You have probably heard that it is better to buy insurance at a young age, as the insurance premiums will go up while health conditions will go down with age. However, how costly is it to put off buying insurance until an older age? Previously, you need to have an insurance agent friend to know this. However, with compareFIRST.sg, we can now know the cost of putting off buying insurance until an older age.
The chart below shows the annual premiums (blue) and total premiums (red) for a level term insurance with critical illness benefits for a non-smoking male with a sum assured of $1 million covering until 70 years old. Using age 25 as an example, the annual premium is $3,150, payable for 45 years until age 70. The total premiums payable would be $141,700. If this person were to put off buying insurance for 5 years …