Complete Life Secure (300%) (With DD) by Income Insurance Limited

Complete Life Secure (300%) (With DD) is a regular premium whole life participating plan offered by Income Insurance Limited, designed to provide lifelong protection with the potential for cash value growth. As a participating policy, its value increases through regular bonuses derived from the performance of the insurer’s Life Participating Fund, though these non-guaranteed returns depend on fund performance. The product is structured around a "multiplier cover" feature, allowing policyholders to select a sum assured multiplier ranging from 100% to 500%. For this specific variant, the coverage provides 300% of the basic sum assured as the death or total and permanent disability (TPD) benefit before the insured reaches a specified age limit (65, 75, or 80). Beyond standard life coverage, it includes a retrenchment benefit that waives premiums if the insured is unemployed for three consecutive months after being retrenched, and a Flexi Cash Access option that allows for annual cash payouts from the policy’s cash value.

How it compares

When evaluated on a like-for-like basis for a 35-year-old male non-smoker with a $100,000 sum assured, Complete Life Secure presents a distinct cost-benefit profile compared to its peers.

Premium Costs: The annual premium for Complete Life Secure ranges from $3,819 (depending on the specific premium term chosen between 21 to 25 years). This makes it significantly more affordable than Essential whole life cover with CI by Etiqa ($9,230/yr) and LifeReady Plus (II) by Manulife ($5,455/yr). However, it is slightly cheaper than China Life Multiplier Guardian Supreme, which costs $4,342 per year. The lower premium of Complete Life Secure reflects its longer premium payment term (21-25 years) compared to China Life’s shorter 16-20 year term.

Surrender Value and Returns: At the 20-year mark, the projected surrender value for Complete Life Secure is $17,000. This is lower than Etiqa’s Essential whole life cover ($26,300) but higher than China Life’s Multiplier Guardian Supreme ($14,110). It is nearly identical to Manulife’s LifeReady Plus (II), which offers a surrender value of $17,500.

Regarding investment performance, Complete Life Secure boasts a 5-year net return of 1.58% and a 10-year net return of 4.04%, with a Total Expense Ratio (TER) of 0.94% over 5 years. These expense ratios are notably lower than China Life’s TER of 3.31% and Etiqa’s 2.25%. However, its 5-year net return of 1.58% is lower than China Life’s reported 2.36%, though direct comparison is limited as Manulife and Etiqa do not provide comparable 5/10-year net return data in the same format.

Pros

• Competitive Premiums: Offers one of the lowest annual premiums ($3,819) among comparable whole life multiplier plans, making it accessible for budget-conscious consumers seeking lifelong coverage.
• Low Expense Ratio: The TER of 0.94% (5-year) is significantly lower than competitors like China Life (3.31%) and Etiqa (2.25%), potentially allowing more of the premium to work towards cash value accumulation.
• Strong Multiplier Coverage: Provides up to 300% sum assured coverage for early-to-mid career stages, offering substantial protection leverage.
• Guaranteed Insurability: Includes a guaranteed insurability option allowing the purchase of additional cover without new medical underwriting upon specific life events (e.g., marriage, birth of a child).
• Retrenchment Benefit: Unique waiver of premiums for up to six months following retrenchment, providing temporary financial relief during job loss.

Cons

• Lower Early Surrender Value: The 20-year surrender value ($17,000) is lower than Etiqa’s Essential whole life cover ($26,300), indicating slower cash value buildup in the medium term compared to some peers.
• Non-Guaranteed Returns: A significant portion of the policy’s potential growth relies on non-guaranteed bonuses from the Life Participating Fund; historical performance (e.g., 1.58% over 5 years) does not guarantee future results.
• Complex Flexi Cash Access: The option to take cash payouts reduces the basic sum assured annually, which may diminish the ultimate death benefit unless carefully managed.
• No SRS/CPFIS Payment: Premiums cannot be paid using Supplementary Retirement Scheme (SRS) or CPF Investment Scheme (CPFIS) funds, limiting tax-advantaged or CPF-based funding options.

Who it may suit

This product is best suited for individuals seeking affordable, lifelong death and TPD protection with a high multiplier benefit during their working years. It appeals to those who prioritize lower annual premiums and are comfortable with a longer premium payment term (21-25 years). The low expense ratio makes it attractive for cost-conscious investors who understand that returns are not guaranteed. It may also suit individuals who value the flexibility of the Flexi Cash Access option for retirement income planning or the Guaranteed Insurability Option for future coverage needs without medical hurdles. However, it is less suitable for those seeking immediate high cash value accumulation in the first two decades or those requiring SRS/CPFIS payment flexibility.

This is general information based on CompareFIRST.sg data, not financial advice. Premiums and features can change; please verify with the insurer or a MAS-licensed financial adviser before making any decision.