Protection is first priority
The minute you can afford it - buy it.
We've all heard the saying that "prevention is better than cure". It applies also to protection coverage. Which is why buying insurance should always be one of the things near the top of your list of "Things to handle" – before things take a turn for the worst.
Certain things in life mark the coming of age. One of them is buying protection insurance! Every adult individual earning a regular income needs to protect his or her financial well-being through savings and protection insurance.
Why? Firstly, as much as we wish the best for ourselves and our family, no one can predict the future. Life and health are extremely fragile. Given the rising costs of medical care, Medisave and CPF are not enough to handle the worst of critical illnesses or conditions that require more long-term care. And when the worst happens, sometimes it is those who depend on you that suffer the most.
Secondly, different life stages brings about changes to your lifestyle and expectations. Building a family means having more lives counting on you. Having a higher spending power means you acquire more assets that need to be taken care of and paid for – such as your car or property.
All these are key reasons why you'd want to put a high priority on having relevant and adequate protection insurance.