SJP Protection planning
Protection planning & asset protection
Protecting the people you love, the business you’ve built, and the lifestyle you enjoy, is a cornerstone of financial planning. Coverage under the right insurance plans will mean everyone sleeps easier at night.
We don’t always like to think about it, but a sudden accident, critical illness or even death can turn your life and the lives of your family upside down. Who would look after your family, or keep up with expenses, if you suddenly couldn’t work? This is why protection planning, a fundamental aspect of wealth protection planning, is essential. By having comprehensive insurance coverage in place, you can safeguard your income, protect your personal assets, and ensure your family's financial security in the face of unexpected events.
If you or your partner were suddenly unable to work due to unforeseen events like critical illnesses or accidents, your children’s education could be one of the first things to suffer if you suddenly can’t afford the school fees.
Every child deserves the opportunity to reach their full potential, and securing their educational journey is a crucial step in that direction. An education savings plan is a form of asset protection that safeguards this and helps to ensure your child has the opportunity to pursue their dreams, regardless of life's uncertainties.
It’s said that anyone can steer a ship, but it takes a leader to choose the best course.
But if you or a key person in your company were to leave, or need a long period of time off, could your business stay afloat?
No business is bullet-proof, but you can minimise many of the risks with business asset protection as part of your protection planning strategies.
Protection planning services
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Life insurance
Life insurance
Life insurance is a cornerstone of effective wealth protection planning, acting as a financial safety net for your loved ones in the event of your unexpected passing. It provides financial support to your family, ensuring they can maintain their lifestyle, cover essential expenses, and achieve their financial goals.
Some of the key benefits of life insurance include:
- Income replacement: Replacing your income to ensure your family's financial stability.
- Debt repayment: Paying off outstanding debts, such as mortgages or loans, as part of your asset protection planning.
- Education funding: Covering your children's education expenses.
- Legacy planning: Leaving a financial legacy for future generations.
- Business continuity: Providing funds to ensure the smooth continuation of your business in case of your demise.
Types of life insurance in Singapore
- Term life insurance: Offers coverage for a specific term or period, such as 10, 20, or 30 years. It provides a death benefit to your beneficiaries if you pass away during the policy term. It's a more affordable option, ideal for those seeking protection planning for a specific period or with limited budgets.
- Whole life insurance: Provides lifelong coverage and includes a cash value component that grows over time. The cash value can be accessed through policy loans or withdrawals, providing flexibility and potential financial benefits. Whole life insurance is suitable for individuals looking for lifelong protection and wealth accumulation in a single plan.
Tax benefits and estate planning for life insurance in Singapore
Life insurance proceeds in Singapore are exempt from income tax, and with proper structuring, they can also be excluded from estate duty. This makes life insurance a valuable tool for preserving your wealth and ensuring a smooth transfer of assets to your beneficiaries.
However, it's important to be aware that specific circumstances might influence the tax treatment of life insurance proceeds. Consulting a financial adviser is recommended to fully understand the tax implications and optimise your estate plan.
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Critical illness cover
Critical illness cover
Critical illness cover complements life insurance by providing a lump-sum payout if you are diagnosed with a covered critical illness, such as cancer, heart attack, or stroke. It offers immediate financial support to cover treatment costs, rehabilitation expenses, and loss of income, allowing you to focus on your recovery without financial worries. They are an essential part of a wealth protection planning strategy, safeguarding your assets from the potential financial burden of a critical illness.
Examples of major illnesses typically covered by these plans include cancer, heart attack, stroke, major organ failure, and certain surgeries. The specific illnesses covered may vary depending on the insurer and the chosen plan. It's essential to review the policy documents carefully to understand the coverage offered.
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Health insurance
Health insurance
Health insurance provides coverage for medical expenses incurred due to illness or injury. It typically includes hospitalisation costs, surgical fees, doctor's consultations, medications, and diagnostic tests.
In Singapore, the health insurance landscape differs for expats and citizens/permanent residents.
Singaporeans and Permanent Residents (PRs): Singaporeans and PRs have access to MediShield Life, a basic health insurance plan that covers large hospital bills and selected outpatient treatments. They can further enhance their coverage by opting for private Integrated Shield Plans, which offer additional benefits like private hospital stays and a wider range of medical services.
Expats: While expats are not eligible for MediShield Life, they are required to have health insurance coverage. Many employers in Singapore provide health insurance as part of their employee benefits package. Expats can also purchase private health insurance plans independently. These plans typically offer comprehensive coverage, including hospitalisation, outpatient care, and even international medical treatment.
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Income protection
Income protection
Income protection insurance, also known as disability income insurance, provides a regular income stream if you are unable to work due to illness or injury. It acts as a financial safety net, replacing a portion of your income (typically 50- 70%) to help you cover essential expenses like rent, mortgage payments, utilities, and daily living costs while you recover.
This type of insurance is crucial for individuals who rely heavily on their earned income and don't have sufficient savings to sustain their lifestyle during an extended period of disability. It offers peace of mind, knowing that you and your family will be financially protected in case of an unforeseen event that prevents you from working.
Scenarios when income protection insurance is useful
Serious illness or injury: If you suffer a major illness or injury that leaves you unable to work for an extended period, income protection insurance can provide a steady income to help you manage your finances and focus on your recovery.
Accident or disability: In case of an accident or disability that affects your ability to earn a living, this insurance can replace a portion of your lost income, ensuring you can continue to meet your financial obligations.
Self-employed individuals: Self-employed individuals often lack the safety net of employer-provided disability benefits. Income protection insurance can be particularly valuable for them, providing a safety net in case of an incomedisrupting event.
High-income earners: Those with high incomes may find it challenging to maintain their lifestyle if their income is suddenly interrupted. Income protection insurance can help bridge the gap and ensure they can continue to meet their financial commitments.
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Long term care
Long term care
As Singapore’s population ages, long-term care has become a critical concern for many families. Long-term care services support daily activities and medical needs due to ageing, chronic illness, and disability, as well as individuals who need further care after being discharged from a hospital. Without a plan, the financial and emotional toll on families can be overwhelming, making professional care solutions crucial.
Exploring options like long-term care insurance and community services now can help alleviate the stress of unexpected costs and ensure that you and your loved ones receive the best care possible.
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Personal accident
Personal accident
Accidents can happen when we least expect them, and the impact can go beyond physical injuries. Personal accident insurance provides financial protection in the event of accidental injuries, disability, or even death. Whether it's a slip at home or an unexpected incident while traveling, personal accident coverage ensures that you and your loved ones are financially supported during recovery. With medical bills, rehabilitation costs, and potential loss of income, the financial burden of an accident can be significant. By having personal accident insurance, you gain peace of mind knowing that your recovery costs are covered, allowing you to focus on healing without the added stress of unexpected expenses.
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Maternity insurance
Maternity insurance
Maternity insurance provides essential coverage for both mother and baby, offering financial protection against unexpected pregnancy complications, hospitalisation, and neonatal care costs. It ensures you’re prepared for any medical needs that arise before, during, or after delivery. With the rising costs of healthcare, having maternity insurance in place allows you to focus on your health and your baby’s well-being, without worrying about the financial strain.
Life insurance
Life insurance is a cornerstone of effective wealth protection planning, acting as a financial safety net for your loved ones in the event of your unexpected passing. It provides financial support to your family, ensuring they can maintain their lifestyle, cover essential expenses, and achieve their financial goals.
Some of the key benefits of life insurance include:
- Income replacement: Replacing your income to ensure your family's financial stability.
- Debt repayment: Paying off outstanding debts, such as mortgages or loans, as part of your asset protection planning.
- Education funding: Covering your children's education expenses.
- Legacy planning: Leaving a financial legacy for future generations.
- Business continuity: Providing funds to ensure the smooth continuation of your business in case of your demise.
Types of life insurance in Singapore
- Term life insurance: Offers coverage for a specific term or period, such as 10, 20, or 30 years. It provides a death benefit to your beneficiaries if you pass away during the policy term. It's a more affordable option, ideal for those seeking protection planning for a specific period or with limited budgets.
- Whole life insurance: Provides lifelong coverage and includes a cash value component that grows over time. The cash value can be accessed through policy loans or withdrawals, providing flexibility and potential financial benefits. Whole life insurance is suitable for individuals looking for lifelong protection and wealth accumulation in a single plan.
Tax benefits and estate planning for life insurance in Singapore
Life insurance proceeds in Singapore are exempt from income tax, and with proper structuring, they can also be excluded from estate duty. This makes life insurance a valuable tool for preserving your wealth and ensuring a smooth transfer of assets to your beneficiaries.
However, it's important to be aware that specific circumstances might influence the tax treatment of life insurance proceeds. Consulting a financial adviser is recommended to fully understand the tax implications and optimise your estate plan.
Critical illness cover
Critical illness cover complements life insurance by providing a lump-sum payout if you are diagnosed with a covered critical illness, such as cancer, heart attack, or stroke. It offers immediate financial support to cover treatment costs, rehabilitation expenses, and loss of income, allowing you to focus on your recovery without financial worries. They are an essential part of a wealth protection planning strategy, safeguarding your assets from the potential financial burden of a critical illness.
Examples of major illnesses typically covered by these plans include cancer, heart attack, stroke, major organ failure, and certain surgeries. The specific illnesses covered may vary depending on the insurer and the chosen plan. It's essential to review the policy documents carefully to understand the coverage offered.
Health insurance
Health insurance provides coverage for medical expenses incurred due to illness or injury. It typically includes hospitalisation costs, surgical fees, doctor's consultations, medications, and diagnostic tests.
In Singapore, the health insurance landscape differs for expats and citizens/permanent residents.
Singaporeans and Permanent Residents (PRs): Singaporeans and PRs have access to MediShield Life, a basic health insurance plan that covers large hospital bills and selected outpatient treatments. They can further enhance their coverage by opting for private Integrated Shield Plans, which offer additional benefits like private hospital stays and a wider range of medical services.
Expats: While expats are not eligible for MediShield Life, they are required to have health insurance coverage. Many employers in Singapore provide health insurance as part of their employee benefits package. Expats can also purchase private health insurance plans independently. These plans typically offer comprehensive coverage, including hospitalisation, outpatient care, and even international medical treatment.
Income protection
Income protection insurance, also known as disability income insurance, provides a regular income stream if you are unable to work due to illness or injury. It acts as a financial safety net, replacing a portion of your income (typically 50- 70%) to help you cover essential expenses like rent, mortgage payments, utilities, and daily living costs while you recover.
This type of insurance is crucial for individuals who rely heavily on their earned income and don't have sufficient savings to sustain their lifestyle during an extended period of disability. It offers peace of mind, knowing that you and your family will be financially protected in case of an unforeseen event that prevents you from working.
Scenarios when income protection insurance is useful
Serious illness or injury: If you suffer a major illness or injury that leaves you unable to work for an extended period, income protection insurance can provide a steady income to help you manage your finances and focus on your recovery.
Accident or disability: In case of an accident or disability that affects your ability to earn a living, this insurance can replace a portion of your lost income, ensuring you can continue to meet your financial obligations.
Self-employed individuals: Self-employed individuals often lack the safety net of employer-provided disability benefits. Income protection insurance can be particularly valuable for them, providing a safety net in case of an incomedisrupting event.
High-income earners: Those with high incomes may find it challenging to maintain their lifestyle if their income is suddenly interrupted. Income protection insurance can help bridge the gap and ensure they can continue to meet their financial commitments.
Long term care
As Singapore’s population ages, long-term care has become a critical concern for many families. Long-term care services support daily activities and medical needs due to ageing, chronic illness, and disability, as well as individuals who need further care after being discharged from a hospital. Without a plan, the financial and emotional toll on families can be overwhelming, making professional care solutions crucial.
Exploring options like long-term care insurance and community services now can help alleviate the stress of unexpected costs and ensure that you and your loved ones receive the best care possible.
Personal accident
Accidents can happen when we least expect them, and the impact can go beyond physical injuries. Personal accident insurance provides financial protection in the event of accidental injuries, disability, or even death. Whether it's a slip at home or an unexpected incident while traveling, personal accident coverage ensures that you and your loved ones are financially supported during recovery. With medical bills, rehabilitation costs, and potential loss of income, the financial burden of an accident can be significant. By having personal accident insurance, you gain peace of mind knowing that your recovery costs are covered, allowing you to focus on healing without the added stress of unexpected expenses.
Maternity insurance
Maternity insurance provides essential coverage for both mother and baby, offering financial protection against unexpected pregnancy complications, hospitalisation, and neonatal care costs. It ensures you’re prepared for any medical needs that arise before, during, or after delivery. With the rising costs of healthcare, having maternity insurance in place allows you to focus on your health and your baby’s well-being, without worrying about the financial strain.
-
Life insurance
Life insurance
Life insurance acts as a financial safety net, providing your loved ones with crucial support in the event of your passing. It ensures that your family can maintain their standard of living, cover essential expenses, and achieve their financial goals even in your absence. The death benefit can replace lost income, pay off debts like mortgages, fund education expenses, and leave a lasting legacy for future generations.
There are two primary types of life insurance:
- Term Life Insurance: This type of insurance offers coverage for a specific period, such as 10, 20, or 30 years. It's a more affordable option, ideal for temporary needs like protecting your family during your working years or covering specific financial obligations.
- Permanent/Whole Life Insurance: This provides lifelong coverage and includes a cash value component that grows tax-deferred over time. It can be used for various financial goals, such as supplementing retirement income or leaving a legacy. It offers greater flexibility and the potential for long-term financial benefits.
Choosing the right life insurance policy requires careful consideration of your individual circumstances, financial goals, and risk tolerance.
-
Critical illness cover
Critical illness cover
Critical illness cover complements life insurance by providing a lump-sum payment upon the diagnosis of a covered critical illness, such as cancer, heart attack, or stroke. It offers immediate financial relief during a challenging time, allowing you to focus on your recovery and well-being. The pay-out can be utilised to cover various expenses associated with your treatment and recovery, ensuring that you receive the best possible care and maintain your financial stability.
-
Health insurance
Health insurance
Health insurance in Hong Kong provides coverage for medical expenses arising from illness or injury. This typically includes hospitalisation costs, surgical fees, doctor's consultations, medications, and diagnostic tests.
In Hong Kong, residents can utilise the public healthcare system, which offers subsidised medical services. However, due to high demand and potential waiting times, many individuals opt for private health insurance to access a wider range of healthcare providers, faster treatment options, and enhanced benefits like private rooms and specialist consultations.
Private health insurance plans in Hong Kong can vary significantly in terms of coverage and benefits, so it's important to carefully compare plans and choose one that best suits your individual needs and budget. Some key considerations include the level of coverage for hospitalisation and surgery, outpatient care, maternity benefits, and international medical treatment.
Life insurance
Life insurance acts as a financial safety net, providing your loved ones with crucial support in the event of your passing. It ensures that your family can maintain their standard of living, cover essential expenses, and achieve their financial goals even in your absence. The death benefit can replace lost income, pay off debts like mortgages, fund education expenses, and leave a lasting legacy for future generations.
There are two primary types of life insurance:
- Term Life Insurance: This type of insurance offers coverage for a specific period, such as 10, 20, or 30 years. It's a more affordable option, ideal for temporary needs like protecting your family during your working years or covering specific financial obligations.
- Permanent/Whole Life Insurance: This provides lifelong coverage and includes a cash value component that grows tax-deferred over time. It can be used for various financial goals, such as supplementing retirement income or leaving a legacy. It offers greater flexibility and the potential for long-term financial benefits.
Choosing the right life insurance policy requires careful consideration of your individual circumstances, financial goals, and risk tolerance.
Critical illness cover
Critical illness cover complements life insurance by providing a lump-sum payment upon the diagnosis of a covered critical illness, such as cancer, heart attack, or stroke. It offers immediate financial relief during a challenging time, allowing you to focus on your recovery and well-being. The pay-out can be utilised to cover various expenses associated with your treatment and recovery, ensuring that you receive the best possible care and maintain your financial stability.
Health insurance
Health insurance in Hong Kong provides coverage for medical expenses arising from illness or injury. This typically includes hospitalisation costs, surgical fees, doctor's consultations, medications, and diagnostic tests.
In Hong Kong, residents can utilise the public healthcare system, which offers subsidised medical services. However, due to high demand and potential waiting times, many individuals opt for private health insurance to access a wider range of healthcare providers, faster treatment options, and enhanced benefits like private rooms and specialist consultations.
Private health insurance plans in Hong Kong can vary significantly in terms of coverage and benefits, so it's important to carefully compare plans and choose one that best suits your individual needs and budget. Some key considerations include the level of coverage for hospitalisation and surgery, outpatient care, maternity benefits, and international medical treatment.
Frequently asked questions about asset protection planning
At St. James's Place, we understand that no two financial situations are alike. Our experienced financial advisers take the time to get to know you, your family, and your aspirations. We'll work closely with you to understand your specific needs and concerns, then recommend a tailored asset protection plan that aligns with your overall financial goals.
The right asset protection strategies for you will depend on various factors, including your personal circumstances, the type and value of your assets, and your risk tolerance. Our advisers will help you assess these factors and guide you through the different options available, such as trusts, insurance plans, and investment structures, to determine the best fit for your unique situation.
Asset protection planning in Singapore provides peace of mind knowing that your hard-earned wealth is safeguarded from unexpected events. By implementing the right strategies, you can ensure that your assets are passed on to your loved ones according to what you have planned, securing their financial well-being for generations to come.
Yes, absolutely. Life is full of changes, and your financial needs and goals may evolve over time. We recommend regular reviews of your asset protection plan to ensure it continues to align with your circumstances. Our financial advisers will work with you to make any necessary adjustments, ensuring your plan remains relevant and effective as your life progresses.
The costs associated with asset protection planning can vary depending on the complexity of your financial situation and the specific strategies implemented. During your consultation with our financial advisers, we will provide a transparent breakdown of any fees associated with our services and the costs of the recommended solutions, empowering you to make informed decisions about your financial future.
Financial security starts with you
As they say on the airlines: “Secure your own mask first before helping other people.” If you run out of oxygen yourself, how are you going to help anyone else?
We don’t always like to think about it, but one accident or illness can turn your life and the lives of your family, upside down. Who would look after your family, or keep the money coming in, if you suddenly couldn’t work? That’s why it’s important to protect yourself and your loved ones against critical illness, death, and disability with insurance plans that offer assured sums.
Education is your child’s passport to the future
Investing in your children’s education is one of the most powerful ways to create a better world in the future.
But if you or your partner were suddenly unable to work, your children’s education could be one of the first things to suffer if you suddenly can’t afford the school fees.
Every child has a right to the best education we can possibly give them. An education savings plan protects that right and helps to make sure your child has every opportunity to achieve their potential.
Stay on course with business insurance
It’s said that anyone can steer a ship, but it takes a leader to choose the best course.
But if you or a key person in your company were to leave, or need a long period of time off, could your business stay afloat?
No business is bullet-proof, but you can minimise many of the risks with business insurance.
Why St. James’s Place?
At St. James's Place, we believe financial advice is about more than just money. It's about your loved ones, lifestyle, home, professional achievements, and the future you envision for yourself and your family. We work with various external protection providers and have access to a wide range of insurance solutions, but we understand that every client is unique, and all financial advice should be personal. This is why we will understand your situation and recommend only the plans suitable to your specific needs and circumstances.
Award-winning financial advice
At St. James’s Place, our financial planners build personal, long-term relationships through face-to-face, one-to-one guidance and expert financial advice.
The better we know you and your personal life goals, the more confident you’ll feel that you have a detailed financial road map to help you achieve everything you want for you and your family.
We offer financial advice that lasts a lifetime, and beyond.
Tailored protection and savings plans
Our financial consultants only recommend insurance and wealth management plans that suit your unique needs and circumstances.
The value of an investment with St. James’s Place will be directly linked to the performance of the funds selected and may fall as well as rise. You may get back less than the amount invested.
Whether you need financial planning as an individual, for your family, or for your business, our advisers are committed to ensuring every financial plan is uniquely designed to match your personal life goals, personal assets and help you achieve them.