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Singapore Profile: Setting Up Life Insurance

Life insurance is one of the most responsible choices that you can make as an expat. If you’re traveling the world and die, how will your family fly your body back home? How will your final arrangements be paid for? These are questions that no one wants to think about, but they’re very important to ask.

Singapore has over 1.6 million non-permanent residents that choose the country due to its great economy, business opportunities and education. Lack of business bureaucracy has led to the country experiencing an innovation boom in recent years.

Obtaining an insurance policy in the country is easy, but you don’t know if the policy will be honored upon your demise.

Problems With Term Life Insurance in Singapore as an Expat

Singapore’s life insurance industry experienced a 20% increase in new premiums in the first quarter of 2020. The industry has been resilient in Singapore, but expat policyholders need to remain concerned.

One of the biggest concerns is that the insurance will not follow you as you travel.

As an expat, you may visit friends across southeast Asia and if you lose your life on the way, the insurance may find a loophole and not pay. Expansion of policies to other areas of Asia has been slow, even for people born in Singapore.

Acquisitions in the industry have stated goals to be able to expand the insurance market further into Asia, but you need insurance now.

Seeking Insurance in Singapore and Your Home Country

Singapore is rich in linguistic diversity, with over 20 languages spoken throughout the country. Four of the most common languages spoken are:

  • English
  • Chinese dialects
  • Malay
  • Mandarin

English speakers benefit from the fact that English is widely spoken in Singapore. The language is used in formal settings by the government and for instruction in school. British rule of Singapore helped grow the language, and it became the most spoken languages in homes.

If you’re proficient in English or Mandarin, you should be able to read through policies and find one fit for you.

You’ll just need to be cautious that the policy will cover expats and isn’t geared towards residents only. If your native language isn’t one of the two most spoken languages, you may be signing a policy that you don’t understand.

Purchasing insurance in your home country is only an option for a short-term visit to Singapore. If you plan on staying in the country for any length of time, a lot of policies will not consider you a resident.

Your policy may not be honored in this case.

When filling out your policy, you must be truthful. If you put your primary address as a friend’s or family member’s address and are really residing in Singapore, chances are, your policy would be void if you died.

Why You Should Have Life Insurance

If you’re an expat that’s unsure whether you need term life insurance, consider the following reasons why you need coverage:

  • Protection is for your loved ones so that they’re able to financially deal with your passing.
  • Policies allow you to live without worrying. Your family will be able to pay for your last wishes and debts.
  • Cash is provided to loved ones when they need it most. If you’ve been a financial supporter for family members, the cash allows them to adjust to life without you.

As a form of estate planning, life insurance is one of the most responsible choices that you can make. Expats should seek policies that are written specifically for the expat lifestyle.

Consider Global Term Life Insurance

If you want to be sure that your term life insurance won’t be denied and will be paid out upon your demise, online insurers are the ideal choice. Securing insurance online allows you to view your policy and any limitations that you may have.

You can ask the insurer about the validity of the policy in the countries you’ll be visiting or residing in.

Expat term life insurance is a popular choice. These policies are written with an expat lifestyle in mind to offer affordable coverage that provides the insurance you need in countries around the world. If you pass on, your estate will thank you for choosing an insurer that specializes in insurance for expats.

You can request an insurance quote today and have full protection in as little as 15 minutes.

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