About ILPs

Investment-linked insurance policies (ILPs) are policies that provide you with life insurance coverage in addition to the investment feature.

Premiums you pay are used to

  • Pay for premium charges
  • Pay for insurance coverage
  • Invest in “units” in one or more sub-funds

ILPs provide insurance protection in the event of death. ILPs may also provide cover for terminal illness (TI), total and permanent disability (TPD) or critical illness (CI), depending on the product and coverage selected.

The value of your units depends on the unit price, which changes according to the sub-fund’s performance. It is important to note that ILPs usually do not have any guaranteed cash values.

ILPs offer a variety of features that you may find useful.

  • Professionally Managed
    ILPs invest in sub-funds managed by professional fund managers who manage the investment strategy, curate the investment portfolio, and carry out trading activities.

  • Flexibility
    You can change what you invest in simply by switching sub-funds. You can also reduce or increase your insurance coverage, top up your investments or make partial withdrawals, subject to the terms and conditions of your policy.

  • Payment Flexibility
    In times of need, you can opt for a Premium Holiday and stop paying regular premiums for a period of time. During this time, we will stop buying new units for your investment. Also, units from your sub-funds will be sold to pay for the insurance charges and any other applicable charges of your policy so you can continue getting the coverage you need.

Features differ from policy to policy. Please refer to your policy for exact terms and conditions.

ILPs do carry investment risk, just like most investment products. ILP returns are not guaranteed and will depend on the performance of the underlying sub-funds selected. The value of your investments may increase or decrease according to market conditions.

Returns for ILPs typically begin accumulating value only after a few years, and these returns may or may not be guaranteed, depending on your policy terms. You may also incur losses if you choose to surrender your policy early.

It is important for you to assess your risk appetite and seek financial advice before deciding to invest in an ILP.

Only the premiums paid for the basic plan will be utilised to buy units, subject to a premium charge (if any). The premiums paid for riders will only be used to pay for your coverage.

You can leave your details here and a Financial Consultant from Prudential will contact you. Please note that officers at our Customer Service Centre and hotline will not be able to offer you investment advice or suggestions.

Accessing your ILP

You can log on to Prudential Singapore app or PRUServices (web) account and select Documents to view your policy-related documents, notices, and letters.

You can log on to Prudential Singapore app or PRUServices (web), and select a policy at Home page to view details of your account.

  1. Log in to Prudential Singapore app or PRUServices (web).

  2. On the homepage, select the relevant policy.

  3. Under the Popular Services header, click "View eDocuments".

  4. Search for the document titled “Fund Distribution Declaration".

Fund Performance

You can log on to Prudential Singapore app or PRUServices (web), and click on the policy number at Homepage to check the value of your funds under Values tab.

You can refer to this link to view the bid and offer prices of the PRULink Investment funds.

You can refer to this link to view fund investment returns.

You can refer to this link to check the fund details and keep track of the fund.

Portfolio Solutions

A portfolio solution allows you to invest in a carefully chosen, well-diversified mix of funds. The portfolio allocation is managed by a team of investment professionals from Mercer Investment Solutions (Singapore) and is rebalanced regularly based on economic and market condition changes.

Funds can be switched in multiples of 5%. To switch out the full value of your units in a Fund, please indicate 100% as the percentage of units you wish to switch out from. You can switch out your units to a maximum of 10 new Funds each time.

The funds/portfolio you choose to switch into may or may not be in line with your current investment objectives and risk profile. If in doubt, please contact your Financial Consultant.

For the list of available funds, please visit www.prudential.com.sg for more details.

To request for a Fund Switch, please download the Fund Switch form found on our website.

Fund Switch

A fund switch happens when a customer sells in full or partially, the units held in a fund or sub-fund, so as to buy units of another fund or sub-fund.

It may be helpful to consider a Fund Switch if your financial circumstances or risk appetite have changed and you no longer find your current fund or sub-fund suitable.

  1. Log in to Prudential Singapore app or PRUServices.

  2. Select an eligible policy at homepage.

  3. Select Fund Details tab and view Premium Allocation.

No, there are no charges for a fund switch.

You may submit multiple fund switches in one request by clicking on the "Make a new Fund Switch" button.

You can speak with your Financial Consultant or a distributor duly appointed by Prudential Singapore for more information.

Charges

You can log on to Prudential Singapore app or PRUServices (web), select Documents > View eDocuments > Request a document > Revised Benefit Illustration.

Assurance Charges are the costs of providing the basic benefits of death, total and permanent disability, terminal illness and selected riders (if any). Should you be required to pay extra for medical, occupational or hazardous activities, these would be added to the assurance charge.

Assurance Charges are determined after considering

  • The prevailing assurance rates
  • The sum assured or Multiplier benefit (if this applies), and
  • The life assured’s age at each billing

Assurance Charges can be derived from the Assurance Charges Table and is measured based on your Sum-at-Risk, Age, Gender and whether you are a Smoker. By matching your age to the relevant columns, namely Male Smoker (MS), Male Non-smoker (MNS), Female Smoker (FS) or Female Non-smoker (FNS), you would be able to determine your Assurance Charges measured according to per unit Sum-at-Risk, per annum.

A numerical example of calculating your monthly assurance charges for PRUVantage Assure can be found below. Assuming the policyholder has the following details:

Current Age (Age next birthday)= 50 years old
Sex= Male
Smoker Status= Non-Smoker
Sum Assured= $103,000 for Death, Accidental Disability
Wealth Assure Value=$101,000
Initial Investment Account Value=$100,000
Additional investment Account Value=$50,000
Death/Accidental Disability Benefit= Highest of (Sum assured, Wealth Assure Value, Initial Investment Account Value) + Additional Investment Account Value
= Max(103,000, 101,000, 100,000) + 50,000
=$153,000
Sum-at-Risk= Death/Accidental Disability benefit - Initial Investment Account Value - Accidental Investment Account Value
= $153,000 - $100,000 - $50,000
= $3,000

The current monthly assurance charge would therefore be:

Death/Accidental Disability= $2.94 per $1,000 sum-at-risk
Total current monthly assurance charge= Assurance charge rate/1000 * Sum-at-Risk * Monthly modal factor
= 2.94 * 3,000/1,000 * 0.0834
= $0.74

You can log on to Prudential Singapore app or PRUServices (web). Under the "Documents" tab, select "Policy Letters" then search for the Document name "Copy of Quotation".

Depending on the type of ILP you have, there may be a surrender charge. You may consult your Financial Consultant, or a distributor duly appointed by Prudential Singapore for more information.

Top Up

You can reach out to your Prudential Financial Representative or a distributor duly appointed by Prudential Singapore for more information.

Partial Withdrawal

You can log on to Prudential Singapore app or PRUServices (web) to apply for Partial Withdrawal.

For Prudential Singapore app:
Select Services at the bottom navigation bar > Investments > Partial Withdrawal

For PRUServices (web):
Select Investment > Partial Withdrawal

Partial withdrawals may or may not affect your insurance coverage, depending on what plan you have.

In cases where your partial withdrawal involves a reduction of your insurance coverage, you may wish to note that it may affect your ability to obtain a similar level of protection on the same terms in the future. It may also result in situations where you're not able to get insured on standard terms or result in you having to pay a higher premium with age or lose specific policy features due to changes in age or health conditions.

An insurance policy is intended to meet your long-term financial needs, and a partial withdrawal may result in losing the financial benefit accumulated over the years or an inability to achieve your intended financial objective at maturity.

We can only take in one transaction, per-pricing, per day for ILP policies.

Premium Holiday

This refers to the period in which policy owners do not have to pay any premium but still enjoy the basic benefits defined in the policy. During this period, the insurer will sell existing units from the policy to pay for outstanding benefit charges. Supplementary benefits (if any) will be terminated.

A premium holiday can be activated for as long as the policy has sufficient cash value to keep it in force during the premium term.

Depending on your policy, a premium holiday for ILP policies may be automatically activated (if applicable) as an existing product feature, to prevent your policy from lapsing. This is subjected to the policy having sufficient units in the account(s). The policyholder can also opt for a premium holiday for his/her existing ILP plans by providing us with a signed memo instruction mailed to our PO Box at Prudential Assurance Company Singapore (Pte) Limited Privy Box No. 920427, Singapore 929292.

If there are insufficient units left to pay for any outstanding charges, the policy will lapse, and all coverage/benefits would cease.

The insurance coverage charges (if applicable) will be deducted via the selling of units. You cannot opt to pay for it via cash.

If premiums are not received on time, the units in your account, if any, will be sold, and the proceeds will be used to pay for your insurance coverage charges.

Other supplementary benefits shown on your Certificate of Life Assurance will automatically discontinue once you stop paying your regular premiums.

In this case, your policy continues to provide you coverage at the same or reduced sum assured, depending on the terms and conditions of your policy. You will continue to incur the administration charges and insurance costs.

If there are no more units in your account, your policy will terminate on the next billing date.

Reinstating Policy

Yes, you may, subject to further underwriting (if applicable).

You can complete and submit the Reinstatement application form. Requests will be subject to fulfilment of requirement(s) and our approval.

Surrender Policy

Please contact our PruCustomer hotline at 1800 333 0333 to request for the form.

All proceeds will be returned to your CPF account when you surrender or withdraw from your CPF Investment policies.