Last Updated on June 22, 2023 by Parentology
When it comes to insurers, China Taiping is an up and coming insurer with competitive coverage as well as coverage features that are useful for parents. The 2 main feature for China Taiping’s Whole life plan is the ability to extend the main plan’s sum assured multiplier for life as well as having a comprehensive amount for critical illness coverage (161 conditions in total)
When looking for Whole Life coverage for kids, the long term protection feature makes an important element as we want to future proof the kid as long as possible. Whole life plans fundamentally protect financially against death, terminal illness and total permanent disability (TPD).
Aside from covering early to advance stage critical illness (CI), Juvenile conditions and Special conditions like diabetic complications should also be taken into consideration when taking up a whole life plan for your child.
China Taiping i-Secure Product Features
Premium Paying Period
Have the option to pay the premium of 5, 10, 15, 20 and 25 years. A good period is 5 years, of which parents can actually pay this plan off in 5 short years for a whole life of coverage. This works extremely well if the child is still young, as this means a much lower premium.
Multiplier Extension Option
The multiplier for China Taiping’s i-Secure is until age 71 or 86. Having 2 options like that also means the premium will be slightly higher for the age 86 option. Despite this, the premium is still one of the most competitive in the market, as compared to those that are until age 70.
The extension option means you have the choice to extend the base plan’s sum assured for life, beyond age 86 should you/ life assured feel the need to, in future.
Waiver Premium Riders Available:
A wide range of premium waiver riders available ranging from protection of the child, to even premium waiver for parent paying to the spouse of payor. Very useful feature especially if you are looking at protecting not just your child’s critical illness and death coverage, but also for the main parent’s, as this will ease the financial burden should payor be diagnosed with critical illness or if death occurs.
Also, not many insurers cover for that and are able to waive off premiums for payor’s diagnosis of critical illness of early stage.
When it comes to premium, China Taiping’s i-Secure II is one of the most competitive as well as of value in the market. This is in consideration of the vast amount of Critical Illness (CI) covered, longer multiplier (to age 86) as well as the cash value accumulated.
Comprehensive Critical Illness Protection
A 2017 Protection gap study commissioned by the Life Insurance Association (LIA) found that Singaporeans are drastically covered for in their critical illness needs, at a low 20%.
China Taiping’s i-Secure II addresses the CI gap with the high number of CIs covered for together with the premiums in consideration, making it really competitive by coming up with 2 Critical Illness Supplementary Benefits:
Lump sum payment upon diagnosis of 55 Advanced stage CI including Advance stage cancer, stroke, heart attack, coma, blindness. This is more than the 37 CI identified by the LIA.
Lump sum payment upon diagnosis from Early to Intermediate to Advanced stages of CI. Additionally, it also covers 12 Juvenile Conditions and 12 Special Conditions.
The purpose for CI coverages/payouts is to replace your income in the event of such CI diagnosis so you don’t have to worry about expenses and incoming incurring costs, so as to enable you to seek the best medical treatment and focus on your path to recovery.
For children whole life plan protection, this can be considered in two ways:
- Income protection for them when they grow older and is financially sustainable.
- Income protection for parents, in the event when the child is diagnosed with critical illness, especially at an early stage. In this case, the parent that is caring for the child can afford to take a break from work and attend to the child during this period of uncertainty when the child is recovering.
Guaranteed Protect Plus (III)
Lets have a look at the premium comparison with the following criteria:
|Basic Sum Assured – Death, TPD*, TI*||$125,000|
|Multiplier Ends at||70|
|Early Critical to Advance Stage Illness Sum Assured||$125,000|
*TPD – Total Permanent Disability
*TI – Terminal Illness
Male, Aged 35
|Cash Value at age 65 (based on 4.25% illustrated projection)||$89,764|
|Cash Value at age 70 (based on 4.25% illustrated projection)||$117,335|
|Cash Value at age 75 (based on 4.25% illustrated projection)||$152,572|
|Cash Value at age 80 (based on 4.25% illustrated projection)||$180,874|
Female, Aged 35
|Cash Value at age 65 (based on 4.25% illustrated projection)||$85,734|
|Cash Value at age 70 (based on 4.25% illustrated projection)||$113,318|
|Cash Value at age 75 (based on 4.25% illustrated projection)||$148,887|
|Cash Value at age 80 (based on 4.25% illustrated projection)||$177,715|
Critical Illness Breakdown
|Critical Illnesses||Number of conditions|
|Additional Benefits||Number of conditions|
The early critical illness rider covers for a whopping 161 CI conditions across early to intermediate to advance stage CI. This is one of the most CI coverage in the market and most competitive in terms of premiums.
What We Like About The Plan
- Multiplier is extensive until 86 years old. Choose to have it until age 70, and extend the multiplier for life (which is the default option, cost of insurance is charged, which will reduce the cash value of the plan).
- Early Stage CI payouts is up to a high $350, 000 000 (one of the highest in the market)
- Wide range of premium waiver riders not just for the life assured, but for the payor and even the spouse. Not many insurers cover for that and are able to waive off premiums for payor’s/spouse’s diagnosis of critical illness of early stage.
- Widest range of CI Coverage – 161 Condition (42 Early Stage, 40 intermediate, 55 Advance Stage, 12 Special & 12 Juvenile Conditions)
- Competitive Premium
- Wide range of Multiplier – x1 to x4
What We Don’t Like About The Plan
- Multiplier for life incurs a Cost of Insurance that charges into the cash value.
- No partial withdrawal/surrender, only upon fully surrendering the plan will you receive the cash value.
- No option to convert the cash value into monthly/annual payouts.
How China Taiping i-Secure II Works
About China Taiping
China Taiping Insurance (Singapore) Pte. Ltd. (CTPIS) is a leading composite insurer in Singapore (initially from Tai Ping Insurance co Ltd Singapore Branch ) and has been serving its customers for up to eighty years now, since 1938.
China Taiping was previously the Tai Ping Insurance Co Ltd Singapore Branch and has been in Singapore since 1938. They mainly do general insurance and their business comprises mainly motor, construction and marine insurance.
They entered the life insurance market in August 2018, regulated by the Monetary Authority of Singapore (MAS), becoming one of the 8 composite insurers in Singapore to engage in both life insurance and general insurance.
China Taiping is also owned by China’s fourth largest life insurer, with their parent company being Chinese state-owned and listed on the Hong Kong Stock Exchange since year 2000. Total assets are worth 600 billion yuan (S$118.9 billion).
source: Business Times
It has a financial strength rating of “A” (excellent) and a long term issuer credit rating of “A” by the A.M. Best. CTPIS is wholly-owned by China Taiping Insurance Holdings Company Limited, which was listed on the Hong Kong Stock Exchange in 2000, making it the first Chinese-funded insurer listed overseas. The brand continues to gain international recognition, having been listed in the “Global Fortune 500 Companies” in 2018.
China Taiping i-Secure II Review Conclusion
China Taiping’s whole life plan, i-Secure II is a competitive protection coverage plan which has competitive premium pricing as well as coverage, not to mention its multiplier benefit is one of the longest in the market.
For parents, the payor premium waiver protection makes this plan even more competitive as not many insurers cover for that and are able to waive off premiums for payor’s (and even spouse’s) diagnosis of critical illness of early stage.
The suitability of this plan for you and your child will largely depend on your needs and expectations. There are many whole life insurance plans in the market. To find the most suitable coverage, simply fill in the form below and our friendly licensed FA advisor will get in touch with you.
No obligations nor hidden charges. Based on your needs, a custom made solution will be adjusted only addressing your concerns.