Term Critical Illness Plan with Convertibility
Most term insurance plans allow conversion to a whole life plan. However, the conversion usually does NOT include critical illness coverage.
Tokio Marine Life has revamped its term critical illness plan and brought back the convertibility feature. The plan is TM Well Being (RP-DD).
Together with Aviva’s IdealCIprotector, these are likely the only two term plans in the market which allow conversion to a whole life insurance, and yet retaining the critical illness coverage.
Both plans are non-participating regular premium level term plans, which pay out upon insured events – Death, Terminal Illness, TPD, CI (whichever event occurs first).
The convertibility option can be exercised any time before age 60 (next birthday). In Aviva’s plan, this feature is present only via addition of a rider; while the option is embedded in TM Well Being. Guaranteed renewal is also embedded in TM’s plan, and is not included in the Aviva IdealCIprotector base plan (a rider is required).
Premium references for a 30 year old
30 yrs/MNS
|
5 YRT
|
10 YRT
|
to age 60
|
Aviva
|
479.25
|
488.25
|
1080.00
|
Tokio Marine
|
360.00
|
400.00
|
830.00
|
30 yrs/FNS
|
5 YRT
|
10 YRT
|
to age 60
|
Aviva
|
526.50
|
562.50
|
1010.25
|
Tokio Marine
|
418.00
|
462.00
|
822.00
|
