Do not sniff at Insurance Endowment Plans

I wrote in my blog (27 June 2009) about one such plan by NTUC Income called “Growth”. This is a single premium paid on day one and it now matures after 5 years.

On maturity, my single premium of $50,000 returns $58,024 this year. The internal rate of return is 3.021% per annum. This is good return considering the low interest rate environment we were in over this period.

This kind of endowment plan also provides insurance coverage in the event of death and permanent & total disability during the policy term. It has investment element with protection coverage.

Copyright © 2014, limkimtong for Living Investment

The material presented is intended to be general and written in layman’s language as much as it is possible. The author shall not be liable for any direct or consequential loss arising from any use of material written. Please seek professional advice from your financial advisor or financial institutions on material written covering financial matters.

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