BCP Life Insurance Products

Question 1

What is a 'whole life' insurance policy commonly sold in Singapore?

Accepted Answer

A policy that provides coverage for the insured's entire lifetime with a savings component

Answer

A policy that covers the insured for a specific term only

Answer

A policy that covers only accidental death

Answer

A policy that covers only hospital expenses

Question 2

What is the key difference between a 'participating' and 'non-participating' life insurance policy in Singapore?

Accepted Answer

Participating policies share in the insurer's surplus/profits; non-participating do not

Answer

Participating policies require medical exams; non-participating do not

Answer

Non-participating policies have higher premiums

Answer

There is no difference under MAS regulations

Question 3

What is the purpose of DependentsProtection Scheme (DPS) in Singapore?

Accepted Answer

To provide affordable term life insurance coverage for CPF members

Answer

To provide investment returns for retirees

Answer

To cover hospital surgical expenses

Answer

To provide unemployment benefits

Question 4

What type of life insurance policy pays a benefit only if the insured dies within a specified period?

Accepted Answer

Term life policy

Answer

Endowment policy

Answer

Whole life policy

Answer

Annuity

Question 5

What is an endowment policy in the Singapore insurance market?

Accepted Answer

A plan that combines insurance protection with a savings or investment component, maturing after a set period

Answer

A pure protection plan with no savings element

Answer

A plan that only covers critical illness

Answer

A plan exclusively for education funding

Question 6

Under MAS Notice 307, what must Singapore insurers disclose in the Benefit Illustration (BI) for life insurance products?

Accepted Answer

Projected returns at two different investment rate scenarios (lower and higher)

Answer

Only the premium amount

Answer

Only the death benefit

Answer

Only the surrender value at maturity