Protection gap

An Average Singaporean Is At Risk Of A 6-Digit Protection Gap. How Much Protection Gap Are You Living With?

Insurance is one of the foundations of a good financial portfolio. That’s because you first start with a good layer of insurance protection in your financial plan before you move on to other types of financial assets such as investments. Yet, for some Singaporeans, insurance is the biggest protection gap in your financial plan.

Average Singaporean At Risk Of 6-Digit Protection Gap

Based on studies by Life Insurance Association of Singapore (LIA), an average working adult in Singapore has a mortality gap of ~$170,000. Not just that, he/she will also have a critical illness gap of ~$257,000. This means that the family of an average Singaporean working adult will face a 6-digit shortfall if you fall victim to critical illness or unexpected death.

Why Are Singaporeans Failing To Address Our Protection Gap?

One of the challenges in addressing this protection gap in Singaporeans’ financial plan is that the average Singaporean don’t know how to calculate the protection gap. That’s why, to help raise awareness of insurance and address this issue among Singaporeans, LIA recently launched an insurance calculator.

Not only does the insurance calculator lets you identify how much insurance you need at your current life stage, but it also helps you identify the gap in your insurance plan.

How Does LIA’s Insurance Calculator Work?

To use the LIA insurance calculator, all you need to do is to answer a few questions for the algorithm to determine your current life stage. You will answer questions about your demographics, dependents and current existing coverage.

By simply answering 7 short questions, you can get a quick estimate of your current protection needs and how far away you are from your protection needs. You can then get a download of the quick report from LIA by simply downloading it from LIA’s website.

Try LIA’s Insurance Calculator here and check whether you are adequately covered with the right insurance. Alternatively, you can use Moneyline.SG Self Check to do a summarised review with you on your potential protection blindspots

report on insurance protection gap

Source: Sample protection gap report from LIA Insurance Calculator

LIA’s Insurance Calculator Lets You Do A Detailed Report Of Your Protection Needs

Besides the basic protection gap report, LIA’s insurance calculator also provides a more detailed protection gap analysis. This requires more input from you on your family’s current financial commitments, income as well as the age of your dependents. This lets you get a more detailed and comprehensive analysis of your personal financial situation and insurance gap.

Read: How much should you spend on Life insurance? 

What Should You Do If You Have A Protection Gap?

What if you come to the realization that you have been sitting on a protection gap for the longest time? Well, the most logical thing for you to do is to address that protection gap. You should definitely not wait any longer because every moment you live without adequate protection coverage is a risk for you and your loved ones.

If you have a mortality protection gap, you can consider buying a whole life insurance or term insurance to address that gap. You can check out some of the best whole life plan and term insurance plan using Moneyline’s insurance aggregator tool.

If you have a critical illness protection gap, you should definitely start checking out your critical illness options here. Once you are more familiar with critical illness and ready to make the purchase, make sure to compare critical illness plans so that you get the best deal to protect yourself and your loved ones.

What If You Are Still Unsure How To Address Your Protection Gap?

If you find yourself stuck in a choice dilemma or simply just unsure about what is the next step to take, fret not. You can always and reach out to our team of experienced financial planners to help you devise the best plan to address your protection gap.


  • The older you are, the higher will be the premiums you need to pay.
  • Any health condition(s) you have at the time of your insurance application may be excluded, which means that the policy will not pay on your claim related to the health condition(s).
  • By clicking the "Contact me" button below and submitting your personal data on this form, you consent and agree to Moneyline.SG and third party licensed representatives to collect, use and disclose your personal data for the sole purpose of contacting you to provide you with marketing and promotional information relating to the products and/or services offered and/or distributed via email, call and/or text messages/SMS.

Comments are closed.

  • MoneyLine.sg is an independent information provider. It is not a bank or financial services provider and cannot give direct financial advice.
  • All Sample Premium results if shown are based on the criteria indicated and MoneyLine.sg does not warrant or guarantee that anything written here is accurate, timely, or relevant to the solution of any problem you may have.
  • Contents are intended as general information only and do not consider financial situation or need of any user or reader, any specific person or group of persons. It does not constitute advice nor does any part of the content constitute an open offer capable of forming the basis of a contract.
  • Moneyline.sg works with Synergy Financial Advisers to present these contents. Synergy Financial Advisers makes no representation or warranty as to its adequacy, completeness, accuracy or timeliness for any particular purpose. All information provided is not intended to be and does not constitute financial advice, insurance advice or any other advice or recommendation of any sort offered or endorsed by Synergy Financial Advisers.
  • Promotions indicated on this page may not be accurate and may be subjected to changes by providers without warning. Moneyline.SG does not take responsibility for the accuracy of the information shown in this content.
  • You are recommended to seek financial advice from a qualified financial advisor for product suitability and its latest premium rates quotation before deciding to purchase the product. In the event you choose not to seek advice, you should consider if the product is suitable for you.
  • Without prejudice to the generality of this, MoneyLine.sg Pte Ltd specifically excludes liability for any loss or damage no matter how arising from the use of this Web Portal or of any information or services provided through this web portal.
  • Please read our full Disclaimer on the use of our website.