Pages

Saturday, July 14, 2007

What product is suitable for my age group?

FIRST POSTED IN FEBUARY, 2007 (EDITED)

Dear Mr Tan,

Read with interest on buying insurance products from the NTUC income portal.

I don't believe that there is an ideal insurance package solution for all.
It really depends on the age, size of family, living standards, of the individual.

What I would like to know is an ideal case of persons aged:

20-30: Just started work, planning on getting married
30-40: Married, steady career, with 1 or 2 kids
40-50: Achieved good mid-income (say $5K-7K/mth), higher educational needs (JC, university, worst case medical school)
50-60: Approaching retirement age, or continue working because of financial commits
60+: ???

What then are the range of insurance products/ investment funds would you recommend for these age groups.

----------------------

REPLY

The best plan is to buy a decreasing term insurance to provide the insurance coverage and to invest your savings (say 10% to 20% of your regular earnings) in a mutual fund or an invesment fund. You can read this FAQ for the young, and for seniors.

You should choose a flexible savings plan, as it gives you the flexibility to change your savings and the investment fund. Normally, you should choose a large, well diversified fund.

0 comments:

Post a Comment