans which will come in handy.

I have written an article on time line planning http://phuakahkengthomas.blogspot.com/2007/04/time-line-planning-leap-frog-forward.html in my blog. This was 3 years back, but it gives you an idea of how you can save for the future.

You can click on the link and take a look.

I hope it will be useful for your planning, the actual spreadsheet, if you do it, will have more information and assets you can gather.

NUS, NTU, SMU raise fees

2010-03-24T09:48:00.001+08:00

NUS, NTU, SMU raise fees

Singaporean students who joined last year will pay 4 per cent to 10 per cent more than the 2008 cohort, a rise of up to $740. For students joining later this year, the quantum will be 3 per cent to 10 per cent higher than what the 2009 cohort would pay after their fee adjustments - an increase of up to $810.

How to save up to meet the needs of our children?

NTUC INCOME was number One insurer in 2009

2010-03-11T17:10:00.004+08:00

NTUC INCOME celebrated being Number One insurer in 2009, first time in history, as the prefered insurer.

Hope the co-operative insurer will continue to work for the benefit of policyholders with her social purpose while achieving commercial excellence.

You may wonder why I write like this. Most of my money are with Income and mostly maturing in 2014 & 2015 period and along the years and also in investment funds which so far are doing well. So of course I wish NTUC INCOME well.

2010-02-13T13:38:00.003+08:00

May I take this opportunity to thank you for your trust in me and to continue to be part of NTUC INCOME in staying insured with us.

Tigers thrive on chance and unpredictabilty, are best suited to navigating the many upheavals predicted in the year ahead.

In family relationships, Tigers are extremely protective and will strike out at any perceived threat to home or children.

May I wish you and family, happiness and health, best wishes and wealth in abundance as we celebrate and welcome the Year of Tiger.

Warren Buffett - Maxims for the New Year

2010-02-12T08:34:00.012+08:00

(This is a 2009 article, but it is so practical even as years move forward, financial wisdom from elders, as Warren Buffet puts it.)

We begin this New Year with dampened enthusiasm and dented optimism.

Our happiness is diluted and our peace is threatened by the financial illness that has infected our families, organizations and nations. Everyone is desperate to find a remedy that will cure their financial illness and help them recover their financial health.

They expect the financial experts to provide them with remedies, forgetting the fact that it is these experts who created this financial mess.

Every new year, I adopt a couple of old maxims as my beacons to guide my future. This self-prescribed therapy has ensured that with each passing year, I grow wiser and not older. This year, I invite you to tap into the financial wisdom of our elders along with me, and become financially wiser.

Hard work: All hard work brings profit; but mere talk leads only to poverty.

Laziness: A sleeping lobster is carried away by the water current.

Earnings: Never depend on a single source of income.

Spending: If you buy things you don't need, you'll soon sell things you need.

Savings: Don't save what is left after spending; Spend what is left after saving.

Accounting: It's no use carrying an umbrella, if your shoes are leaking.

Auditing: Beware of little expenses; a small leak can sink a large ship.

Risk-taking: Never test the depth of the river with both feet.

Investment: Don't put all your eggs in one basket.

I'm certain that those who have already been practicing these principles remain financially healthy. I'm equally confident that those who resolve to start practicing these principles will quickly regain their financial health.Let us become wiser and lead a happy, healthy, prosperous and peaceful life.

- Warren Buffet

2010-01-13T20:46:00.002+08:00

Thank you for visiting my blog.

On several occasions, I received emails seeking advice and help.

I will try to help, especially those that really need help and is in critical illness, but I have people who email me to check on their relatives pertaining to claims.

I hope that more details and truth can be presented to me if help is needed.

I have one who emailed me about her brother's policies having problem being surrendered without his knowledge, and on checking it is actually under police investigation for forgery.

I have some who asked me to check on possible claim on lapsed policy, but policy did not exist with NTUC INCOME.

I am always willing to help those who need help, but I hope those who contact me, be fair to me. If you have your own servicing agent, please contact them first. All agents are responsible and will assist their clients.

The only situation is you take from direct distrubution channel (business centers, bancassurance, etc ) and these channel do not provide claims assistance. You need to call hotline.

2010-01-07T18:31:00.003+08:00

22 years seem like yesterday, how time pass so quickly, representing NTUC INCOME.

No fatality claim last year, which is good news, this means most are in good health, except assisting in a ElderShield and DPS claim, which was a happy claim for the claimnant though.

Many policyholders received good yield for their Growth Policy that matured.

My concern is still IncomeShield, and other Shield Plan, that one should have clear understanding of the plan and not let agents switch it around like merry go round.

Global economic environment improves and unit linked fund prices appreciated much and most ILP has turn positive for most policyholders.

A new year, a new challenge forward.

Thank you !

2009-12-31T11:33:00.001+08:00

2009 is a challenging year.

With the volatility and recovery of the economy, some are well, but some are still much affected.

Hope 2010 will be a better year for us.

May I take this opportunity to wish you and family, joy, happiness and health as we take on the year ahead.

Switching of PMI ( IncomeShield, PruShield, SupremeHealthshield, My Shield, HealthShield, etc )

2009-12-01T09:33:00.005+08:00

Every now and then, many policyholders will switch their PMI ( IncomeShield, Prushield, Healthshield, SupremeHealthshield ) from one insurer to the other.

For easy reference, there is a comparison of plans between all insurers at Ministry of Health website at http://www.moh.gov.sg/mohcorp/hcfinancing.aspx?id=11222

You can download the pdf file that will show you the comparison of benefits between insurers, though it was updated in February 2009, it should be updated next year. But this can be a reference as most insurer would have made some minor improvements over the time.

At any one time, only one "Shield Plan" is allowed, thus cancelling each other out during a switch.
My advice is -
1. Choose an appropriate plan
2. Look at options for downgrade at latter part of life ( FROM SAME INSURER)
3. PLEASE DO NOT SWITCH WHEN ONE HAS EXISTING CONDITION, BY SWITCHING WITHOUT DECLARING, IT FALLS UNDER NON DISCLOSURE, AND CAN RESULT IN DISPUTE IN CLAIMS.

My personal comment is, when a plan is switched to the other company, it is counted as new business and add on to the company's overall total, in the insurers' quest for positioning, if insurers are fighting for positioning in the industry. So you find that some will suddenly do a promotion campaign for the plan. Sorry that I am mentioning this including Income but you will see that NTUC Income promotes the IncomeShield whole year round as we believe that this plan is the basic needs of everyone. Of course the other more more valid reason is that there need to be a good base to sustain the plan.

My personal conviction is PMI ( Private Medical Insurance or Shield Plans ) are basic needs for all, and all should have at least a Shield Plan, as I have always shared. Whichever Shield Plan you have, just ensure you know the benefits and are comfortable with it. DO NOT SWITCH ONCE THERE IS EXISTING CONDITION LIKE HYPERTENSION OR DIABETES ALREADY SET IN. AND PLEASE DECLARE ALL HEALTH CONDITIONS IF YOU WANT TO SWITCH.

SRS - Tax saving

2009-11-26T17:28:00.001+08:00

Time to consider contributing to SRS.

My exchange in CPF Board Facebook on DPS definition of Permanent Incapacity against PTD or TPD

2009-11-07T22:06:00.004+08:00

Thomas Phua
Will CPF Board look at DPS Permanent Incapacity clause?Life insurance plan covers on PTD or TPD, total permanent disability. When insured lost the use of two limbs and on wheel chair, will be considered as PTD. Same condition, claim will not be paid as DPS's definition is Permament Incapacity, meaning one must not be able to continue to earn a living. Wheel chair bound insured, is not deemed as Permanent Incapacitated. This is really not fair to those insured on DPS. Should not DPS follow PTD term and condition for disability?
October 22 at 2:51pm

IM$avvy
Hi Thomas, thanks for the feedback. We will feedback to the relevant dept on this. Have a great weekend :)
October 24 at 7:57pm · Report

IM$avvy
Hi Thomas, thank you for your feedback.Members who are covered under DPS and subsequently become physically or mentally incapacitated from ever continuing in any employment may apply for claim benefits under DPS. A member who is physically/mentally inacapacitated should not have the ability to work in any form of employment. Members who are still able to perform some form of work but have difficulty in finding employment are not eligible to claim under the scheme. A person whose medical condition(s) has caused him to be wheelchair-bound, would be certified as being incapacitated as long as his conditions prevent him from ever continuing in any employment.
October 27 at 4:25pm · Report

Thomas Phua
This is the point, thank you for clarifying, I assisted in a case of wheel chair bound person, it is PTD or TPD as according to insurers' term and condition and claim was easily admitted. The same condition was rejected as DPS term it as not Permanent Incapacitated. A wheel chair bound person, is still deemed to be employable, selling tissue papers, or become a tele-marketeer because his hands and upper body is still functioning well. This is why I think it is not right that DPS defines PI as such and very different from PTD or TPD.
October 29 at 10:53am · Delete · Report

Thomas Phua
Statement from insurer is "we find reason to pay claims" Not to dispute claim on technicality. Poor chap already lost the use of two limbs and we still want to fault him on employability, this is heartless. It took first claim in 1995 to be rejected, and this year, 2009 it was rejected again, but we managed to find reasons enough to appeal and find reason to pay the claim after the policyholder retired from employment, still on wheel chair. He was on wheel chair for more than 10 years and finally paid, after overcoming the technicality of PI condition. I do not know how many cases have been rejected because of employability clause of PI. But is cruel.
October 29 at 11:07am · Delete · Report

IM$avvy
Hi Thomas, thank you for taking your time to provide us your feedback. We would like to invite the DPS member you mentioned to contact us directly at 6229-3312 if he has any further queries regarding his claim, we would be happy to clarify the details with him directly.
November 2 at 4:55pm · Report

Thomas Phua
Is okie, I managed to overcome the tough terms and managed to get the doctor for second opinion to prove him Permanent Incapacitated and claims paid after the initial rejection.My point is why DPS defines disability with PI instead of follow industry standard of PTD or TPD. DPS is a kind of term plan, and should follow PTD or TPD as in term plan condition. Afterall, DPS premium is not any cheaper than term plan today.
Wed at 5:45pm · Delete · Report

Thomas Phua
CPF Board should review the terms and conditions of DPS's Permanent Incapacity to follow what it is with commercial insurer's TPD or PTD definition. If the plan is to help the public, it should not be more stringent than any of the commercial insurer. This is not fair to the public who probably are not aware of this.
Wed at 5:47pm · Delete · Report

Handy man's store Patrick Hardward

2009-11-05T16:04:00.006+08:00

Patrick Hardware

Blk 302, #01-25, Ubi Avenue 1

I have a friend who operates a hardware shop in Ubi, if you are a handy man, this place really have huge variety of things from simple switches, tools, safety shoes, idustrial equipement, electrical and mechanical stuff.

I bought a light weight aluminium trolley and some taps and switches to change from there before.

My toilet sink is saging and I suspect the support is giving way, and true enough it was corroded, and I managed to get a set of angle support with wall plug from this shop today.

If you are a handy man, staying near Ubi, you can visit this shop. The owner of course is call Patrick.

If you are a more advance handy man, the shop has micro-switches and even o rings of various sizes. Whatever a handy man needs he probably has.

This is a good place to go, if you are a handy man.

A successful Permanent Incapacity claim for DPS

2009-10-30T22:29:00.004+08:00

(Have been receiving appreciative client's invitations to meals and even getting moon cakes for several claims lately. Wonder what will happen to me, if ever there is a claim disputed, I HOPE it will not happen. So far has been so good.)

Compliments to Mr Chew Kia Wong and Mr Thomas Phua

To: CEO

NTUC INCOME

Dear Mr Tan,

It is with much pleasure that I'm sending this email.

My experience with the recent claims that I made on my DPS and Eldershield insurance policies have been delightful for me because of two of your staff members, namely Mr Chew Kia Wong and Mr Thomas Phua.

It is not because I have been successful in my claims that I'm writing to you. You see, Mr Chew has truly been very professional in his dealings with me. Yet he has shown competence coupled with compassion. When he and his staff spotted some technical inconsistencies in the documents which I submitted to support my claims, he did not take the stance of coldly rejecting my claim outright. Instead, he gave me reasonable and valuable advice on how to mitigate the problems and thus make good the claims.

He has indeed displayed the sterling quality of an empathetic gentleman who understands the predicament of a genuine claimant.

I must also add that my agent for many years now, Mr Thomas Phua, has given me immense support by championing my claims. He has been both an agent par excellence as well as a good friend to me.In my humble opinion, both Mr Chew and Mr Phua are indeed valuable assets to NTUC INCOME and are great examples of how service should be rendered to your customers and policy holders. I should mention that the other staff members I have dealt with have also been very efficient and responsive. You should be justly proud of them all!

With best regards,

DPS - Dependent Protection Scheme

2009-10-24T09:44:00.003+08:00

Will CPF Board look at DPS Permanent Incapacity clause?

Life insurance plan covers on PTD or TPD, total permanent disability. When insured lost the use of two limbs and on wheel chair, will be considered as PTD.

Same condition, claim will not be paid... as DPS's definition is Permament Incapacity, meaning one must not be able to continue to earn a living. Wheel chair bound insured, is not deemed as Permanent Incapacitated.

This is really not fair to those of us insured on DPS. Should not DPS follow PTD term and condition for disability?

I have posted CPF Board this question. Will they give an answer on this?

Growth Plan - 5 to 10 years single premium Endowment Plan

2009-10-12T10:14:00.009+08:00

Growth Plan continue to deliver good values.

I have a policyholder with her 5 and 10 years Growth Plan maturing this December 2009 and yield is 3.136% and 4.576% respectively.

NTUC INCOME Growth Plan gives good return.

Below are examples of two of my clients's policy maturity yields.

Click on Growth Plan and you will be linked to our website for the information.

10 year Growth Plan ( I just wrote this email to policyholder )
How are you, like to inform you that your Growth Policy will mature in December with $93,861.57.

This was a $60,000 placed with us and the Yield is @ 4.576%
If you are keen to re-invest into another Growth Plan, you may want to contact me.
Policyholder: XXXXXXXX
Contact Nos : XXXXXXXX
Policyno Plan MaturityDate MaturityAmt
006885XXXX GRL1 27-12-2009 $93,861.57

5 year Growth Plan
Your mum's 5 year Growth Policy with $30,000 placed is maturing this December and it has good yield.

Maturity yield at $35,009.78 which is @ 3.136%

Policyholder: XXXXXX
Contact Nos : XXXXXXXX
Policyno Plan MaturityDate MaturityAmt
100075XXXX GRL2 18-12-2009 $35,009.78

(Click on the image below to check on the historical yield)

Ya Kun @ Orchard Central

2009-10-02T11:20:00.004+08:00

If you are in Orchard area and wants a cup of nice coffee or toast, you can head for Orchard Central level 5, there is a Ya Kun outlet there. I am quite surprised that you get such nice coffee and yet the pricing is same as in any other outlet.

Surprisingly, Ya Kun is also in Takashimaya basement 2 and Far East Plaza. Just realise this from their website.

What is the cost of IncomeShield for a child?

2009-09-25T10:21:00.004+08:00

You can click on this IncomeShield to go to NTUC Income website.

Click on Enhanced IncomeShield Premium to get the rates.

Premium for Enhanced IncomeShield Plan Basic for child is $70 per year, from parent's medisave account.

Can you see a mere premium of $70 covered the bone marrow transplant bill up to $18,000+ and other bills involving other treatment and stay during the ordeal.

Nobody wish such to happen, but when things happen, there is peace of mind to concentrate on treatment with less financial worries.

Aplastic Anaemia - Bone Marrow transplant B2 Bill at KKH

2009-09-24T16:37:00.005+08:00

This is a B2 ward bone marrow transplant bill for a 3 year old done at KK Hospital, for a 45 days stay.

If you click on the bill image, you can see the detail.

B2 rate is much subsidised by the government, if it is B1 or A ward, the bill can be about much higher.

This plan is an Enhanced IncomeShield Plan Basic plan.

Deductible is taken as $1500 and there is an earlier claim to make up the deductible, as deductible is cumulative within policy year.

The policyholder pays a 10% co-insurance as there is no Rider bought, and IncomeShield pays $18,470.68 for this bone marrow transplant claim.

PMI coves more adequately than Basic Medishield for chronic and catastrophic illness.

Thank God, this boy responded to the bone marrow transplant from the sister and has recovered well.

Does Children need insurance?

2009-09-22T23:10:00.001+08:00

I am thinking of how to write about how a child should be insured as some ask if a child need life insurance.

I have been wanting to write about this and trying to be sensitive about it.

It is more to help parents to understand the importance of Incomeshield and some insurance planning for children and at the same time trying to be sensitive over this issue.

My view is that some form of insurance planning is advisable for the child as our parental responsibility and if they grow to adulthood, then the plan will meet their needs as parents for their family too.

Incomeshield is the primary important plan and the other plan is Vivolife other than just planning for Education Plan.

Newspaper articles are so common. I know it is rather sensitive issue for some to discuss about this.

Is Basic Medishield sufficent ?

2009-09-16T15:56:00.002+08:00

Minimum one should have is a Basic Medishield and if one needs better medical care, upgrade to Private Shield Plans. My personal experience is Medishield is not sufficient if one needs kidney dialysis. I hope those who write and advocate that Medishield is enough will not continue to write from his own point of view in bitterness, as this will make those who followed his advice to face financial strain in time of need. One should understand their own needs and standard of medical care they need, to decide if Medishield or upgrade to private Shield plan is good for them rather than continue to condemn the private Shield Plan.

How CPF Life works.

2009-09-13T21:34:00.007+08:00

(Click on the How CPF Life works or the picture on the right, and at the website click the pic to get to the info)

Member who opt in CFP Life will get the L Bonus, there is no free lunch, give you first, then collect from the yield of the "premium" in the future and put in the pool.

Normal annuity do not have such penalty and the whole premium grow with the principal sum, and refund with draw down accordingly.

Will the annuity payment will better or as good as insurer's annuity.

Below are two passage from the attach booklet I extract from their website.

(From CPF Life Guide Book, page 9)

Yes. Interest earned on the RA savings will continue to be paid into the RA. Interest earned on the annuity premium will be paid into the Lifelong Income Fund and pooled with the interest earned from the annuity premiums paid by the rest of the CPF LIFE participants to provide the life long payout under the scheme.

(Look like depending on which plan, the premium interest will be "penalised" and thrown (contributed) into the Lifelong Income Fund. Premium interest are being contributed by everyone into the pool. As plan will be compulsory for those age 55 by 2013, there is no choice to opt out if one finds a better annuity plan else where)

(from CPF Life Guide - Page 8)

There are 3 LIFE plans which provide a refund of the unusedannuity premium 9 on death, namely the LIFE Basic, LIFE Balanced and LIFE Plus Plans. Under any of these plans, the full premium will be refunded if you pass away before any payout has been made from your annuity. If you pass away after the monthly annuity ... payout has started, the unused premium will be refunded. Any refund will be made to your CPF account and paid to your beneficiaries.

(so look like from page 9, members will contribute the yield of the Annuity premium to the pool once a member join in the CPF Life, refund premium will be fixed without yield?)

Based on the CPF Life book, if the premium for Plan Basic Plus, the default plan, there is a 30% of RA to be set aside as premium.

At $120,000 in RA, $36,000 will be set aside as premium and DDA draw down from 65 to 80 and life long premium kicks in.

$36,000 set aside at age 55 @2% = $59,061 at age 80

$36,000 set aside at age 55 @4% = $95,970 at age 80

The amount of yield set aside to contribute to the pool seems a tidy sum.

NTUC INCOME rebrand but remain social in purpose

2009-09-02T14:39:00.007+08:00

NTUC INCOME is undergoing rebranding to serve the customer better, meeting the aspiration of the next generation, maintaining her social purpose.

Singaporean grossly under insured

2009-08-21T09:47:00.006+08:00

If you click on the title, you will be linked to the article.

Today there is an article in the Straits Times, reporting a finding by an NTU Associate Professor that Singaporeans are Grossly underinsured.

This is a timely reminder and infact should be a constant reminder.

How well are we covered in terms of Medical, Protection & Health insurance coverage? We plan not to benefit from it, but just in case a need arises and one is not stressed out.

I am not trying to capitalise on the situation to remind you, but it has always been my motto "plan to meet your needs and not wants".

I have written several topics on Shield Plan, proper protection planning (especially on a claim case in 2005) and timeline planning for retirement and savings needs.

Perhaps it is time to review again and reflect again.

A quick calculation, if our family depend on us for $30,000 a year and our kid is young, example age 1, we need to see them to independence at age 21. If unforseen circumstances happen, we need to plan for next 20 years = 20 X $30,000 = $600,000.

Insurance premiums for $600,000 is not as high as one imagine, as proper planning with comfortable budget is possible. Talk to your trusted financial planner.

-------------------------------------------------------------------------------------------------
This is not new, infact is everyday problem.

I am thankful I covered my mum for Incomeshield and every month her dialysis is $2700 and we claim $2100 to $2400, if not it will be very serious financial burden.

My widowed client came to our agent event last month, invited to speak to us on how she benefitted in 2005 when her husband passed away leaving behind a 3 and 5 year old daughters, and the whole meeting broke down, because we are reminded once again of our role to plan for the needs of our clients. I admired her spirit and courage to come because she did it with hope that her testimony can benefit others. I had a DVD of her speech, but could not upload it as file size is too big.

Planning needs common understanding.

I am always prepared to listen and discuss if any one wish to see me for review.

Some time I think some clients are overly suspicious of agent's intent.

Yes, we need to earn commission, but it has always been mission before commission for me.

If you have big gap and big needs, I earn big commission.

But those who cannot afford, is commission a bother to me? I would be at peace if I can meet their needs in planning, even if I do not make much out of the commission.

Most of all, I like my client to treat me as a friend.

100,000 women lack Medishield

2009-07-27T19:45:00.001+08:00

Sunday Times headline, "100,000 women lack Medishield" and I believe many more children also are not insured.

Shield Plans are basic needs for everyone, as I have always been advocating.

I hope with this article, more can be more aware of the need to consider the Shield Plan.

One Shield Plan

2009-07-07T08:51:00.001+08:00

Few weeks back,Stanley Jeremiah wrote in the Straits Times forum that insurers should act responsibly in the interest of policyholders for medical plan.

With so much competition for the Shield Plan after CPF Board divest it out of their care since 1994, I wonder should CPF Board appoint ONE insurer to manage it as national health plan than to open it to competition eroding the values of the plan and cost of managing it.

Since 1994, the plan has evolved to what it is today through competitions which is good, but if it is being fought on further, cost of the plan may be high.

My wish is that one day, there is one worthy insurer to operate this Shield Plan as a national health plan concentrating on meeting the needs of the people.

Competition over this plan also confused and delayed some who did not take up Shield Plan until too late.

Perhaps make it compulsory as a opt out plan. I rather that people have Shield Plan than Eldershield as a priority.

Ten Financial Tips for Everyone

2009-06-03T21:07:00.013+08:00

Ten Financial Tips for Everyone - Tan Suee Chieh

1. Be a super saver, not a super spender. Savings should come first before spending, and it should take first claim on your income. Saving what is left after spending does not work. Saving should rank as high as staple needs like rental, food, and other commitments and certainly above luxuries such as holidays, and entertainment. If you are unable to do this, you have to adjust your lifestyle. Acquire assets and not liabilities. Credit cards, cars, and club memberships are all liabilities.

2. Start early. Start saving early, but it is never too late to start. My grand dad used to tell me that it is what you save and not what you earn that will make you financially secure. Everyone must save at least 10% of their income, preferably 20% to 30% of your income.

3. Basics first. First plan for emergencies, illness, disablement and death. It is important to have term and health insurance. Purchase your insurance when you are young because it is much cheaper. NTUC members should get NTUC Income’s LUV plan – which is a low cost insurance coverage for the entire family. Our Incomeshield is an excellent health insurance plan that covers hospital bills. i-Term is the best and lowest cost term insurance plan in the market today. Do not hesitate nor delay in getting these basics. If you do, it is like going on a long car journey to a remote area without sufficient gasoline or spare tires. It is simply asking for trouble.

4. Education and retirement are important building blocks. Always plan for your children’s education and your own retirement. This is best done by saving regularly (monthly) for long periods. The best plans for these are life insurance, investment linked plans and unit trusts. Consult a financial advisor or someone you trust for advice on this. Be committed to finish a plan once you have started on it.

5. Do not be greedy or let your emotions rule. Do not be tempted by high returns as high returns always mean more variability in returns (risks), and sometimes no return. You must also understand your own tolerance of risk. Do not be swayed by emotions when making financial decisions as they cause you to make the wrong turns. Remember, there is no such thing as a free lunch. In any event, a good rule is never test the depth of water with both feet, i.e. do not risk everything you have in one go – risk only money you can afford to lose. And certainly, do not borrow to invest – they call it leverage.

6. Have no fear; Long term means you can take a bit more risk. Equities carry higher risk than bonds. But if your saving horizon is longer term, say 20-30 years, then you can have more investments in equities. Typically if your age is x, you can take say 100 –x in equities. So if age 45, you can take 55% (100-45) in equity. The rest should be cash or bonds or with profits insurance products. However, if you have a lower risk appetite or you are nearer retirement, use 85-x. In any event, a good rule is never put all eggs in one basket, i.e. diversify!

7.You are no expert. Do not buy stocks directly, unless you are a financial expert or are prepared to spend a lot of time managing your stock portfolio. If I were to invest or realise a lump sum, I believe in averaging in and averaging out. For example, if I have $100,000 to invest, I will break them into ten installments and spread them over ten months. Similarly, if I want to sell something, I will tend to average out, for example, selling 20% of the investment at a time. In doing so, I minimise my risk. The truth of the matter is that no one knows the market top or market bottom. Neither do I. Remember, it is not timing the market. It is time in the market that matters.

8.Simplify your life and own only what you need. Have interests, not possessions, which enrich your life, and go for meaningful value rather than quantity. Buy things which last and which really give you pleasure. Do not buy things just because they are cheap. Never buy something just because somebody else has got it. It is silly and will not give you happiness. If you buy things you don’t need, you’ll soon sell things you need. And, never buy or spend on credit unless it is for your own property. It is possible for most of us to have a good life in Singapore without being super rich.

9. Your greatest asset. Your greatest asset is not money. It is you. Take care of your physical, mental and spiritual health and the well being of all your relationships. That also means buy all the term, disability and health insurance you need. And remember to help others less fortunate than you.

10. Be inspired. Read good books and guides. , Some of best books I have come across on the subject of personal financial planning are The Millionaire in You by Michael LeBouef, Rich Dad, Poor Dad by Robert Kiyosaki and How Much is Enough? by Arun Abey. Besides reading, talk to the right people for knowledge and inspiration.

Shield Plan - Do it !

2009-05-20T09:34:00.002+08:00

I have always been very passionate about the importance of a proper Shield plan ( hospital & surgical plan).

When I wrote private shield plan, I am referring to Healthshield ( AIA ), PruShield ( Prudential ), SupremeShield ( Great Eastern ) ,MyShield ( Aviva ) and Incomeshield ( NTUC Income ).

At any one time, there can be only one Shield inforce, and it will replace each other out if one Shield is taken.

Not many know that by taking another private Shield, it will replace the existing Shield plan that you have.

So be careful when you decide to switch, be careful to declare any existing illness but my advice is if one has any chronic illness, stay put, like diabetes, hypertension etc, as exclusion on switching is to the disadvantage of policyholder, unless the insurer covers it, which is HIGHLY unlikely unless one has supporting medical report that is positive.

It is not wise to swing here and there, because any existing illness not declared, will fall under exclusion, so be very careful if you switch from one Shield to another Shield. Many ethical agents will advise you on this except rookie agents who do not know what they are doing and only keen to do a case, I am sorry that I have to comment on this. But such agents are now few in the market.

I will advise upgrading from CPF Basic Medishield to any Shield Plan as medical cost will be high forward.

If you noticed, I always write "take any Shield Plan that you are comfortable with". Check the benefits and get one that suits your needs and go with an insurer you are comfortable with. Bear in mind agent is not important as we will one day retire or have to leave industry because we cannot meet the target. We are as useful as we are around. So choose an insurer you are comfortable with.

To me, as a beneficiary of the plan because my mum is currently claiming for dialysis, I am very thankful for Incomeshield.

It is very tedious to contrast and compare, as most may have almost same benefits.

Do not compare and contrast until cow come home, at least take on a plan for safety first and do whatever comparison later and switch, if you have no time now. Like my muslim client wrote "Just do it ! Mati pun mahal"

So take one Shield Plan that you are comfortable with, though I want to say Incomeshield is the best. But it depend on which insurer you want to trust.

Incomeshield has been the first such plan since 1994 and we are there for a social purpose, and with it, competition for the plan came after year 2001. Shield plan was supposedly a plan insurers are not keen to offer and Income was the only insurer carrying this burden from 1994 and for commercial reason, competitors start to join in, which is good that Incomeshield is much improved and to me is the most comprehensive plan.

My parting word is, be kind to agents selling Shield Plan, it is really for service only.

IncomeShield - Just Do It ! "Mati pun mahal"

2009-05-13T17:42:00.008+08:00

I have many clients who made claims from IncomeShield and most are very pleased.

Insurance is done for peace of mind, even though one do not claim against it for years, but for that one moment, it will give you peace of mind that you are COVERED.

Below is a testimonial of one of my client(with her permission) whose claim experience gave her a sense of security in Incomeshield. She is my muslim client.

Her message is "Just Do It!" "Mati pun mahal"

------------------------------------------------------------------------------------------------- Salam brothers & sisters,
I have something to share........ I highly recommend to all must buy NTUC IncomeShield policy at least a basic plan B or higher.

Thomas is my family friend and our NTUC Income agent who takes care of all our insurance needs, savings, critical illness, medical, education, car, house, investment you name it.

His article 3 below is Xxxxxx's hospital bill claim. Within one week I received an email saying that this amount has been paid to Mt Alvernia and I will be getting a refund from hospital soon, Alhamdulillah.

The balance claim will come from AIG (by RIJC) which till now I do not have any news yet.

Honestly, the premium for NTUC IncomeShield B plan is small (from Medisave with some cash adders) and I just bought the policy two years ago, Alhamdulillah. One of my friend bought NTUC IncomeShield Enhance plan and recently removed some tumour in his kidney at Mt Alvernia and stayed in class A single ward. His bill was fully paid by this plan too including the pre & post surgery.

I always believe in medical coverage since we are leaving in an expensive city called Singapore. "Mati pun mahal"

I know some of my brothers and sisters are planning to buy medical plan but not sure which one. So, for those who are hesitating to get covered, Just Do It!

Thank You & Best Regards,
Wassalam
Xxxxxx

Integrated screening programmme - Health Screening

2009-05-12T13:28:00.004+08:00

When you receives this letter, it means you have arrived ( ageing ).

This is a good initiative to get citizens to be checked and to manage their possible chronic illness.

A health screening program for :-

1 .Obesity

2 .High Blood pressure

3. High Cholesterol

4. Diabetes

This is carried out by Health Promotion Board, which is good, but my advise is, if you have not done your Shield Plan or reviewed your critical illness coverage, please do so before attempting to do the health screening.

Do not get me wrong, if you come out of the test with flying colours, good for you.

But if the test is not so ideal, insurers will impose special term if you decide then to take up a plan.

So my advice is review your medical and health insurance properly before you go for the health screening.

Is Basic Medishield sufficient for lifetime?

2009-05-12T13:20:00.005+08:00

MediShield is an individual catastrophic medical insurance designed to help Singaporeans pay part of the large hospitalisation bills for treatment of serious illnesses or prolonged hospitalisation at Class B2/C in restructured hospitals.

Do take a look at the CPF Board Medishield Plan.

Click Basic Medishield and it will lead you to the information page in CPF Board Website. Click on the questions as it has hyperlnk to answers.

Max coverage is up to age 85. Private Shield Plans provide lifetime coverage.

Basic Medishield is the least that one should have, but bear in mind it is not lifetime cover. I hope it will be improved to lifetime cover since private insurers ( Incomeshield ) already offered lifetime cover.

Shield Plan is a basic lifetime backup

2009-05-12T12:51:00.005+08:00

Shield Plans are important plans, be it CPF Board Basic Medishield ( c0vering C ward and B2 ward level ) or any private Shield Plans ( Enhanced Incomeshield, etc ).

Some people think that they are provided medical coverage by employer, so there is no need for it. I have a friend, who thought so.

She worked in a company that provided medical benefit, so she works till in her 50's and was diagnosed to have cancer. Well, the company benefit covered her, but up to a stage when she is too weak to continue, she has to stop work.

She did not have a Shield Plan, not even Basic Medishield, because she terminated it, thinking employer already has the insurance for her.

It will be too late to consider a Shield plan at her condition, and her family has to bear the cost of her treatment.

Shield plan to me is a lifetime backup, whether it is Basic Medishield or private Shield plans, one should have it in place. Never mind if one is healthy and paying "donation" to the plan.

The many type of bills posted below also tell you how such plans can compliment bills not paid fully by other plans and how it can lighten medical bill burden.

I have also posted my own mother's monthly dialysis bill which will not be sufficiently covered by a basic medishield if one has kidney failure, as the limit of cover is higher from Incomeshield.

In particular, only kidney dialysis, Incomeshield will cover it with better benefit of cover than a Basic Medishield.

There is a popular blog that advised only Basic Medishield is sufficient, and I hope he will be more responsible in his personal advice. I present my own mother's monthly dialysis for information, and if I use Basic Medishield, the claim limit per month is $1200 as compared to $2400 per month for Plan B of the Incomeshield.

Shield Plan is a basic lifetime back up. Plan for peace of mind.

Enhanced IncomeShield Plan Prefered

2009-05-12T12:43:00.007+08:00

This is a Enhanced IncomeShield Plan Prefered plan, which covers up to any private hospital care. The client insured her mother under this plan, with a Plus Rider (old rider), and the operation was covered 100%. ( Click on the bill imagine for details )

Appropriate plan for appropriate care with Assist Rider is beneficial for those who has no proper medical coverage.

Plan B ( old plan ) Plan Basic ( Enhanced Plan )

2009-05-12T12:33:00.002+08:00

This is a bill for 2 surgical operation procedure done at SGH at class B1 ward.

As the bill is old Plan B, it has caps and limitations.

As this insured does not have the Plus Rider, there is a deductible of $2000 and 10% co-payment that she is responsible for. The Deductible shown in this bill is less that $2000 because in her earlier hospitalisation, there was a bill of $1779.23, so this subsequent operation made up the balance to $2000.

As the old plans has caps in each item, the claim payout only reimburse to the limit of cover.

If she has insured under Plan Basic, the bill would have been paid more as Enhanced Incomeshield Plan is a "as charged" plan.

It is advisable to consider the Enhanced Plan with "as charged" cover.

Sports injury - keyhole operation to repair knee liagment at private hospital

2009-05-12T12:26:00.006+08:00

Most knee sprains are minor and recover fully after a short period of rest. If the knee is still swollen, painful and limited in its ability to bend after a few days, or it feels wobbly and unstable, it is more likely that the knee has sustained significant injuries which should be attended to.

Soccer and basketball players constitute the majority of patients who sustain serious damage to the knee. Most commonly, the anterior cruciate ligament is torn as a result. Many sportsmen report a ‘pop' sound during the injury with the knee buckling and giving way. There is usually swelling of the knee within the first few hours.

This bill comes from a client's daughter who is active in sports. (Click on bill image for details)

The claim is paid half, because she is covered under Enhanced Incomeshield Plan Basic.

If a patient choose to go to a private hospital, the plan has a pro-ration of 50%, this is the reason the bill is settled with 50%.

Insured is a student, and balance will be claimed against school insurer as injury is sustained in a ball game.

This plan is Enhanced Incomeshield Plan Basic with Plus Rider.

Endometriosis Bill Size ( KK Hospital )

2009-05-12T12:14:00.005+08:00

Endometriosis (from endo, "inside", and metra, "womb") is a medical condition in women in which endometrial cells are deposited in areas outside the uterine cavity. The uterine cavity is lined by endometrial cells, which are under the influence of female hormones. Endometrial cells deposited in areas outside the uterus (endometriosis) continue to be influenced by these hormonal changes and respond similarly as do those cells found inside the uterus. Symptoms often exacerbate in time with the menstrual cycle.
Endometriosis is typically seen during the reproductive years; it has been estimated that it occurs in roughly 5% to 10% of women. Symptoms depend on the site of implantation. Its main but not universal symptom is pelvic pain in various manifestations. Endometriosis is a common finding in women with infertility.

( Info from Wikipedia http://en.wikipedia.org/wiki/Endometriosis )

This bill ( click on the image to see the details of bill ) is covered with Enhanced Incomeshield Plan Prefered with Plus Rider.

Bill is fully paid. The cash benefit is paid in lieu of the fact that policyholder stayed in KK hospital A ward. Plan Prefered covers up to private hospital care, so if policyholder with the rider stays below the plan bought, a daily cash benefit is paid. Click Incomeshield for more information.

Hysterectomy hospital bill 2009

2009-04-29T09:19:00.011+08:00

A Hysterectomy is the surgical removal of the uterus, usually performed by a gynecologist. Hysterectomy may be total or partial . It is the most commonly performed gynecological surgical procedure.

This is a 10 day stay at A ward, KK hospital with a Hysterectomy settled by Incomeshield.

Enhanced Incomeshield Plan Prefered with Plus Rider, but since KK is a restructured hospital,
thus a cash benefit of $125 per day, total $1250 for 10 days is paid on top of settling the bill.

Enhanced Incomeshield Plan Prefered covers up to private hospital care, since insured has the operation done at restructured hospital, an addition cash benefit of $125 per day is paid on top of settling the bill. This benefit is provided, if Plus or Assist Rider is added to the plan.

Click on the image if you need to look into the details.

Good News

2009-04-15T11:11:00.002+08:00

NTUC Income Maintains Payouts for Life Policies in 2009

As a result of the bonus restructuring last year, NTUC Income is able to maintain yields and payouts for life policies in 2009, despite the financial crisis. This year, the restructuring will be extended to other participating policies.

For the full media release, please go tohttp://income.com.sg/aboutus/releases/2009/mar27.asp
For Frequently Asked Questions, please go towww.income.com.sg/aboutus/bonus/2009

(Click on the picture for details)

Kidney Dialysis covered with IncomeShield

2009-04-12T23:42:00.004+08:00

This copy of a monthly kidney dialysis belongs to my mother.

I am not capitalising on this to tell you to get IncomeShield. If you choose a Shield Plan, make sure the chronic outpatient treatment part, especially for Kidney Dialysis has sufficient cover for the kidney dialysis as it is one long term treatment that will be costly.

I am thankful that my mother's kidney dialysis bill is cushioned by Incomeshield, typically a month cost $2700 and Incomeshield pays about $2400.

Imagine if I have not insured my mother on IncomeShield, to shoulder the bill with my siblings will be very heavy.

With the burden of the medical expenses behind us, we concentrate on taking care of my mother.

I have always have this one advice, whichever Shield you are happy with, please take one.

I have to advice that CPF Board Basic Medishield is not able to cover kidney dialysis sufficiently.

You can click on the bill to look at the details of it.

Cactus Flowers

2009-04-08T08:56:00.009+08:00

Bloomed on 24th March 2009

2009-04-07T22:04:00.002+08:00

This morning, I read the papers and saw a client in the orbituary, he is age 70.

Just last month, he called me, to do a travel insurance for him and his wife to visit his son in Taiwan.

He has always been a jovial and positive person. Happy and feel blessed to have a good family.

He will make me a cup of coffee whenever I visit him and we will have a good chat.

Goodbye Henry, I will miss your cup of coffee.

Do your Shield Plan proper before a routine checkup

2009-04-03T10:38:00.002+08:00

Before you do start to do any routine regular checkup, say from age 40 or 50 onwards, for chronic diabetes or ladies to start to do mammogram , do ensure that your medical plans are already properly in place or upgraded to proper Shield Plans before doing any such routine regular checks. Reason being if anything is fished out, it will be too late to do upgrade or the plan, as exclusion will be imposed on existing conditions.

Or if you are considering to review the critical illness plan, do it before such routine check. I am not saying anything will surely happen during a routine check, but do ensure all necessary plans are reviewed before doing such milestone checks.

Here is a lament of normal routine check -
"I should have upgraded my medical insurance plan last year to Plan A or even Plan P. Sigh…delayed and ended up may not be able to do so. What has happened to me? You know, I did my mammogram last Dec 28 and got a very unpleasant result on March 09. It says that my mammogram shows some changes and requires further investigation and it was during the CNY period. So damn worry and instead of going back to the Health Science Authority – Breast Screening Centre, I went to my company’s doctor. Was sent to do a re-scan and ultrasound. The re-scan mammogram was ok but the ultrasound shows some small nodules and one small cyst. Thus doctor sent me to a SGH specialist and she said that I should have gone back to HAS because they will just do another mammogram which is quite common for a lady of reaching 50. Now, it is not for the mammogram but ultrasound that I have to go back in 6 months’ time for a review"

PICK A TREAT PROMOTION - click on the picture

2009-04-01T13:01:00.001+08:00

2009-03-14T21:59:00.001+08:00

Incomeshield Plan ( Click on it for more information )

Confirmed - Successful liar wins !

2009-03-11T10:30:00.004+08:00

CONFIRMED.

I got a client who met with an accident, and TP (the other party) lied and turn the report from minor road to main road situation when TP came out of minor road to hit OI (my client)'s car.

TP report it as parallel on main road and sued OI, and instead of being at fault, it become 50-50. Well, in the court of law, the judge see it as one man's word against the other.

SUCCESSFUL liar wins ! Does that mean judge is being misled and insurers are suckers?

Well, this world has many who has no integrity, when come to accident, their moral integrity is just down the drain. Of course, there are also those honest one and it make things easier for all.

My advice to my client is always report with integrity and we will assist.

Who is the greatest crook? First, the liar, then the workshop who probably taught the lady to lie, and then engage lawyer who acted to fight the case in court.

Who is the loser? All policyholders, as more fees has just been paid to the lawyer and workshop for the claims. Not the fault of the insurer, but the liar and surely something is wrong with the claims framework.

Successful LIAR can win accident claim

2009-03-04T10:33:00.002+08:00

I noticed some time successful LIARS win a claim when they file an accident claim.

We can see that in an accident, integrity of a person went down the drain, even in situation when a victim died. They will lie until case is over.

It is very sad and very unfair to the deceased family members having to file civil suit.

There is no penalty for one filing such false report, even after investigation found them guilty and report is incorrect and pack of lies.

Problem is they normally got a fine and insurer pays the damage.

Worst, some time the LIAR is successful and win the case as well.

If the law will punish the liar motorist if found to be making false report, I am sure more motorist will not dare to lie in reporting.

Something is wrong with this aspect of accident reporting that the law should come hard on liars and people will think twice about twisting reports.

Perhaps GIA should work with the police on this aspect of false report, if proven.

Do not forget to put on seat belt when driving in Malaysia

2009-03-01T21:52:00.002+08:00

The Malaysian traffic police have their eyes wide open to catch your rear sear passengers for not wearing seat belts. It is by per passenger that they will be fined. And obviously, you know how to get out of the situation. So beware if you are driving in Malaysia, do not forget to buckle up. By law, they are doing their duty but.....why risk getting fined.

Seat belt rule in Malaysia is harsher than what I thought - Jail term 1 year
(From their press release found in internet)

PETALING JAYA, MALAYSIA: The Road Transport Department (JPJ) and police will start issuing summonses from Jan 1 to all passengers for not wearing their rear seat belts.JPJ director-general Datuk Solah Mat Hassan said vehicle owners and passengers would be given a six-month grace period during which they would only be issued a compound of RM300 for not wearing their rear seat belts.

From July 1, drivers and passengers caught not using their seat belts would have to pay a fine of up to RM2,000, serve up to one year's jail or both under the Road Transport Act, said Solah.

Medishield and private Shield Plans are important plans

2009-02-26T17:42:00.006+08:00

I will quote to you 2 scenarios on how Private Shield Plans are basic important plan in life.

(Insured with Incomeshield)
( Scenario 1) - My own mother is now on kidney dialysis. If not for the fact that we have a few siblings, the burden can be heavy, even with Incomeshield in place. But Incomeshield is really the plan that cushion off the burden in large proportion for my family.

In Singapore, dialysis in a private dialysis centre cost about $2300 to $2700 depending on frequency and Erythropoietin medicine. Incomeshield Plan Basic pays for up to $2400 per month for dialysis.

Basic Medishield pays up to $1200 a month.

Only in particular for dialysis, one need to take a Private Shield Plan as Basic Medishield cannot meet the need of dialysis treatment.

Reason being in Singapore, there is no government restructure dialysis centre, and most are classified under private, which quite badly impacted basic medishield claim limit as well as some Private Shield Plan claim limit.

(Scenario 2) - If one has no Incomeshield it is really very hard. Yesterday, I brought my mother to visit a distant relative in Yong Peng, Malaysia, she was blinded by diabetes and kidney failed 6 years ago and now on kidney dialysis.

Life is tough in Malaysia, a session of dialysis cost RM220 and after discount is RM170. Twice a week. Erythropoietin drug injection cost another RM60 a week. total RM400 a week.

They live in Kampong, and the children has to bear this cost, which is rather hard on them.

We are fortunate in Singapore, that we have proper insurance scheme like Medishield or Private Shield Plan to help us. But the sad thing is people still do not see the reality of life.

Many people do not appreciate the reality of our blessedness in Singapore.

As I write this in my blog, there are people who will write to me that I am capitalising on my mother's case to sell insurance, can u imagine that? But I still feel the need to write.

Stay Cool in event of an Accident

2009-02-20T10:41:00.004+08:00

Some time in event of an accident, it can be frustrating and stressful.

I like to advice that in event of an accident, before vehicle is shifted away from scene, to try and take picture of the scene, if it does not cause danger to you.

I can only say that in this world, there are lots of great liars around.

Their report can turn from black to white and whatever colours they can too.

I have been handling claims liaising for clients with office, and some claims are just ridiculous.

Example,
1. My own brother, hit by a taxi coming out of minor road, the taxi driver reported my brother hit his taxi, speeding. It took me 3 years to use a lawyer to sue him and got some compensation for injury. Imagine my brother nearly died and the taxi driver has the conscience to report otherwise.

2. A client's car got hit, same by a car coming out from minor road, collided onto his side left rear back. I was asked to assist in private settlement, went to a workshop with client, but the other party do not want to pay, so we decided to claim insurance. Hold and behold, the other party initiate a claim with a writ of summon, and she ( imagine a lady ), reported that while her car was parallel on the road, my client's car, cut into her lane, result in her car collide into his side left rear back. Such lies will become a 50-50 case or even she winning the case.

But she is stupid not to realise I was with client at workshop and in court I can be called up as a witness. I told the client, yes, submit my name to the court and I will be there.

There are simply many scenarios. Just report any accident with integrity, if you are right, insurer will defend, if you are at fault, insure will pay the claims.

But bear in mind, some time the LIAR wins, even though you are RIGHT.

Just do not be too stressed, even if lost to a great LIAR.

Car Rear Passenger seat belt campaign

2009-02-01T18:42:00.004+08:00

Very interesting and creative rear seat belt campaign, play it and have a good laugh.....

2009-01-24T20:49:00.005+08:00

恭喜发财，万事如意，身体健康，心想事成!!

( Maxims of Warren Buffet )
We begin this New Year with dampened enthusiasm and dented optimism. Our happiness is diluted and our peace is threatened by the financial illness that has infected our families, organisations and nations. Everyone is desperate to find a remedy that will cure their financial illness and help them recover their financial health.

They expect the financial experts to provide them with remedies, forgetting the fact that it is these experts who created this financial mess.

Every new year, I adopt a couple of old maxims as my beacons to guide my future. This self-prescribed therapy has ensured that with each passing year, I grow wiser and not older. This year, I invite you to tap into the financial wisdom of our elders along with me, and become financially wiser.

Spending: If you buy things you don't need, you'll soon sell things you need.

Savings: Don't save what is left after spending; spend what is left after saving.

Hard work: All hard work brings profit; but mere talk leads only to poverty.

Laziness: A sleeping lobster is carried away by the water current.

Earnings: Never depend on a single source of income.

Borrowings: The borrower becomes the lender's slave.

Accounting: It's no use carrying an umbrella, if your shoes are leaking.

Auditing: Beware of little expenses; a small leak can sink a large ship.

Risk-taking: Never test the depth of the river with both feet.

Investment: Don't put all your eggs in one basket.

I'm certain that those who have already been practicing these principles remain financially healthy. I'm equally confident that those who resolve to start practicing these principles will quickly regain their financial health. Let us become wiser and lead a happy, healthy, prosperous and peaceful life.

- Warren Buffet

2009-01-11T21:38:00.002+08:00

Means testing starts on 1st Jan 2009

2009-01-02T20:06:00.002+08:00

Those in B2 and C class wards will be asked to consent to checks on their income.

PATIENTS warded in B2 and C class wards in public hospitals from today will be means-tested to determine the level of subsidy they will get.

2009-01-02T18:55:00.002+08:00

H ours of happy times with friends and family
A bundant time for relaxation
P rosperity
P lenty of love when you need it the most
Y outhful excitement at lifes simple pleasures

N ights of restful slumber
E verything you need
W ishing you love and light

Y ears and years of good health
E njoyment and mirth
A ngels to watch over you
R emembrances of a happy year!

Limited Premium wholelife vs normal wholelife policy

2008-11-19T19:08:00.006+08:00

There are some independent Financial Planner or adviser who advice limited premium wholelife plan is better. Sure but if one already has a normal wholelife, does it mean one has to give up a normal wholelife plan to take a limited premium plan? This is actually attempt to churn policy.

In the name of Financial Planning and advice, some Financial Planners with independent Financial Advisory company may do a review and introduce limited premium Wholelife Plan and advise on terminating normal Wholelife plan.

I wish the limited premium wholellife plan was introduced earlier that I may also take a plan that covers me wholelife and I pay the limited premiums, say for first 10years, this is Vivolife.

In earlier days, wholelife plan like Protection Policy and Living Policy will need premium to be paid wholelife. Vivolife still has the option to pay wholelife.

I want to let you know that the Annuity conversion option in the wholelife plan is useful.

Here is an example ( refer to two illustration below ) of a $100,000 wholelife plan, and premium payable wholelife. When you reached age 65 and assuming if you surrender half the policy to convert it to Annuity Option, you can draw on annuity payment of $3214.40 per year, which you use to pay premium of $1944.15 which is more than enough.

You may also choose to convert 30% of the cash value to annuity to just meet the annual premium and continue the plan with good coverage.

NTUC INCOME's wholelife plan has an option to convert to Annuity after age 60 and this is useful for current policyholders who has wholelife plan that when they are at age 60 and beyond to have the option to choose to convert part of cash value Annuity Plan to continue payment of premium, this is possible, so this then will ease the burden of paying premium as well as to maintain a coverage.

This is not worst than the current limited payment wholelife plan.

So the next time you meet a financial adviser or planner who tell you they represent a few insurers giving you independent advice, and to switch to a limited premium plan for older plan, be mindful of this annuity option that can be used then.

I know of policyholders who gave up wholelife plan just to buy a limited premium plan, after 10 over years inforce, this is ill advice of a planner and is simply self interest and not to the interest of policyholder.

This is also what we call churning. This is my personal advice and if you are asked to give up a normal wholelife plan for a limited premium plan, please consider again. You can have another plan, but there is no necessity to churn one policy to take up another one. This is for whose interest, in the name of independent advice?

Do not be a burden to the next generation

2008-11-07T15:41:00.002+08:00

As I have written before, kidney dialysis cost about $2400 a month. The impact of dialysis a year is $28,800. This is not a small figure if it is for a year, but with the uncertainty of how many years one need dialysis, the impact is quite great if for 10 years, the cost can be $288,000 not counting other medication and followup treatment.

Most of the us may have only 1 or 2 children, some may have more, but will this be a big burden for them to bear in time of need? Or are we prepared with such cost?

Will the next generation be able to shoulder such unforseen situation? The answer is quite obvious, even if one can afford it, the cost is quite a concern.

Other kind of treatment will be cancer, stroke or heart problem, with long term treatment and medication, the cost can be quite high.

I am not trying to scare you, but from my own experience, I am thankful that I have at least an Incomeshield in place for my mother that can cushion off the bill, though the co-pay of 10% is still needed. And I have 5 siblings with me shouldering the cost, which with the Incomeshield is not a burden and I am very thankful that I insured her since 1994 for Incomeshield. Every month the cost of dialysis and other cost is $400 a month, this is far cry from $2400 if without Incomeshield.

How can we not be a burden to the next generation and to take care of our own needs?

Basically, I have been writing about the need for Vivolife Plan , a wholelife dread disease plan that covers any lost of live, permanent total disability or on diagnosis of specified 30 dread diseases.

Incomeshield or any Shield Plan will then be the most basic plan that every one should have. I can say, without a life plan is still not as bad, but without a Shield Plan is disastrous.

I hope you will consider to review your family's plans to cater to future needs, so as to have peace of mind and not to burden the next generation or come to a stage when financial problem will set in, in event of a chronic illness.

I am sorry to be so straight to the point on this, as my experience with my own mother, has opened me up deeper into helping others to plan better.

Many are willing to pay instalments of $1000 a month to pay for a car that will go to scrap yard in 10 years, but to set aside $200 a month or so in a good plan for the financial security and peace of mind of a lifetime, many are no so willing. Why?

Vivolife also has a limited premium term of 10 years, to cover one wholelife.

When you buy a car, it is so much more expensive and goes to scrap in 10 years, but with a fraction of your commitment, you are covered wholelife after paying premium for 10 years as well. Which can drive you further?

I hope you can see the reality and priority of such plan.

Understand what you have been sold

2008-10-28T08:49:00.004+08:00

This bancassurance and financial product sold through the banks, need more supervision.

I have written before, go to the bank with your older relatives or educate them on the need to understand what is sold to them.

If mis-selling is to be probed further, other products will also surfaced.

Many years back, a client's mother age 56 walked into a bank and was sold Anticipated Endowment without her knowing it is an insurance product with phrase "auntie, u put $3000 a year and every three years u get $1000, isn't this better than interest?" Auntie signed up and on year two her daughter felt something is wrong and asked me, and I told her it could be an anticipated endowment, and true enough it was. How can a housewife age 56 be able to pay $3000 a year for next 15 years? She then realised she was sold an insurance product just like that. She ended up having the policy lapsed as she cannot afford the second year premium.

Just 3 weeks ago, my 57 year old client told me the same story, she went to U.. Bank and wanted to renew her FD, and was sold a 10 year endowment with 5 years limited premium , and premium is $10,000+ a year. When premium due notice arrive this month, she was caught, and asked me how she can afford $10K a year forward? I advised her to seek FIDREC since U.. Bank is not solving the problem for her, keep delaying.

Today, in the name of independent financial advice, some are reviewing policies of clients and in the name of financial planning and analysis are advising replacing of policies subtlely. Some riders may not be appropriate, but definitely not plans that have been inforce for a long time, even CPFIS Endowment plan has been advised by so call, Financial Advisor to be terminated, and reinvest to other plans. For whose interest when such policies are being churned?

These are but just some of the stories we heard every now and then, Mini Bond and High Notes are just the high points of events.

More has been misled but not knowing how to seek re-dress and have been suffering in silence by bancassurance and banks selling financial products.

My bank relationship manager called me for MiniBonds too, I was caught in a few restructured products before, don't laugh, you can see we ourselves can also be misled by the relationship managers. I have asked specific questions, but answer were pack of lies until I discovered too late from the fine prints, by then, they argue with me that it was not said and the fine prints stated it, in relation to 100%principle redemption if I terminate in between. It was really a lie, and I thought I can trust them then.

MiniBonds was recommended to me as bonds, but my question to her was how it can be 5.1% when coupon rate for most bonds are about 3%.

This time round, I was fortunate that I did not place money in the MiniBonds as I remembered the lies they told me before.

All of us have to bear in mind to plan with the interest of our client at heart. Especially for the more elderly. It is hard earned money that we should not hard earn from them. Recommend appropriate plan for the interest of policyholders.

I can only say, your sin will find you out.

How is your standing forward in this current financial turmoil?

2008-10-21T09:57:00.001+08:00

Have you ever plot your assets and insurance maturity along a time line to give yourself a picture of your financial standing forward? If you click on the above image, you will see the time line chart in better detail.

In this financial turmoil, have you plotted out your finances and assets to see how your future will be affected?

The timeline chart drawn, can at least tell you what is available forward in worst case scenario.

It is good to plan ahead to have insurance savings plans to leap frog ahead towards retirement. Ntuc Income has single premium endowment plan, Growth Policy, that gives good yield over the years. This couple also has investment linked funds and other insurance coverage as well, not shown in this time line.

You may want to click on this line for Growth Policy

What is dollar cost averageing and who is buying now?

2008-10-14T13:52:00.004+08:00

How many crisis have we been through?

2008-10-14T13:46:00.002+08:00

Click on this chart to see.

FIDREC

2008-10-14T13:41:00.001+08:00

I have written before to go to the banks with your folks, and just last week, I have a client who was misled into buying an insurance product walking into one of the bank to renew her FIXED DEPOSIT.

One can seek redress from the insurer, but some time it is frustrating and no solution is given.

I am writing to you this avenue, in a way, you can also use this against me, if I fail you in the future.

Go to FIDREC website and seek resolution for such mis-selling, if you have folks who are being misled or mis-sold a product not of their understanding.

The website is at http://www.fidrec.com.sg/website/faq.html

The Financial Industry Disputes Resolution Centre Ltd (FIDReC) is an independent and impartial institution specialising in the resolution of disputes between financial institutions and consumers. FIDReC subsumes the work of the Consumer Mediation Unit (CMU) of the Association of Banks in Singapore and the Insurance Disputes Resolution Organisation (IDRO).

FIDReC provides an affordable and accessible one-stop avenue for consumers to resolve their disputes with financial institutions. It also streamlines the dispute resolution processes across the entire financial sector of Singapore.

FIDReC provides an affordable avenue for consumers who do not have the resources to go to court or who do not want to pay hefty legal fees. It is staffed by full-time employees familiar with the relevant laws and practices.

FIDReC was initiated by the financial sector to make its services more professional, transparent, customer focused and service oriented. It was officially launched on 31 August 2005 by Mr Heng Swee Keat, Managing Director of the Monetary Authority of Singapore.

Proper planning towards old age

2008-09-10T11:49:00.000+08:00

With my mum's situation (kidney dialysis) and pre-mature decease of two clients last month, I wanted to write, but is difficult to pen.

I have finalised the claims for the deceased, and payout is fast and prompt.Settled.

These are facts of life that some time, we refuse to face the reality to plan.

1. Planning to care for parents and self as old folk ourselves in future to come (vivolife & Shield Plan)

2. Financial Planning covering liabilities ( assets and family needs)

3. Planning to meet contingencies in pre-mature death ( Family needs and children's education )

4. Retirement planning ( Long term medical need and self financial independence )

These are milestones in life. It embodies Protection, Savings, Health care and Retirement. Still the same 4 core needs of life.

I know it will hit hard, as I relate and unfold the story, but how to bring it out nicely, so as not to hurt the feeling but with reality, is a challenge.

I can write in one long email or divide into 4 topics, but it will be long and some time difficult to accept.

Can write and think until cow come home, but in reality, it is a responsibility to look into the interest of planning it well for my clients too.

I hope we can take a moment to consider our responsibility to our parents, family and self, not to burden the next generation. Is mind boggling but is necessary to ponder and plan for the minimum we can.

Sorry, life is not to be so gloomy, plan it essentially right and enjoy the life with your family.

Essentially back to basics.

Life is fragile

2008-08-27T14:47:00.003+08:00

A client of mine suddenly passed away on 22nd August of cardio-respiratory failure.

When I was reading the papers in the morning, I was shocked to see him in the orbituary.He is at the peak of his career at age 54. A humble and successful engineer. He has a good family life.

He has been a happy policyholder of Income since 1989.

Life is fragile.
------------------------------------------------------------------------------------------------- Today, 27th August got an SMS from another client, her husband was knocked down at a pedestrian crossing yesterday and died.

A university lecturer in his 40's. It is very tragic. What is happening?

This reminds myself of the need to look after the financial security of our clients.

My heart goes to the families in this time of lost.

Vivolife & Shield Plan

2008-08-20T16:27:00.009+08:00

I have written about importance of Vivolife and Shield Plan many times, and my mum's recent need for dialysis opens up a concern I have for proper planning.

Most of us in the future will have one or two children family and such dialysis need is a heavy burden if not properly dwelt with. I will be pursuing a change in this clause to be fairer to policyholders by insurers. It is a small number that may need this.

Other than this, Shield Plans are mostly quite adequate. Best is Plan Prefered. The pro-ration factor in Plan Basic and Plan Advantage is not to advantage of policyholders which most insurers also practices. I have feedback on this and will be actively pursuing for a change forward.

Even with adequate cover, co-pay for dialysis will cost $30 per session, without insurance coverage, it will be full impact of $180 per session and for Plan Basic, there is a 50% pro-ration which I am now pursing for a change to improve to peg it to a cap which is fairer to policyholders.

Assuming if one need dialysis, the impact is about $400 to $500 a month, if the benefit follows the previous medishield limit.This will be $6000 a year, and if one need to go through for 10 years, it will be $60,000 still something that we have to consider.

If one has a Plan Basic, impact will be about $1200 a month on 50% pro-ration and this will be about $14,400 a year and $144,000 in 10 years, putting aside hospital treatment.

If one do not has a Shield Plan, one can try to get subsidy into NKF, and hopefully pass means test. If not, a session is about $2000 and this will be $24,000 a year and this translate to $240,000 for 10 years.

A proper Shield Plan is important, if you can understand what I am trying to share. Plan Prefered is the best as it covers private dialysis centres. Problem in Singapore is that there is no government restructure dialysis centre.

Even with a Shield Plan with the 10% co-pay, one still need to be prepared for at least $6000 a year for dialysis patient.

I must qualify to say that other treatments for Shield Plan are adequately covered as according to plan as there are government restructure hospital to go to. Dialysis has no government centres.

My advice is then one should look into supplememting our latter years with an appropriate wholelife critical illness plan.

Vivolife from Ntuc Income is a critical illness plan, covering whole life, but with limited premium payment of choice of 10, 15, 20. 25years etc.

Bascially, I have been advising on a Vivolife with Shield Plan. And if one needs further protection, then riders will come in between our productive years, but latter years, the critical illness plan will serve us to the end with less burden to the next generation.

If you click on the banner below , you will be link to Income website for more info, otherwise, you can contact me and I will give you the information.

I am not trying to use my mum's case to sell you the plans, but it is a reality and experience in my life that serve an urgency for proper planning.

If you wish to discuss further, please do not hesitate to contact me.

PS-I have feedback on the shortfall of pro-ration on outpatient kidney dialysis and am glad to note that by year end, the Enhanced Incomeshield Plan will be improved and this outpatient kidney dialysis treatment benefit will be improved to benefit policyholders better.

Kidney Dialysis

2008-08-12T09:17:00.000+08:00

The day that I dread that it should happen has happened.

I am not capitalising on this incident to sell you insurance.

My own mother has lapsed into need for kidney dialysis and will be discharged from hospital to start her dialysis in dialysis centre from tomorrow.

Many issues cropped up and it is an eye opener for me as I attempt to resolve them in the next few days.

I will probably write to share this experience with you once I have settled her down.

My concern has always been a Shield Plan is important, but it may not be enough but it surely cushion off a big bill and give the patient more peace of mind.

The renal nurse counselled the family that some simply do not have the means and has to be prepared for a painful death.

Sorry, I am not using this to solicit sales, but these 20 years in this industry, this is the second time I come across dialysis.

There are more to it than only insurance.

Life is fragile.

Public Service employee medical benefit under MSO Scheme

2008-07-24T21:07:00.005+08:00

Many new public service employees who fall under MSO scheme, do not seem to understand that the 1% additional medisave paid to them is for them to take personal responsibility to take up a Shield Plan for hospital and surgical coverage. Many are sadly unaware of this and some end up hospitalised with no such plan in place to cushion off heavy hospitalisation needs.

Since 1994, when the MSO was introduced, NTUC Income and commercial insurers were asked to introduce a Shield Plan, but only NTUC Income is willing to underwrite and thus Incomeshield was offered. Many years after, commercial insurers find it viable and start to jump in to offer Shield Plans as well.

This is good as competition results in better Shield Plans today.

Following is excerpt taken from http://www.ps21.gov.sg/challenge/2007_01/staff/staff.html

Medical and life insurance – what every public officer should know

PUBLIC SERVICE MEDICAL BENEFITS

The prevailing medical benefit scheme in the Public Service is the Medisave-cum-Subsidised Outpatient (MSO) Scheme.Officers joining the Public Service after 1 January 1994 are placed on this scheme. Officers who were in service before this date are either on the Co-Payment on Ward Charges (CPW) or Comprehensive Co-Payment (CCS) scheme, where they will co-pay a portion of their inpatient and outpatient treatment in accordance with the co-payment percentage stipulated under each scheme.An officer under the MSO scheme enjoys medical subsidies, capped at $350 annually, for his outpatient treatment. He also receives an additional 1% Medisave contribution in lieu of inpatient subsidy.Unlike officers on the older CPW and CCS schemes who do not receive any benefits if they remain healthy, an MSO officer will receive the unused balance of his $350 outpatient entitlement and the 1% contribution, which are credited into his Medisave account, even if he remains healthy.

Insurance for Kidney patient

2008-06-25T22:26:00.002+08:00

My mum's kidney is now left with 10% kidney function and if it fails further kidney dialysis is needed.

My friend's mother is already on kidney dialysis.Each month, Incomeshield pays $2000 for the dialysis, and other cost that is beyond the cover can be up to $700 more in expenses.

Say what one like, wholelife plan, especially those with limited premium payment may be good for last stage of one's life.I have 3 Living Policy myself taken over the years when there was no limited premium payment plan then. In my old age, I will continue these policies, so that I will not be a burden to the next generation. I wish limited premium plan was available then.Premium can be high for wholelife, but it gives one peace of mind in old age.

This is what I see in my friend's mother and my own mother now.

Shield Plan is the most basic important plan to have.

A critical illness wholelife plan of appropriate amount will be helpful.

Why burden the next generation?

Giving Back to society

2008-06-22T18:59:00.005+08:00

At the last AGM, if you look at the NTUC Income Annual report, it will reveal the Chairman and Director's fees. The fees are so low, and imagine the responsibility the Board shoulder in guiding the Co-operative forward.

I wonder why these group of professionals serve on NTUC Income Board that pays them so low a fee. I believe these group of men are giving their service back to society seating on the Board, especially the Chairman.

If you have attended the last AGM, you will feel the heavy responsibility this Board shoulders in bringing and guiding NTUC Income forward for the benefit of policyholders, despite the low director fees they receives.

The mission statements of the Chairman and CEO are as follows if you click on the link below or go to NTUC Income website.

- CEO's Statement on Bonus Re-structure
- Chairman's Speech at the AGM
- FAQ on Bonus Re-structure

Low Cost check up for Chronic Illness for age 40 to 49

2008-06-03T08:35:00.000+08:00

Government has announced an initiative to provide low cost medical checkup for chronic illness like diabetes, hypertension, etc.

This is a good initiative, but before you jump into it, this is my advice.

At least 6 months before you decide to do it, review all your medical insurance and life insurance needs.

Medical insurance like the Shield Plan and your protection and especially the critical illness needs, before you decide to take the checkup.

Well and good, after the test, you are certified healthy, BUT, if something crop up, then it will be a problem to get insured especially for Shield Plan without exclusion.

Perhaps Ministry of Health and CPF Board should come together to offer the Shield Plan first before one takes up the test.

This is just my advice that if you intend to do the checkup, do your own review first.

Extra sea lane revenue for Pedra Branca 2012 ?

2008-05-29T09:22:00.002+08:00

NTUC Income Bonus Declaration 2008

2008-05-07T20:29:00.005+08:00

In April 08, NTUC Income announced a re-structuring of the bonus with respect to life policies incepted after 1993. We decreased our annual bonus from 2.3% to 1.3% of the sum assured and increased our special bonus from 25% of accumulated bonus (for policies of more than 15 years) to 30-120% (for policies ranging from 20 years to 2 years).

The policyholder benefits are not impacted by the re-structure.

NTUC Income set out a list of frequently asked questions in relation to the bonus re-structuring exercise at www.income.com.sg/bonus/

Is the old bonus approach better or the new approach? If there is no difference, why bother to change? We can just cut annual bonus when returns are bad, just like the past?

There is no right or wrong approach, just which is considered best practice. We believe the approach that we adopt is professional and financially sound and has been widely practiced by many reputable insurers worldwide, including well known mutual insurers. Most important of all, we believe that this practice will benefit our policyholders in the long run. NTUC Income is a social enterprise and our actions and decisions are geared towards ensuring the best benefit for our policyholders.In our investigations, we noted that the past practice of cutting bonuses when times are bad and restoring them eventually is not necessarily a good practice. It is a simplistic tool that impacts all participating policyholders. When bonuses are restored, they may not be restored fast enough to bring back their yields to an attractive level. Managing special bonuses gives us more flexibility to do that.

To read more goto www.income.com.sg/bonus/

Look like we cannot assume 2% inflation to plan for retirement.

2008-04-24T23:54:00.002+08:00

Are we poised for retirement, assuming 2% inflation? Look like inflation rates has to be raised and figures re-worked if one is to retire comfortably.

CPFLife - Good retirement plan with Timeline Planning

2008-03-17T23:26:00.009+08:00

Hot topic of CPFLife

The estimated monthly payout from age 65 , with $134,000 in minimum sum.

The above estimated payouts are based on (a) estimated LIFE premiums for members who turn 55 years old in 2013, (b) entry into the CPF LIFE scheme at age 55, and (c) an interest rate of 4% pa for the Minimum Sum, with an additional 1% pa extra interest on the first $60,000 of CPF savings.

With the CPFLife forward, retirement fund after age 65 is clearer.

So if one need to take it easy from age 55 to 65, one will then need to plan to cover this gap for the next phase of retirement.

I have written on a subject Timeline planning, if you click on this Timeline Planning, it will lead you to the topic on how you can plot your assets, savings and investment to check your plans forward and to then know at a glance where your gap is and to plan to cover the gaps.

I think by doing a simple exercise of drawing a timeline, one should be able to see how far they have planned for their retirement and where their assets are positioned.

Vivolife - Limited Premium Living Policy

2008-03-10T18:00:00.001+08:00

Vivolife was featured in Sunday Times yesterday and recommended as a good plan.

This is basically a wholelife plan, but premium payable can be from 10 years to 25 years and coverage is wholelife.

1. In the event of death, Total and Permanent Disability or on diagnosis of any of the 30 dread disease within the first 15 years of coverage, the benefit payable is the higher of the sum assured plus bonuses, or 125% of the original sum assured.

2.In the event of accidental death, the total benefit payable will be up to 3 times the sum assured plus the bonus.

3.Retrenchment waiver for 6 months premium

4.Annuity option, you'll receive 5% additional cash value when you convert your policy into an annuity at age 60.

Perhaps you may want to click on this real Life case in my blog. Is it time to review your needs?

Enhanced INCOMESHIELD Plan

2008-03-07T12:02:00.005+08:00

With the recent talks on means test, you may want to take a look at the Enhanced Incomeshield Plan. Click at the picture and it should lead you to our website for more details.

When should you activate Travel Insurance?

2008-02-29T09:57:00.002+08:00

Holiday season is coming and many will travel out for holiday. Most people effect the travel insurance a few days before they leave. Some call when they are in the plane about to take off.

Actually many do not realise in most Travel Insurance Plan, there is a clause covering Trip Cancellation/Curtailment expenses.

Basically, this means, in event of the circumstance arising in one having to cancel their trip and there is a lost of travel expenses, the policy will reimburse the lost.

A policyholder, his son age 30+ contracted dengue fever and was hospitalised and he has to cancel his trip to Sarawak, and lost his travel expense of $600. He activated the travel insurance one week before the trip, and thus the lost was compensated by the insurance curtailment clause.

So my advice is, buy the travel insurance in advance once a trip is confirmed. Most insurer do have this curtailment clause to cover as well.

Travel Insurance Promo 29th Feb to 30th June 2008

2008-02-29T09:44:00.005+08:00

Are you prepared for your child's University fees?

2008-02-22T00:16:00.004+08:00

Headlines

NTU to raise tuition fees by 4%
UNDERGRADUATE tuition fees at the Nanyang Technological University (NTU) are going up.Incoming students in the new academic year will have to pay an annual fee of $6,360 up about 4 percentage points from $6,100 last year, NTU said in a press release on Wednesday.

Varsities up tuition fees by 4% to 20% NUS, NTU, SMU to cushion effect with more financial aid and 'lock-in' system. -ST -->
TUITION fees at the three local universities will go up by between 4 per cent and 20 per cent for the new batch of undergraduates entering in August.
But to cushion their effect, all the varsities will introduce more financial help schemes, as well as a 'lock-in' fee structure first pioneered by the Singapore Management University (SMU), where students pay a set fee and will not be affected by future increases.

All of us probably can hang loose because school fees for the kids does not bother us as it is almost free from Primary school to College.

SMU course fee a year is about $7500 a year back.

With purchase of laptop as well. That cost slightly above $10,000 in total then to start first year in the University.

So you can imagine the Uni fees will be something most of us did not really bother, partly also because we can use our CPF as well. In the industry, people use to put an inflation of 6% on it, so the longer it is due, the fee will be higher in latter years. If you want to know how much it is, use a financial calculator and set the interest and term and compute the future value and you will know how much it will be.

Will you need a study loan? Some parents will think why let the kid start life with debt to pay after the Uni.

Start a savings plan early.

Gong Xi Fa Cai

2008-02-05T13:40:00.000+08:00

This year is an exciting year for me.

It 's my 20th year representing Ntuc Income, and I happen to be borned in the year of the Rat.
May I take this opportunity to wish you and family, a blessed year ahead with much joy and health.