Preparation for the School of Hard Knocks

Late teens, to early 20s

You are still dependent on your parents to help put you through college or university.

But what happens to your studies if they unexpectedly pass away?

Insurance you need:
Medical Insurance
Ask your parents to buy this for you. It will save them the burden and anxiety of any hospital bills that you might incur.
Term Life Insurance
If one of your parents passes away unexpectedly, the surviving parent can use some of the proceeds to pay for your college fees. Ask politely to be named as a nominee if you can. This will make it easier for you to receive your share of the insurance proceeds.



Many parents buy an investment-linked policy for their child so their child has some cash reserves when she graduates. You usually have to continue paying the premiums to get the full benefit of the policy.

Instead of investment-linked policies, please ask our parents to invest in unit trusts or roboadviser funds, as commissions are much lower (1%-3% instead of about 40%, and that’s just the first year) and consequently, the likelihood of a better return is much better.