Term insurance - buy directly

Many consumers find it difficult to buy Term Insurance directly in Singapore. When they call the hotline of the insurance company, their case is passed to an agent who quotes them an unrealistic high price for term insurance and pushes Investment Linked Policies or Critical Illness policy as a consumer, giving misleading advice that these savings policies give better value (which they do not!).

If you insist and do get a quotation for Term Insurance, you can compare it with the rates quoted in this website, which offers the term insurance in America. I am not suggesting that you buy from America, as there are other issues that you need to consider. But, at least you can find out if the rate for Term Insurance quoted in Singapore is fair.

For example, in my website, I gave a "benchmark" premium of $541 for a male age 30 insuring $200,000 for 20 years. If you find a better offer from a Singapore company, it is acceptable. However, if you are offered a much higher premium, you know that the agent is trying to mislead you with an unrealsitic quote.

I tried the above website and found rates (for a non-smoker in regular good health) to range from $327 to $506 for the 9 companies listed. So, it is possible to get lower premium compared to my "benchmark".

Tan Kin Lian

More jobs in health care sector

This article explains the increase in jobs in the health care sector, in spite of a weak economy in America. The same trend will apply in Singapore as well. There will be more jobs in health care in the future.

Economic recovery depends on government stimulus

This article suggests that the economic recovery is fragile and depends on government stimulus. The global economy continues to be in bad shape.

In my humble opinion, it will take a long time for the global economy to recover, if we continue with the free market capitalism. Here are some obvious problems with free market capitalism:

a) wide disparity of income
b) insecurity of jobs
c) financial sectors makes huge profits, without creating real value
d) bad business ethics and cheating
e) poor protection of workers and consumers
f) poor leadership from government leaders

If I am wrong, the global economy will recover soon. If I am right, be prepared for a decade of economic depression, or a change towards socialism (which is a better economic system, so I think).

Regular savings in a bank

Some banks offer regular savings plan that pays higher interest rate. Here are the terms from DBS Bank (see MySavings Account).

This is suitable for young people to set aside some regular savings. If you have to withdraw your savings, you do not have to suffer any loss of your savings (unlike a life insurance policy, where more than 50% of your savings is taken away).

HK: Bank staff did not understand mini-bonds

According to this report, the Securities and Futures Commission in Hong Kong admitted that they found the bank staff did not understand the mini-bonds that they sold and that their risk assessment was superficial. The same situation applies in Singapore, except that we are not so honest in admitting our mistakes.

Walk away from your mortgage

Here is an advice to home owners whose properties have fallen. It is given in the context of America where the financial institution may not have recourse to the borrower. The legal situation in Singapore may be different.