A new life insurance company?

Dear Mr. Tan,

I have been reading your recommendation to "Buy Term and invest the difference". If you were to run a life insurance company today, what products will you offer to the public? Will you be able to get agents to sell the low cost Term insurance?

REPLY

I will offer the following products:
a) Term insurance (level and decreasing Term up to age 65)
b) Critical illness cover, up to age 65
c) Personal accident insurance
d) Medical expenses and daily benefit
e) Travel insurance
f) Low cost, diversified investment fund (equity, bonds, currencies)

All of these products will be offered directly through the Internet or call center. The public can attend educational talks on investment and insurance. Basic financial planning advice will be provided by salaried consultants for a modest fee of $50 to $100. The customer has to visit the consultant in the office.

I hope that the public will welcome this new insurance company, should it be set up in one or two years' time.