2 in 3 working Singapore Residents concerned about losing job due to illness and/or disability: AIA Disability Income Survey 2022

• Key barriers to purchasing disability income policies include product complexity, complicated processes and high premiums.
  • 1 in 4 (25%) of females cite the cost of premiums as a reason for not having DI protection compared to less than 1 in 5 (16%) of males. This was the most selected reason amongst females.
  • However, 22% of men said they did not have DI protection because they don’t think they need it – the most selected reason amongst males. Only 13% of women chose this reason.

Melita Teo, Chief Customer and Digital Officer, AIA Singapore, said, “Losing one’s job and becoming dependent on others due to an unexpected accident or illness is painful and places heavy financial and emotional burdens on a person and their loved ones. Understanding the pain points of disability income plans allows us to better address Singaporeans’ concerns which range from affordability, to ease of getting insured and making a claim. These are key priorities which informed how we developed the AIA Pay Protector to make disability income protection accessible to even more members of the community.”

In 2021, a Ministry of Manpower (MOM) report noted that workplace injuries have risen to pre-covid levels, with construction, transportation and storage sectors accounting for the highest number of fatalities^[4]. The gap in disability income protection is a cause for concern, especially among blue-collared workers who are at a higher risk of disability due to the nature of their work.

AIA Pay Protector – first-in-market simplified disability income plan offers lower premiums, fixed monthly benefits regardless of income fluctuation or any sources of income and simplified processes

Designed with insights and feedback from customers and AIA Insurance Representatives, the AIA Pay Protector addresses key concerns and barriers around product complexity, vague definitions, and claims uncertainty arising from declaration of earnings and income fluctuation.

AIA Pay Protector is the first-of-its-kind in the market that promises payouts will not be offset by any sources of income or other disability income insurance payouts and will not be affected by any changes to income prior to disability, giving customers a peace of mind and ample support to reboot their careers while they recover from illness.

Customers can select their desired fixed monthly payouts from a range of $1,000 to $5,000^[5] where benefits will be paid out for up to 5 years^[6] in the event where they are unable to perform material duties of their own occupation due to illness or disability (physical or mental).

With fixed payouts, claim processes are streamlined and become more efficient due to the elimination of calculation when claims are eventually made.

AIA Pay Protector also provides payouts in the event of job loss due to mental health conditions, paving the way for destigmatising mental health within the workplace.

This echoes the growing focus on mental health and well-being amongst Singaporeans as they emerge from a prolonged pandemic. As a leading insurer, AIA Singapore recognises the need for the inclusion of mental health in different types of insurance coverage, and as a reason for job loss across occupations. In 2019, AIA Singapore is the first insurer to cover mental health in its critical illness plan, AIA Beyond Critical Care.

Irma Hadikusuma, Chief Product Proposition Officer, AIA Singapore, said, “It is important for us to recognise and help people address their protection gaps with simple, innovative solutions. The pandemic has accelerated the need for greater financial independence – regardless of whether you’re single or have a family to care for. AIA Pay Protector responds to this demand by promising continuity of this independence with certainty of income in the short term for the unexpected event of job loss due to mental illnesses or physical disabilities.”

Customers who are keen to apply for AIA Pay Protector can do so directly from My AIASG app or contact an AIA Insurance Representative. The hassle-free application process includes a simple medical history questionnaire that customers can fill out on their own. Customers are neither required to disclose their actual income amount nor submit their payslip in the process of application via our digital direct sales platform.

For more information on AIA Pay Protector, and AIA’s comprehensive disability proposition, please visit: https://www.aia.com.sg/en/our-products/disability-income-protection/aia-pay-protector.html ^[7]

AIA Group Limited and its subsidiaries (collectively “AIA” or the “Group”) comprise the largest independent publicly listed pan-Asian life insurance group. It has a presence in 18 markets – wholly-owned branches and subsidiaries in Mainland China, Hong Kong SAR(1), Thailand, Singapore, Malaysia, Australia, Cambodia, Indonesia, Myanmar, New Zealand, the Philippines, South Korea, Sri Lanka, Taiwan (China), Vietnam, Brunei and Macau SAR(2), and a 49 per cent joint venture in India.

The business that is now AIA was first established in Shanghai more than a century ago in 1919. It is a market leader in Asia (ex-Japan) based on life insurance premiums and holds leading positions across the majority of its markets. It had total assets of US$340 billion as of 31 December 2021.

AIA meets the long-term savings and protection needs of individuals by offering a range of products and services including life insurance, accident and health insurance and savings plans. The Group also provides employee benefits, credit life and pension services to corporate clients. Through an extensive network of agents, partners and employees across Asia, AIA serves the holders of more than 39 million individual policies and over 16 million participating members of group insurance schemes.

AIA Group Limited is listed on the Main Board of The Stock Exchange of Hong Kong Limited under the stock code “1299” with American Depositary Receipts (Level 1) traded on the over-the-counter market (ticker symbol: “AAGIY”).

Notes:
1. Hong Kong SAR refers to Hong Kong Special Administrative Region.
2. Macau SAR refers to Macau Special Administrative Region.

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