Last Updated on May 15, 2023 by Parentology
When it comes to endowment for children or even yourself as a parent, or a parent to be, Gro Power Saver is considered as it is definitely in the short to mid term time horizon endowment savings plan.
There are no frills and is a rather plain vanilla savings plan with 3 years of savings term. As an endowment plan with an insurer, there are protection coverage including TPD (Total Permanent Disability) as well as cancer protection.
Features At a Glance for Gro Power Saver 3
Guaranteed Issuance Option (GIO)
Application is hassle free & simple, and acceptance is guaranteed regardless of your health condition. No medical questionnaires nor health check-up required.
Premium Term – Short 3 Years
This plan is very suitable for you should you be looking for a short to mid term premium and accumulation savings term. Being one of the shortest endowment plan in the market right now with only 7 years of accumulation after 3 years of premium term, this plan will mature in 10 years time.
It is helpful for parents wanting to save a sum for children’s education in 10 years time or to leave a good lump sum amount for children as a gift.
Competitive Returns Annually
Based on 4.25% projection, the illustrated yield of return is at 2.96% per annum. We compare the differences in returns below in the Premium Comparison table.
Covered for Death and Terminal Illness
In the unfortunate of death or diagnosis of terminal illness during the period of the policy term, the plan will payout 105% of the total premiums or the cash value of guaranteed together with the non-guaranteed bonuses (aka the surrender value), whichever is the higher.
The plan will be terminated upon the pay out. Revocable nominations can be named and this protects your capital.
Protect Against Total Permanent Disability (TPD)
Up to the age of 70 years old, premiums that need to be paid will be waived should TPD arise. You can also choose to have it as a lump sum payout of 105% of the total premium or cash value of guaranteed together with the non-guaranteed bonuses (aka the surrender value), whichever is the higher. The plan will be terminated upon the pay out.
Cancer Premium Waiver (GIO) Rider
Should Life insured be diagnosed with advance stage cancer during premium term, the premiums that need to be paid will be waived. This supplementary benefit is guaranteed to be issued and can be added with no medical underwriting required.
Premium Comparison
| Sum Assured | $25,000 (min) | $30,000.00 |
| Premium Term | 3 Year | 3 Year |
| Policy Term | 10 Years | 10 Years |
| Break Even Year | 10th Year | 10th Year |
| END OF POLICY YEAR / AGE |
Based on 4.25% | Based on 4.25% |
| Surrender Value @ Year 10 | $32,511.00 | $39,013.00 |
| Annual Premium | $8,333.30 | $10,000.00 |
How NTUC Income Gro Power Saver 3 Works
The NTUC Income’s Gro Power Saver 3 is Suitable if You:
- Prefer short term savings premium period (3 years)
- Prefer a short savings plan (10 years in total)
- Low risk endowment instrument
- Grow wealth with a steady and stable local insurer
- Ease of application, no medical underwriting
- No fluctuation on premiums
It would however be less suitable if you would like:
- High Payout that covers Death, TPD, Terminal Illness, Critical Illness of all stages including Early to intermediate to advance stage for a low premium.
- Multiple Payout for CI across all stages including Early to intermediate to advance stage for a low premium.
- High returns of more than 10%
- Immediate Break Even on Capital
Conclusion for Gro Power Saver Review
As parents, should you be concerned of the rising cost of inflation affecting education costs, cost of living or even leaving a gift for your children, the NTUC Income’s Gro Power Saver is a good short to mid term savings endowment plan.
All endowment savings plans have their own advantages and disadvantages and it is recommended that you choose one that is within your saving objectives and liquidity needs to ensure you get the best possible value.
When it comes to the suitability of endowment for you and your child, it is always advised to have a look around and compare across the different competitive insurers.
To find the most suitably plan based on your concerns and needs, simply fill in the form below and our friendly partnered licensed FA advisor will get in touch with you.
Based on your needs, a custom made solution will be adjusted only addressing your concern with no obligations nor hidden fees.
Find the most suitable coverage for you and your child today!
