Insurance to cover working years

Hi Mr. Tan

I read through your FAQ and understand why it is better to buy insurance and investment seperately.

What happens if I am not covered by insurance after age 65 and is hit by a critical illness? Will it be better to buy an ILP which covers me throughout my life?

REPLY:

If you have accumulated sufficient savings at the time of your retirement (say, at age 65), you do not need to be insured for critical illness beyond that age.

A medical insurance plan, such as Medishield or private Shield, is likely to cover you for most of the cost of treatment. If you are insured under Medishield, you can be treated in a subsidised B2 ward.

If you have to work beyond age 65 to accumulate sufficient savings for your retirement, you can have a decreasing term insurance to cover you up to the that later age.