AIA Guaranteed Protect Plus (III): 2023 Definitive Review


AIA Guaranteed Protect Plus (III) / AIA GPP (III) Review

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AIA Guaranteed protect plus review

Table of Contents

The AIA Guaranteed Protect Plus (III), also known as AIA GPP, is a whole life insurance policy that provides basic protection for death and total permanent disability.

It also allows for customisation and flexibility of multiplying up to the five times the sum assured, enhancement of critical illness coverage, as well as with the option of several other optional riders.

As a participating policy, it accumulates cash value in the form of guaranteed and non-guaranteed bonuses.


  • Minimum sum assured of $50k.
  • Entry Age
    • Life Assured: 0 years old to 100 years old.


Basic Product Features

Coverage Duration

The AIA Guaranteed Protect Plus (III) offers you coverage of up to age 100. A maturity benefit will be paid out to you if you live past the maturity date.

Premium Payment Terms

The AIA Life Guaranteed Protect Plus (III) is a regular premium policy with flexible payment term options – 15, 20, and 25 years.

Your final premium amount is determined by factors such as age, gender, smokers status, sum assured, policy type, and length of premium period.


Maturity Benefit

To be eligible for the maturity benefit, the following criteria need to be met:

  • The life assured survives past the age of 100
  • The policy remains active


Death Benefit

Upon the death of the insured, the sum assured plus any accumulated bonuses will be paid out after deduction of any payables.

The policy will automatically be terminated once the death benefit has been paid out.

Total and Permanent Disability (TPD) Benefit

Upon the diagnosis with a total and permanent disability, on or before the Policy Anniversary nearest to the insured’s 70th birthday, the sum assured plus any accumulated bonuses will be paid out after deduction of any payables.

The maximum disability benefit inclusive of all other policies issued by all insurance companies is S$7,500,000.

TPD benefit will reduce the basic sum assured due to it being an accelerated payment of the death benefit.

The policy will automatically be terminated if the TPD benefit is the same as the basic sum assured.

In order to qualify for the TPD benefit payout, the life insured must meet the following requirements:


If the insured encounters the following before he or she turns 65 years old.


Disablement continuously for at least 6 months, certified permanent by a medical practitioner appointed by AIA leading to the inability to partake in any work, occupation, profession, or other related activities that allow income generation.
If the insured encounters the following after he or she turns 65 years old.


Disablement resulting in the inability of the life assured to perform at least 2 of the 6 “Activities of Daily Living”(ADL) even with the aid of special equipment, requiring constant supervision and physical assistance of another person, continuously for at least 6 months, certified permanent by a medical practitioner appointed by AIA.

The “Activities of Daily Living” include:

  • Transferring: Moving from a bed, to an upright chair or wheelchair and vice versa.
  • Mobility: Indoor movement from room to room on level surfaces.
  • Toileting: Using the lavatory and managing bowel and bladder needs to maintain overall personal hygiene.
  • Dressing: Ability to put on, take off, secure and unfasten clothes, braces, artificial limbs, or surgical appliances.
  • Washing: Ability to get in and out of the bath or shower to carry out washing activities so as to maintain personal hygiene.
  • Feeding: Ability to feed oneself with already available food.
If the following is met at any age.


Certified totally and permanently disabled in the following areas by a medical practitioner appointed by AIA:

  • When both eyes encounter total and permanent loss of sight.
  • Physical loss or inability to use any 2 limbs at or above the wrist or ankle.
  • When one eye encounters total, permanent loss of sight and physical or inability to use any 1 limb at or above the wrist or ankle.

Other Features and Benefits

Option to Purchase Additional Insurance (OPAI) Benefit

Purchase another whole life or endowment policy up to the insured amount of the AIA Guaranteed Protect Plus (III), or S$100,000, whichever is lower, without any health proof when you encounter the following significant life stage event(s):

  • 18th birthday of the insured
  • Legal marriage
  • Birth of a newborn baby
  • Legal child adoption
  • Death of spouse


To qualify for OPAI, you must meet the following requirements:

  • OPAI must be carried out within 90 days from the date of occurrence of the significant life stage event, with legal documented proof.
  • You must be less than 55 years of age, upon the OPAI application.


Premium Pass Option

After the third policy anniversary, you can opt for the Premium Pass Option if he or she encounters involuntary retrenchment. The option allows exemption of premium payment for 12 consecutive months.

You are offered an interest-free grace period of 12 consecutive months to repay the outstanding deferred premium amount.

At the end of the interest-free repayment period, interest will be incurred for any outstanding deferred premium.

Income Drawdown Facility 

Flexibility to utilise 50% or 100% of policy coverage for its cash value and receive annual income for up to 10 years, to supplement your retirement lifestyle. Depending on the option chosen:

  1. For a utilisation ratio of 50%, you will receive 5% of the insured amount of the GPP (III) base plan every year for 10 years. At the end of the 10 year payout period, the policy (including any supplementary agreements) remains active with the remaining insured amount.
  2. For a utilisation ratio of 100%, you will receive 10% of the insured amount of the GPP (III) base plan every year for 10 years. At the end of the 10 year payout period, the policy (including any supplementary agreements) will be terminated.


The Income Drawdown Facility request must be submitted 6 months prior and is non-reversible and changeable. It can only be utilised once during the availability period.

(i) The availability period starts from the expiry date of the Guaranteed Protect Plus (III) Booster or the end of the premium payment term under the Guaranteed Protect Plus (III) Accumulator, whichever is later.

(ii) The availability period ends upon your 85th birthday.

AIA Vitality

A comprehensive health and wellness programme that offers the promotion of leading a healthy lifestyle.

AIA Vitality also encompasses the PowerUp Dollar feature, which allows you to enjoy up to an additional 25% coverage in addition to their basic coverage without having to pay extra premiums. The increase of AIA Vitality status:

  • Rewards policyholders with PowerUp Dollars, providing increased coverage without additional costs.
  • Up to 15% discount on riders.


Add On Riders

Multiplier Benefit Rider 

The multiplier benefit is an optional rider with cash value accumulation. It allows you to increase your protection during your prime years.

It offers you a flexible range of options to multiply your coverage by 2, 3, or 5 times of the basic sum assured, up till the age of 65 or 75 years old.

You are also offered the flexibility of adjusting your multiplier amount and duration based on your responsibilities and commitments.

  • As a fresh graduate new to the workforce, building up your savings might be your priority, you might decide on the 2x coverage that allows faster cash value accumulation while having protection.
  • As you start a family and have dependents to look after, the 5x coverage might be in your consideration as it provides your family financial security with cash value.


The multiplier benefit is the guaranteed amount received upon the event of death or Total and Permanent Disability.

Early Critical Protector Life (III)

A lump-sum payout as an advancement of the death benefit is done if the insured is diagnosed with early-stage critical illnesses.

Offers protection from 150 multi-stage critical illnesses and 15 special conditions such as osteoporosis and diabetic complications.

For children, this rider encompasses Child Critical Cover, providing protection against 16 child critical illnesses and 9 child special conditions. Refer to the tables below for a better understanding.

Child Critical Illness Coverage

AIA guaranteed protect plus child critical illness


Child Special Conditions Coverage

AIA guaranteed protect plus child special conditions

Critical Protector Life (III)

A lump-sum payout as an advancement of the death benefit is given if the insured is diagnosed with major stage critical illnesses.

Offers protection from 73 major stage critical illnesses till the age of 100. The table below provides the list of the major stage critical illnesses covered by the rider.

AIA guaranteed protect plus critical illnesses

Critical Protector Waiver of Premium (II) & Early Critical Protector Waiver of Premium (II)

Allows waiver of premium payment, if the insured is diagnosed with a critical illness of any stage.

Bonus Features

Reversionary Bonuses 

AIA might allocate a reversionary bonus annually, but the bonus rate is not guaranteed. Upon declaration, the reversionary bonus becomes guaranteed and will be paid out, regardless of the performance of the participating fund, less any payables to AIA.

The accumulated reversionary bonus is paid out upon maturity of the policy, surrender of the policy, in the event of death, TPD, or TI.

A withdrawal of the reversionary bonus in cash value is allowed, but the bonus payout will be less than the guaranteed accumulated reversionary bonus. The cash value of the accumulated reversionary bonus will be determined by AIA.

After withdrawal, the policy continues to be active with zero accumulated reversionary bonus. Future reversionary bonuses can be added to the policy.

We provide you with the following illustration for a clearer understanding. For example, with a return of 4.25% p.a, the reversionary bonus is S$7.20 per $1,000 sum insured, with an annual compounding rate of 0.72%.

The annual compounding rate determines the interest built up on reversionary bonuses.

Terminal Bonus

Upon policy termination due to a claim, surrender or maturity, you might receive an additional bonus if AIA declares a non-guaranteed terminal bonus, less any payables to AIA.

The terminal bonus is indicated as a percentage of the accumulated reversionary bonus surrender value and the bonus might vary, depending on when you surrender your policy.

The table below illustrates a Terminal Bonus based on a 4.25% p.a return.

AIA guaranteed protect plus terminal bonus

Participating Fund Performance 

The AIA Guaranteed Life Protect Plus (III) is also a participating policy that allows you to accumulate cash value in the form of guaranteed and non-guaranteed bonuses.

Annual Investment Performance 

AIA’s Participating Fund in recent years has generally been performing well.

The table below illustrates the investment mix of AIA as of December 2020.

AIA guaranteed protect plus asset allocation

In fact, it has been one of the decent-performing participating funds in recent years. Below is an illustration of yearly par fund investment performance in the past decade.

singapore insurers 10 year par performance

With the illustration of the table below, AIA has also managed to rank “top three” 5 times in the past decade for participating fund performance, making it the “top 2” best performing participating funds in the market.

singapore insurers top 3 par

Geometric Average

The Geometric Average will be more suitable and accurate in calculating profits for investment portfolios such as that of participating funds.

Instead of just taking the average rate of return, the geometric average takes into account compounding and returns and losses, which has a part to play in the amount reinvested in the following years.

AIA has been one of the few better-performing participating funds based on geometric average net investment returns on participating funds, with steady growth for the past decade and 5 years, leading to being the top 4 performers for the past 3 years (2017-2019), at 7.09%, higher than the group average of 6.69%.

insurers geometric average

Expense Ratio

AIA has one of the lowest average expense ratios in the past 3 years. The expense ratio is one of the important factors to take note of as it can significantly affect the final profits generated for the participating fund.

insurers expense ratio

Overall Performance 

AIA has held steady growth and maintenance over the past decade for its participating funds.

They have also been able to keep a healthy expense ratio, below the industry average in 2017, 2018, and 2019. This might be a positive indication for policyholders who are looking for insurers with a steady and healthy participating fund record.

The results mentioned above are based on past fund performance and may not be indicative of future profits and results.

It is also important to understand that the final returns distributed to policyholders are not the same as the funds’ rate of returns. The bonuses are decided and declared by AIA.

My Take on AIA Guaranteed Protect Plus (III)

Looking for an insurance plan that offers protection, savings, and retirement income at the same time? AIA Guaranteed Protect Plus (III) is one of the few plans that might provide you with this solution.

whole life plans in Singapore premium comparisons

Based on the above specifications, here’s the surrender value for the AIA Guaranteed Protect Plus (II):

Year Guaranteed Total @ Non-Guaranteed 3% Total @ Non-Guaranteed 4.25%
5 $1,800 $2,027 $2,183
10 $5,200 $6,229 $6,946
20 $13,200 $18,532 $24,943
30 $20,100 $33,877 $52,047

In comparison with the annual premiums across the whole life plans with benefits that can help boost retirement income, AIA Guaranteed Protect Plus (III) has one of the higher-priced premiums, with slightly lesser coverage of adult CI conditions as compared with other insurance providers.

But, the AIA Guaranteed Protect Plus (III) might be a good option for parents with children, as it offers more juvenile benefits coverage among most of the other insurance providers.

NTUC Income Star Secure Manulife LifeReady Plus II Aviva MyWholeLife Plan (IV) AIA Guaranteed Protect Plus (III) Great Eastern Complete Flexi Living Protect 2 China Taiping I-Secure (II) AXA Life Treasure (II) Prudential PRUActive Life II
Early Critical Illness 142 125 72 150 35 42 41 74
Intermediate Critical Illness 33 40 37
AdvancedCritical Illness 59 52 55 56
Total CI Conditions 142 125 131 150 120 137 134 74

Additional Coverage

Special Benefits (Diabetic Complications, Osteoporosis, etc) 15 10 16 15 10 12 14
Juvenile Benefits (Kawasaki Disease, Severe Hemophilia, etc) 15 11 16 12 14
Total additional coverage 30 10 27 15 10+16+5(Senior Conditions)= 31 24 28 0
Total Conditions Covered 172 135 158 165 151 161 162 74

Comparison of the number of critical illnesses coverage and additional coverage.

On top of the abovementioned benefits, AIA has also been one of the most stable and well-participating funds in the market in recent years as well.

It also has the following benefits for consideration when choosing a whole life insurance best suited for your needs:

  • Lower claim criteria for advanced disability payout that allows 2/6 “Activities of Daily Living”, instead of 3/6.
  • Option to defer premium payment for up to 12 consecutive months in case of involuntary retrenchment.
  • Encashment of 50% or 100% of coverage amount over a period of 10 years to supplement your retirement lifestyle.
  • Up to 5 times multiplier benefits up till the age of 75.


Furthermore, the AIA Guaranteed Protect Plus (III) has been mentioned in our comparison of the best life insurance plans in Singapore.

The policy also has its downsides as well. These include:

  • Lower guaranteed surrender value if the policy is surrendered in its early stages.


We strongly advise you to assess your insurance coverage and investment objectives and do your due diligence before deciding on any policies and investments.

For whole life policies, it is recommended to consider the coverage, par fund performance, and expense ratios, instead of just the policy premiums,

This is especially true when you’re purchasing for ECI/CI coverage. Check the definitions and whether what’s covered is in line with your past medical history and your family’s.

Need some assistance in selecting the best life policy suited for your needs?

Always talk to a licensed financial advisor.


Disclaimer: Each article written obtained its information from reliable sources and should be purely used for informational purposes only. The information provided by Dollar Bureau and its affiliated parties is not meant to be construed as financial advice. Dollar Bureau shall not be held liable for any inaccuracies, mistakes, omissions, and losses incurred should you act upon any information listed on this website. We recommend readers to seek financial planning advice from qualified financial advisors. 

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