- Business Guide: Key Employment Terms (KETs) for Employee Contracts in Singapore
- The Ultimate Guide To Interning In Singapore: How To Find The Best Internships, Get Fair Pay, And Maximize Your Learning Journey
- Unlock the Potential of Your Unpaid Invoices with OCBC Short-Term Invoice Financing
- Comprehensive Guide: How to Obtain a Garnishee Order and Protect Your Rights
- Complete Guide To WhatsApp In-App Payments For Singapore-Based Users
- What You Need To Know Before Applying For A Business Term Loan
- Make Sure Your Voice is Heard - How to Create a Valid Will in Singapore
- Complete Guide For Foreigner Opening Bank Account In Singapore
- Guide to Start-Up Business Loans in Singapore 2023 Edition
- SME Guide To Employer Of Record Services In Singapore
COVID-19: How to Reduce Your Company Insurance Costs During This Pandemic
When we talk about Company Insurance, many Bosses, Human Resource (HR) personnel or Admin staff who are in-charge of insurance usually just want to brush this aside, thinking of it as a headache to settle. Just like many of us who buy life insurance policy once and chuck it aside, thinking that we have covered ourselves enough for all the misfortunes that could happen to us.
Most of the time, companies purchase General Insurance because these are made mandatory by our Government. This means that, as much as we do not want to, or we do not feel that it is necessary, we cannot avoid and we cannot ignore these insurance.
Examples of mandatory insurance are:
- Worker Medical Insurance
- Foreign Worker Security Bond / Levy Bond
- Work Injury Compensation
- Motor Insurance
Other classes of insurance that are not mandatory, but important to have, or sometimes required to have by a third party or due to project requirements are:
- Public Liability
- Product Liability
- Fire and Burglary
- Cargo Insurance
- Fidelity Guarantee
Do you know what do all the above different categories of insurance cover?
It is not just important to know which class of insurance you really need and which are compulsory, but also to know how you can reduce your company insurance costs by getting the right advice.
The first and foremost way of knowing your company insurance is in good hands is by having a trustworthy agent. If it is someone you can fully trust, he should always be working in your best interest to get the best suited insurance coverage for your company.
However, sometimes having one trustworthy agent to look after your company’s portfolio may not be the best way, if your agent only represents ONE INSURER. Unfortunately this is very true (and we are not here to discredit any agent who only works with one insurer).
Because, are you aware that there are a total of 26 general insurance companies in Singapore? While not all of them may be able to suit your company’s needs, it is important to know that your insurance premiums also depend on each individual insurance company’s risk appetite. Hence, it may be good to explore a little bit more, and you will be surprised at the amount of premiums you could be saving every year. The savings could be substantial especially for companies in the Construction, Manufacturing, Marine Cargo and Transport industries.
Nevertheless, please note that differences in premiums could also mean differences in coverage. Sometimes going for the cheapest, lowest premium may not be a good thing. So, please look through the terms and conditions before signing up for the insurance. Which again, brings back to the point of having a trustworthy agent, and in this case, a resourceful agent as well.
Lastly, there is another category of company insurance that is good to have, and can also act as an incentive for employees - Employees’ Benefits Solution (EBS). While some companies choose to manage their employees’ medical costs on a reimbursement basis, most companies choose to provide EBS plans for employees that can cover much more comprehensively than just medical reimbursement. This can also be extended to cover employees’ dependents. Employees see these benefits as a way that their companies care for them, and are in turn more motivated at work (to keep their rice bowl) or as a criteria to look for when they change jobs.
Unfortunately, because this is not compulsory, most of the time during an economic downturn or when the company is not making profits, this benefit will be the first to be taken away to cut costs.
EBS, as its name suggests, covers for more personalized insurance for Employees. This includes:
- Group Term Life
- Group Personal Accident
- Critical Illness
- Hospitalization and Surgery
- Outpatient Clinic Visits (for General Practitioners / Specialists)
- Traditional Chinese Medicine
- Dental Benefits
Good news for companies during this Covid-19 pandemic!
If your company’s EBS is due for renewal, and currently under AIA, Aviva, Great Eastern, Tokio Marine and NTUC, we can match your current benefits at a 5% discount off your renewal premium!
If you would like to enroll for this discount, please fill in the Interest Form.
Additionally, if you would like us to review your other general insurance coverage, please fill in the Interest Form too.
During this Covid-19 pandemic, companies can also apply to insurers to pay their general insurance premiums in installment too!
Not sure whether your company can be qualified for bank loans or alternative lending? Try our A.I assisted loan, and Smart Towkay team will send you a lending report within 24 hours' time. With the lending report, we aggregate and recommend the highest chance of approval be it with BANKS / FINANCIAL INSTITUTIONS or Alternative lenders like Peer to Peer Lenders or even B2B lender!
Got a Question?
WhatsApp Us, Our Friendly Team will get back to you asap :)
Share with us your thoughts by leaving a comment below!
Stay updated with the latest business news and help one another become Smarter Towkays. Subscribe to our Newsletter now!