Insurers recommend products for dad

Taiwan celebrates Father's Day on Aug. 8, as opposed to other countries in the world. In Chinese, the number “eight” is pronounced “ba.” “Ba ba” is “father” in Chinese.

With fathers being the head of the family and in most cases the breadwinner of the household, they are faced with economic pressures and a greater need to get protection against various risks that they may face, insurers said.

According to Lin Shun-tsai, president of New York Life Insurance, dads should get insurance products based on the “double ten” principle, namely benefits 10 times their annual incomes and premiums one-tenth of their annual incomes.

Fathers should get the basics such as a life insurance policy as well as other medical insurance products, Lin suggested. For policies that cover hospital stays, dads may opt for daily payouts of a certain amount, or compensation for the entire hospital stay, he said.

Chris James, president and CEO of Allianz Life, suggested that dads may also choose unit-linked products.

For young dads below 30 years of age, they should get products with their children's future education in mind; for dads between 31 and 50 who are faced with mortgages and car payments, they should choose products with low premiums and high benefits; and for those over 50, they should choose products linked to less aggressive investments such as bonds, so as to keep the value of the principal, James said.

According to New York Life's Lin, fathers with lots of cash still at hand after getting the basics should get policies that yield dividends, are linked to investments and help the policyholder save, in order to plan for life after retirement.

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