How much Life Insurance do I need in Singapore?

How much life insurance do I need in Singapore? This is a common question for most of people living in Singapore. The answer is simple but not easy. Usually, it depends on how much liability you have.

For example, if you have a new born baby and need support your baby financially until he/she can make a living by himself/herself (For daughter, it’s 22 years. For son, it’s 24 years because of national service).  Let’s have a simple calculation about how much money is needed. Assuming that the average expense for your kid is $1000 per month, then the total money needed is $1000 * 12 mth/year * 22 year (for daughter) = $264,000 (without considering inflation rate for simplicity). Additionally, if you also have liability of mortgage loan with $200,000, then the total amount of the life insurance you need is increased to $264,000 + $200,000 = $464,000.

Based on life insurance research, the average amount for Singapore family is half million $500,000. But as show in above, it’s all about financial planning. Before you can determine the total amount of life insurance needed, you need professional financial consultant to analyze your cash flow, total assets, liabilities and net worth.

If you feel difficult to find a trusty and professional financial consultant, or if you need an independent financial consultant for unbiased advice.  We can recommend a trusty financial consultant to discuss your insurance needs FREE of Charge, please fill the online form in  Contact Us now.