Insurance & Costs of having and raising a child

[brattzz]

yes... "uninsurable" is a worrying concern for mid-fourties... :O

[mrEngineer]

Yup thanks for e reminder. I am in e mid twenties so not really relevant for me. I notice one of clauses for GE totalshield even though it is guaranteed renewable, the renewal premium may be revised after a claim is lodged. So in other words, if I become uninsurable due to past history, I might not enjoy e standard rates if I ever claimed. Would reconsider when I am in e mid thirties.

[Bibi]

Yup thanks for e reminder. I am in e mid twenties so not really relevant for me. I notice one of clauses for GE totalshield even though it is guaranteed renewable, the renewal premium may be revised after a claim is lodged. So in other words, if I become uninsurable due to past history, I might not enjoy e standard rates if I ever claimed. Would reconsider when I am in e mid thirties.

It does not mean a person in mid 20s, an illness wont strike him. Its just the probability is lesser. If his parents and grandparents have no major illnesses, then based on genetics, the probability of him getting a illness is even lesser. I have friends in early 30s already high blood.

I claim from NTUC income for my son hospitalization. And the premium still stays. Maybe the claim amount is not large only 2k+.

[mrEngineer]

It does not mean a person in mid 20s, an illness wont strike him. Its just the probability is lesser. If his parents and grandparents have no major illnesses, then based on genetics, the probability of him getting a illness is even lesser. I have friends in early 30s already high blood.

I claim from NTUC income for my son hospitalization. And the premium still stays. Maybe the claim amount is not large only 2k+

Hi Bibi, thanks for e concern. I know e importance of having a H&S insurance but I do not see why I need it now when my company is providing it. I will reconsider to get a personal H&S in mid thirties to prevent e issue of uninsurable even when my company by the time provides that H&S coverage. I will definitely get personal H&S when I am self employed or my employer does not provide such insurance coverage.

[d.o.g.]

I know e importance of having a H&S insurance but I do not see why I need it now when my company is providing it.

This may be true if your company-provided insurance is portable i.e. if you leave your company you are still able to continue your policy as an individual.

If your insurance is not portable, then you are making the heroic assumption that once you fall ill and claim on the insurance, your company will still continue to employ you. But no company will employ someone who is seriously ill and cannot work.

If you are sick for one month (e.g. dengue fever) but recover and go back to work, it is a small blip in your career. If you are in hospital for 3 months and spend 6 months recovering at home e.g. car accident, the company has to hire a replacement. And once the replacement arrives and does your work, there is no need for you any more.

The commercial reality of company-provided insurance is that it is one-use only. Once it's activated, you can kiss your job goodbye. A company exists to make profits for its shareholders, not to provide benefits for its employees. Anyone who uses the benefits without a corresponding contribution towards profits cannot expect to keep his job.

[thefarside]

What d.o.g. said it true. In any case, H&S insurance cost a few hundred bucks for people now in their 30s, a small price to pay I think to get yourself insured now. If you are sick and have to leave the company, you will then find yourself unable to get insured outside with any plans, and then you will be in trouble.

At that point of time the 200-300 bucks would seem pocket change to the thousands that you will have to shell out for treatment. Insurance planning is not about maximising pennies, but to avoid catastrophic damage to your finances, family and retirement plan should you get sick or ended up the lorry before you are supposed to go.

[Musicwhiz]

What d.o.g. said it true. In any case, H&S insurance cost a few hundred bucks for people now in their 30s, a small price to pay I think to get yourself insured now. If you are sick and have to leave the company, you will then find yourself unable to get insured outside with any plans, and then you will be in trouble.

Yes, very true for H&S. I always make sure my entire family is covered for the best H&S coverage I can afford, which includes private hospital stays in Ä class wards. After all, no point stinging on recovery chances and comfort if you do fall seriously ill!

[la papillion]

Hi Bibi, thanks for e concern. I know e importance of having a H&S insurance but I do not see why I need it now when my company is providing it. I will reconsider to get a personal H&S in mid thirties to prevent e issue of uninsurable even when my company by the time provides that H&S coverage. I will definitely get personal H&S when I am self employed or my employer does not provide such insurance coverage.

Sometimes when you want to buy insurance, you can't buy it too, because of health issues. From what I'm seeing, it seems you're taking a reward of saving money from H&S by taking a risk that your health condition doesn't change when you're mid thirties.

Don't know if it's worth the bet, but personally I wouldn't bet on it

[Blackjack]

Requirement for H&S policies is usually a lot more stringent compared to normal term policies, where payout is on death or TPD. I also agree that its best to take up a personal H&S policy when there are no prevailing health issues, as subsequently it is easy for the insurer to pre-exclude any condition even if you managed to finally take it up by the time you are in your 30s.

[jason]

Yup thanks for e reminder. I am in e mid twenties so not really relevant for me. I notice one of clauses for GE totalshield even though it is guaranteed renewable, the renewal premium may be revised after a claim is lodged. So in other words, if I become uninsurable due to past history, I might not enjoy e standard rates if I ever claimed. Would reconsider when I am in e mid thirties.

I just like to add on to what others have commented on so far.

1st of all, if anything (illness, accident) were to happen (touch wood) between now and when you are in your mid-thirties (before you consider personal H&S), this illness or accident could get you excluded from coverage when you eventually want to get personal H&S.

2nd-ly, you might want to confirm with your company that the H&S that they provide covers 24 hrs. My co also provides H&S insurance, but according to my colleague who met a traffic accident (but has fortunately recovered), the co said that the accident was outside office hours and is due to personal matters and not work related matters, hence they do not cover. I find that absurd, but luckily the person has personal H&S insurance. You might want to get it in writing that your co's H&S covers 24 hrs, no matter work or personal life.

3rd-ly, you have to compare the coverage of the co's H&S with those that are Medisave approved H&S. As far as I know, the Medisave approved H&S has plans that are "As-Charged", compared to your co's H&S which is likely to have a cap on individual charges.

4th-ly, Medisave approved H&S (without riders) can be paid in full using Medisave account in your CPF. so, there is also no cash outlay when compared to your co's H&S.

With these in mind, I hope you re-consider your decision to consider personal H&S till a later time.

Just my 2c