In this episode, we talked about:
- Why insurance feels confusing (and intimidating) as a young adult
- Insurance as a financial protection tool, not just a medical card
- What insurance policies to prioritize as a fresh graduate
- Insurance savings plans vs bank savings plans
- When and why you should get insurance early
- Navigating insurance with pre-existing conditions and mental health history
- The importance of critical illness coverage beyond medical cards
- How much of your income you should allocate to insurance
- When to review your policy and life-stage triggers to top up
- Common red flags to watch out for in insurance agents
- Wendy’s personal experience being misled by an agent and lessons learned
Listen to the full episode now:
“Insurance is not just a medical card — it’s a financial tool that gives you options when life happens.”
Timestamp:
- 00:00 intro
- 01:39 general understanding about insurance as adults
- 04:26 what insurance policies should you get started with
- 05:55 insurance savings plan vs. bank savings plan
- 07:33 what is a waiver in an insurance plan
- 08:15 minimum payment and application requirements for an insurance plan
- 09:31 Wendy’s struggle to get an insurance policy due to mental illness
- 11:11 what happens if you have an existing mental or physical illness
- 14:50 Diana’s father’s treatment experience due to preexisting conditions
- 15:55 Wendy’s hospitalisation experience
- 18:09 the price of medical bills if you don’t have a medical card
- 19:14 how often do you have to review your insurance policies
- 21:50 how frequently and how much to top up for your policies each year
- 23:15 how much budget should I be allocating for insurance
- 27:31 what policies do you think everyone should get
- 31:42 Wendy’s unfortunate encounter with an insurance agent
- 38:28 red flags to look out for in insurance agents
- 42:54 connect with Diana!
- 43:49 outro
“Prepare the umbrella before it starts raining.”
Connect With Diana:
Diana’s Instagram: https://www.instagram.com/dianachong/
Detailed Summary:
Introduction
Insurance is something many of us are told to get once we enter adulthood — but very few of us are actually taught how it works or what to look out for. In this episode of Small Girl Big Talk, Wendy sits down with Diana Chong to unpack insurance in a clear, honest, and beginner-friendly way, based on real-life experiences.
The conversation explores why insurance often feels intimidating, especially for young adults, and why it shouldn’t be viewed as just a medical card. Diana explains that insurance is a financial tool designed to protect you at different life stages, and that relying solely on company insurance can be risky due to limited coverage.
Starting Insurance as a Young Adult
For fresh graduates just entering the workforce, Diana shares that the most important place to start is with a medical card, followed by a basic insurance savings plan. These provide essential protection while also helping young adults build disciplined saving habits early on. Insurance savings plans are likened to a “second EPF” — a form of forced savings that grows over time and continues even during periods of illness through waiver benefits.
Insurance, Mental Health & Pre-existing Conditions
Wendy also opens up about her personal experience of delaying insurance due to living abroad and later being diagnosed with depression. Diana explains that applying for insurance with pre-existing conditions can result in three outcomes: rejection, exclusion, or premium loading. This highlights why getting insured early — while young and healthy — is crucial.
Why Critical Illness Coverage Matters
Beyond medical cards, Diana emphasises the importance of critical illness coverage. Unlike medical insurance, which pays hospitals directly, critical illness coverage provides a lump sum payout to the policyholder. This allows individuals to cover daily expenses, recovery costs, alternative treatments, and income loss during long-term illness.
Reviewing Your Policy & Budgeting Wisely
The episode also touches on the importance of reviewing insurance policies annually, ideally before your birthday, as premiums are age-based. A general rule of thumb shared is allocating around 10% of monthly income towards insurance — while ensuring it remains affordable and sustainable.
As life stages change — marriage, home ownership, children, or becoming a caregiver — insurance coverage should be reviewed and adjusted accordingly, especially for life and critical illness protection.
Red Flags When Dealing With Insurance Agents
One of the most vulnerable moments in the episode comes when Wendy shares her experience of being misled by a previous agent, believing she had a savings plan when she did not. Diana highlights key red flags to watch out for, including agents who push policy surrendering, fail to explain coverage clearly, or discourage clients from reading policy documents.
Ultimately, the episode reinforces the importance of working with an agent who prioritises education, transparency, and the client’s best interest — not just sales.
Conclusion
This episode serves as a grounded guide for anyone navigating insurance for the first time or reassessing their current coverage. Through practical advice and personal stories, it reframes insurance as a form of self-responsibility and protection — empowering listeners to make informed decisions and avoid costly mistakes in their adulthood journey.
