If you foresee difficulties in paying your future premiums using CPF, you may wish to consider the following options after consulting your insurance advisor:
- Pay the instalment using cash. Any proceeds from your insurance policy will then be apportioned according to the amount of premiums paid using cash and CPF;
- Change the payment frequency from yearly to half-yearly or even to quarterly or monthly, subject to the insurance company’s agreement, so that a lower premium will be deducted per payment;
- Reduce the sum assured, thus reducing the amount of premium payable; or
- Convert the policy to a paid-up policy.
After you have decided on the option, you need to liaise with your insurance company on the payment of the premium.
