The $1 million coverage plan NSmen should look into for their families before reservist is over

Before your husband hangs up his boots, you and your children are still eligible for this special Mindef & MHA insurance scheme

NSmen can sign up for the MINDEF & MHA Group Term Life insurance plan for themselves as well as their spouse and children any time before they finish their reservist cycle. IMAGE: SPH MEDIA

Your husband is approaching 40, which not only marks the start of middle age, but also the end of his decade-long relationship with National Service as he gets ready to move into the Mindef Reserve (MR).

Before he (literally) hangs up his boots, however, there’s still one more benefit he can enjoy from his time serving the nation: An affordable insurance that covers everyone at home for up to $1 million each.

Watch to find out how Suhaimi Yusof was super "on" about everything during National Service.

SPH Brightcove Video

At a time of your lives when the bills never seem to end – mortgage, car loan, children’s expenses – accepting a deal like this is a no-brainer. So, it’s in your family’s interest to remind him to sign up before it’s too late.

You are assured of coverage until he’s 70, and the policies will stay in force even if he retires, is released from NS duties, or completes his Operationally Ready National Service training cycle.

It all begins with the free Group Term Life and Group Personal Accident insurance cover that Ministry of Defence (Mindef) and Ministry of Home Affairs (MHA) provide to all full-time national servicemen (NSFs) and operationally ready national servicemen (NSmen) while they are on official duties.

The goal is to ensure that those serving their NS have affordable and sufficient insurance coverage. This group insurance coverage – known as the Core Scheme – is underwritten by leading insurer Singlife with Aviva.

Furthermore, NSmen can carry on with this coverage even after they’ve ORD-ed. All they have to do is purchase the same Group Term Life or Group Personal Accident policies under the Voluntary Scheme.

They can even extend the coverage of their term life policy to $1 million, up to the age of 70. Spouses and children of insured members can also be covered under this scheme at the same rates.

So what happens to insured family members if your husband passes on? Coverage will continue for spouses until the plan expires. For children, the coverage will cease at age 25 or when they get married, whichever is earlier.

While NSmen can sign up for the Voluntary Scheme plans even after they have ORD-ed, they cannot do so once they reach the Statutory Age for NS Liability; which is 40 years for Non-Officers, or WOSEs (Warrant Officers, Specialists and Enlistees), and 50 years for Officers.

Get even more comprehensive cover

Under the Voluntary Scheme, your husband can even purchase riders to cover critical illnesses for himself, you and your children. A rider adds other benefits, such as covering critical illnesses, disability income and even outpatient treatment expenses, to the main insurance plan. For example, you can get comprehensive coverage against severe and early critical illnesses by adding the Living Care and Living Care Plus riders to the policy.

Beyond the comprehensive medical coverage, the Mindef & MHA Group Term Life insurance plan is also eligible for exemption from the Home Protection Scheme (HPS). HPS is a compulsory mortgage-reducing insurance by the Central Provident Fund Board (CPFB) that is designed to protect members and their families against losing their HDB flat in the event of death, terminal illness or total permanent disability of homeowners. 

Eligible CPF members can apply for HPS exemption if they have a Mindef & MHA Group Term Life insurance that covers their loan amount. It’s a convenient way to ensure you and your family have a safety net should you ever be unable to finance your mortgage loan – without having an additional policy to pay for.

So before your husband books out for the last time from NS, do remind him there’s one last benefit that he should take advantage of for the sake of his family.

To find out more about Mindef & MHA Group Insurance Scheme, click here.

In partnership with Singlife with Aviva.

- All ages mentioned refers to age next birthday (excluding Statutory Age for NS liability).
- This article is published for general information only and does not have regard to the specific investment objectives, financial situation and particular needs of any specific person. You should read the Product Summary and seek advice from a financial adviser representative before making a commitment to purchase the product.
- Terms and conditions apply. This advertisement has not been reviewed by the Monetary Authority of Singapore. Protected up to specified limits by SDIC. Information is accurate as at September 8, 2022.

Join ST's Telegram channel and get the latest breaking news delivered to you.