Millennials: Should you YOLO when it comes to buying critical illness insurance?

You might have heard of the slang You Only Live Once (YOLO), an expression about living in the moment. It is used to justify new experiences such as skydiving or indulging in guilty pleasures such as bubble tea. For many of us, it is often an excuse to put off activities about planning and preparing for the future, which includes buying insurance. Planning for your future might seem like it contradicts your ability to enjoy living in the present, but it actually doesn’t. On the contrary, it empowers you to continue doing what you love to do now. Critical illness insurance provides financial protection, so you can confidently pursue new experiences today and live life to the fullest.

Here are some reasons why you should consider thinking beyond the present and financially protect your future with critical illness insurance.

1. Life is unpredictable

When we experience a global pandemic that turns our lives upside down, we understand that life is full of uncertainties. We simply don’t know what tomorrow might bring and the truth is we can never predict what will happen, especially regarding our health.

While we can’t anticipate everything that happens to us, we can protect ourselves financially for unexpected situations such as a critical illness diagnosis. Some knowledge and preparation can go a long way in helping us stay covered. For example, did you know that cancer, heart attack and stroke account for 90% of all critical illness claims in Singapore?¹ In fact, they are among the top ten conditions for hospitalisation here.

In the event of a critical illness diagnosis, the payout that you receive from your insurance provides you with financial support to cover treatment costs and financial needs, helping to tide you through tough times so that you are able to focus fully on recovery. Life may throw you a curveball when you least expect it, but insurance can help mitigate its impact.

Just like these younger adults in Singapore who were diagnosed with cancer: she was diagnosed with leukemia twice and overcame it, and he survived stage four cancer at a young age of 21. In both instances, the insurance payout that they received was critical in helping them win the fight.

Read also: How do you stay prepared if critical illness strikes more than once?

2. You wouldn’t be young forever

As a famous actor and comedian George Burns once said, “You can’t help getting older”. It is inevitable. As we get older, we accumulate more wisdom (and hopefully more wealth too) but we should also start paying greater attention to our health.

While it might be tempting to not think about it now, the time will come sooner rather than later. Getting insured earlier means one less thing to worry about. In fact, there are also some good reasons to why you should get critical illness insurance even  when you are young and healthy.

While it’s not common, young adults can be diagnosed for critical illness as well. Here’re some interesting statistics about critical illness in Singapore: The incidence of stroke among individuals aged 15 to 29 has increased from 3.8% in 2010 to 5.7% in 2019.² In addition, cancer diagnosis among males and females under age 30 in Singapore make up 2.2% and 2.4% of all incidences respectively.³

Critical illness coverage is crucial for helping you stay prepared for such a situation if it arises. Cover yourself with a comprehensive plan such as FWD Critical Illness Plus insurance that covers 37 late-stage critical illnesses, or a no-frills protection plan, such as FWD Big 3 Critical Illness insurance. This plan provides coverage for the three most common critical illnesses in Singapore.¹ No matter which is your preferred product, it is important to take the first step now, so you’ll be well-prepared if the time comes.

Read also: Do you need critical illness insurance if you are young and healthy?

3. Build your financial safety net

At this life stage, it is perfectly understandable to prioritise wealth building and put money into financial products such as stocks or bonds. There’s nothing wrong with the desire to grow your wealth. However, wealth-building is just one aspect of financial well-being. There are other aspects that should not be overlooked, such as financial protection for loss of income in the event of a critical illness diagnosis.

Critical illness can occur to anyone. The payout that you receive from critical illness insurance provides you with financial resources to support you during your recovery period when you’re unable to work. It also helps to safeguard your savings, so that your hard-earned money doesn’t all go towards paying medical bills.

According to a study published by the Life Insurance Association (LIA) in 2018, a patient diagnosed with a critical illness needs at least 3.9 times⁴ of one’s average annual income to cover family needs and support recovery over a five-year period.

With the right plan, critical illness insurance can be affordable. For example, with FWD Big 3 Critical Illness insurance, you can be financially protected for late-stage conditions of the three most common critical illnesses – cancer, heart attack and stroke. This plan also covers you for early and intermediate stages of cancer. Designed to be comprehensive yet affordable, the plan can cost as low as S$15 per month for S$50,000 coverage.⁵ The plan disburses 100% of the payout in a lump sum if your claim is successful. Furthermore, no medical examination is required if you’re in the pink of health.⁶ You will only have to answer a simple health declaration.

You only live once; make the most of it

Life is short and you only live once. You should make the most of it and live the life that you want. Being covered for critical illness today gives you the assurance that you’re prepared, financially protected and worry-free no matter what happens.

Getting critical illness coverage online can be quick and easy. With our aim of changing the way people feel about insurance, we offer a seamless and fuss-free way of getting the financial protection that you need. Simply select your desired protection plan from our website and get a critical illness insurance quote within minutes, from anywhere and at anytime.