1. Does the corporatisation exercise, including the transfer of business to the new corporate entity, affect policyholders?
- The insurance policies issued by the co-operative, NTUC Income Insurance Co-operative Limited (Co-op) and personal data collected by the latter, had been successfully transferred to the new corporate entity, Income Insurance Limited (Income Insurance) via a ‘Scheme of Transfer’ under the Insurance Act 1966 and other agreements entered between the Co-op and Income Insurance. All existing policy coverage, benefits and terms remain unchanged.
- For existing insurance policies, there is no need for Income Insurance to issue new contracts.
- Policyholders can continue to tap on existing service branches, network of advisors, customer support and online portals to assist them on their insurance matters.
- With corporatisation, policyholders can look forward to more accessible, competitive, and comprehensive solutions, including innovations that speak to today’s digital-first customers.
2. Does corporatisation affect the nomination of beneficiaries for my policy?
- For insurance policy beneficiaries, the new corporate entity, Income Insurance Limited recognises valid nominations made in accordance with the requirements of Section 45 of the Co-operative Societies Act (CSA) and valid nominations made in accordance with requirements of Section 132 or 133 of the Insurance Act 1966, unless they have been revoked, or a new nomination has been made (under the Insurance Act 1966) prior to 1 September 2022.
- It is not necessary for life policyholders to take any action in respect of their existing nominations. All nominations which remain valid and are not revoked immediately prior to 1 September 2022 have been transferred to, recognised by and binding on Income Insurance Limited on and from 1 September 2022.
- Nevertheless, we encourage policyholders, who had made such nominations before 1 September 2009 (under the CSA) to refresh their nominations so that it is effective under the Insurance Act.
- Policyholders may wish to refresh their nomination to include any changes in their personal circumstances or beneficiaries.
3. Do I need to amend my will if I referenced insurance policies issued by the Co-op in my will?
- It is not necessary, as the reference to the insurance policies issued by the co-operative, NTUC Income Insurance Co-operative Limited (Co-op) is correct at the time when the will was made. All existing insurance policies had been successfully transferred from the Co-op to the new corporate entity, Income Insurance Limited as part of the corporatisation process.
4. The nomination of beneficiaries made under Income Insurance Limited will not be governed under the Co-operative Societies Act, which means that it will be a trust or revocable nomination. Is this true?
- New nominations are made either pursuant to Section 49L(2) (now renumbered as Section 132) of the Insurance Act or a revocable nomination under Section 49M(2) (now renumbered as Section 133) of the Insurance Act.