Great Eastern's Family3 plan is a legacy plan that can help you accumulate wealth over your entire life or use it as a way to pass on your savings to your loved ones. It is a whole life participating endowment plan that aims to build savings across 3 generations. While this can be a suitable plan for families who want to pass down wealth, it may be less suitable for people looking for traditional short to medium-term savings plans.
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|Great Eastern Family3 Summary|
|Covers death, TPD and terminal illness|
|2% annual cashback after end of premium term|
|Reinvest annual cashback at a non-guaranteed rate of 3%|
|Average 5-year rate of return (deducting investment expenses): 4.24%|
|Credit Rating: AA-|
Great Eastern Family3: What You Need to Know
If you are looking for an endowment plan for the purpose of generating wealth for yourself and future family, Great Eastern Family3 could be a suitable plan. It is a whole life participating endowment plan that provides annual cash payouts and a final death payout. You can pay our premiums via a single premium payment or over 10 or 15 years. If you choose to pay with a single premium, you'll be eligible for a 5% discount. The policy is set up so that you pass on the policy to your child when they're financially capable of being the policyholder. They will then have the option to pass on this policy to their children. Once the 2nd policyholder dies, the last policyholder will get a death benefit.
Family3 starts paying out a 2% guaranteed cash benefit in addition to a non-guaranteed cash bonus after you finish paying your premiums, which makes it beneficial for people who want to get additional yearly income. However, while you have the freedom to pull out money from your savings plan, you also have the option of reinvesting the cash benefit for a potentially higher final payout. There is also a life insurance component that covers you for death, terminal illness and total and permanent disability.
Because it is structured to expire after the 3rd generation policyholder, you'll need to ensure that the people you pass this plan to will stay committed to the plan. Another drawback to the policy is that it doesn't provide a 100% capital guarantee. However, your grandchild may still get a payout that is higher than the premiums you paid considering that the plan accumulates value over multiple generations. However, this is provided that the policy isn't fully withdrawn via the annual cash benefits. It is also worth noting that this may not be the best plan for people looking for short to medium term savings plans due to the whole life coverage.
Great Eastern provides the option of adding the Payer Benefit Rider for the Family3 plan. This rider will waive any future premiums should something unexpected happen, such as a death or total and permanent disability.
Claims & Contact Information
Endowment plans generally payout without you needing to file a claim. However, you should reach out to your financial advisor if you need to submit a claim for the life insurance portion of the policy.
Great Eastern Family3 Features & Benefits
Great Eastern's Family3 is a whole life endowment plan that can be suitable for people looking to build wealth over several generations. However, while Family3 may be suitable for some people, there may be other plans that will be better suited to your needs. To see if this plan is a good fit for you, you can speak to one of our advisors at PolicyPal. You can also read our guide to the best endowment plans in Singapore.
|Policy Term||10-30 years|
|Premium Payment Term||Single, 5 years, 10-30 years|
|Life Coverage||Death, TPD, Terminal Illness|
|Death Benefit||105% of net premiums paid + 100% of bonuses|
|Annual Cash Benefit||Yes (2%)|
|100% Capital Guaranteed||N/A|
|Medical Check-Up||None required|