By The Ledger desk · Last verified 4 October 2026
If you buy a life insurance policy in Singapore and have second thoughts, you have a 14-day free-look period to cancel it. The Life Insurance Association says the period starts from the date you receive your policy document; some insurers count from the date the document is issued, so check the free-look clause in your own contract. Give the insurer written notice within the window and it will cancel the policy and refund what you paid, less any medical examination costs and, for an investment-linked policy, less any fall in the value of the units bought. Cancel after the window and it is treated as a surrender, which in the early years can return little or nothing.
Fourteen days goes quickly, especially if the policy arrives during a busy week. Here is how to use the time well, and how to cancel cleanly if the plan is not right for you.
Quick facts
- Length: 14 days, and insurers say it cannot be extended.
- Start: from receipt of the policy document (LIA), or from issue (some insurers); your contract states which.
- How: written notice to the insurer, usually on its free-look or “not taken up” form, sometimes with the original policy document.
- Refund: premiums paid, minus medical examination costs you triggered.
- Investment-linked policies: refund is adjusted for any change in unit prices, so you bear any loss.
- Making a claim during the period can end your right to a free-look cancellation on some policies.
What do you get back?
| Policy type | Cancelled within free-look | Cancelled after free-look |
|---|---|---|
| Term life or critical illness | Premiums paid, less any medical examination costs | Cover ends; premiums already paid are generally not refunded |
| Whole life or endowment (participating) | Premiums paid, less any medical examination costs | Surrender value only, which can be zero or less than premiums paid in the first few years |
| Investment-linked policy (ILP) | Premiums paid, adjusted for any change in unit prices and less certain expenses such as medical costs | Unit value, less any surrender charges |
A worked example (illustrative)
Say you paid a first premium of S$3,000 on an ILP and the insurer used all of it to buy units. You also went for a medical examination that cost the insurer S$150. By the time your cancellation is processed, the unit price has fallen 4%.
- Market value adjustment: 4% × S$3,000 = S$120
- Medical examination cost: S$150
- Refund: S$3,000 − S$120 − S$150 = S$2,730
Each insurer’s free-look clause sets out its own method for the adjustment and the expenses it may deduct, so treat these figures as an illustration, not a quote. For a term or whole life policy with the same premium and examination cost, the refund would simply be S$2,850.
How to cancel, step by step
- Find the free-look clause in your policy contract and note the exact last day.
- Get the insurer’s free-look or “not taken up” form from its website, customer service counter or your adviser.
- Fill it in, sign it, and attach the original policy document if the insurer asks for it.
- Submit it in a way you can prove: the insurer’s online form, by hand at the counter for a stamped copy, or by email with a reply acknowledging receipt.
- Tell your adviser, but do not rely on them to submit it for you on the last day.
- Check that the refund arrives; for example, Great Eastern says it pays by PayNow after five working days unless you choose another method.
How to use the 14 days well
Read the policy contract, not just the brochure. Look at the exclusions, the waiting periods for critical illness or health claims, and, for any savings or investment plan, the surrender value table for the first ten years. Compare premiums for similar cover on compareFIRST. If you bought the policy to replace an older one, check that the new cover is in force and right for you before you cancel the old plan, because a new policy may exclude conditions you already have.
The WahLiao Verdict
Put the free-look end date in your calendar the day the policy arrives, then spend one evening reading the contract and the surrender table. If anything was sold to you differently from what the documents say, or the premium now feels like a stretch, cancel in writing and keep proof. A clean cancellation in week two costs you, at most, a medical fee and a small market move. A surrender in year two can cost thousands.
Questions people ask
Can I cancel just by telling my adviser?
Do not rely on a verbal message. The insurer needs written notice, normally on its own form, and it is your proof that you cancelled in time.
Can the free-look period be extended?
Insurers generally say no. If you think the policy was mis-sold, raise it with the insurer and, if unresolved, with the Financial Industry Disputes Resolution Centre (FIDReC).
Do I get my money back for an investment-linked plan?
You get the premiums back adjusted for any change in unit prices, so if prices fell you bear that loss, plus any medical examination costs.
What happens to my cover if I cancel?
The whole policy is cancelled from the start, so you have no cover under it. Make sure any replacement cover is already in force.
Sources: Life Insurance Association, tips on insurance products and the free-look period; Life Insurance Association, Your Guide to Investment-Linked Policies; Great Eastern, cancelling a policy during the free-look period; MoneySense, participating policies and surrender values. The Ledger explains; it does not advise.
Read next: Term, Whole Life or Investment-Linked: How Life Insurance Policies Differ · Your Consumer Rights: The Lemon Law, Refunds and Unfair Practices · Back to The Ledger
For what’s worth it this week, with the bill shown, read The WahLiao Week.
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