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Invest in Traded Endowment Policies (TEPs) in Singapore
Discover a smarter way to grow your wealth through traded endowment policies. A secure and proven alternative investment class in Singapore, they allow investors to purchase existing endowment plans from policy owners who no longer wish to continue them. They typically provide shorter holding periods and attractive, predictable returns backed by reputable insurance companies.
Higher Returns Than Fixed Deposits
When compared to fixed deposits, traded endowment policies offer a higher potential return while maintaining stability and insurance backing.
If you’ve ever wondered what a traded endowment policy is, it is a pre-owned savings-type insurance plan that is already partway to maturity. Investors who buy these policies can enjoy accelerated returns within 3–10 years, typically outperforming traditional savings or time deposit rates. This allows them to benefit from consistent, mid-term growth while avoiding the volatility of stocks and the low yields of fixed deposits.
What Is a Traded Endowment / Second-Hand Insurance?
Traded endowment policies (TEPs) are pre-existing life insurance savings plans sold by their original owners before maturity. In the industry, they are also referred to as:
Second-Hand Insurance: A common description of policies that are legally reassigned to new investors.
REPs (Resale Endowment Plans): Another term used to describe such transactions, emphasising the resale nature of these plans.
Policy Assignment: The legal process by which ownership of the policy and its future payout benefits are transferred from the seller to the buyer.
By investing in resale endowment policies, buyers gain access to an existing savings vehicle that is already closer to maturity, offering reduced waiting time and better potential returns.
Types of Second-Hand Insurance Policies Available
The secondary market for insurance includes several types of policies that have been legally transferred from their original owners to new investors. Each policy offers different maturity periods, return profiles, and investment characteristics. Understanding these differences allows investors to select opportunities that align with their financial objectives while participating in the growing market for resale insurance in Singapore.
Traded Endowment Policies
A traded endowment policy is the most common type of second-hand insurance investment. These are endowment plans that the original policyholders have chosen to sell before maturity instead of surrendering them to the insurer.
Investors purchase the policy through a legal assignment process and become the new policy owners. They continue paying any remaining premiums, if applicable, before receiving the guaranteed maturity proceeds and any non-guaranteed bonuses declared by the insurer. Because these policies are typically acquired below their maturity value, they can provide predictable returns over a shorter investment horizon.
Whole Life Insurance Policies
Whole life insurance policies can also be transferred through the secondary market. Unlike endowment policies, these plans are designed to provide lifelong coverage while accumulating cash value over time.
Depending on the policy structure and investment objectives, some investors may choose to hold the policy as a long-term asset. Returns are influenced by the policy’s guaranteed benefits, participating bonuses where applicable, and the ongoing premium commitments required.
Paid-Up Endowment Policies
Some endowment plans become fully paid-up after all required premiums have been completed. These policies can be particularly attractive because the investor does not need to make any further premium payments after acquiring the policy.
The investor simply holds the policy until maturity and receives the maturity benefits according to the policy terms. This makes paid-up policies a straightforward option for those seeking a relatively hands-off investment.
Key Benefits of TEP Investments
1. Shorter Investment Horizon
When you buy traded endowment policies, you’re purchasing a plan that has already accumulated several years of premiums. This means you only need to hold it for a shorter remaining term (often between 3 to 10 years) before receiving the maturity payout.
2. Predictable and Stable Returns
Each traded endowment comes with guaranteed and projected returns backed by established insurers. Investors enjoy peace of mind knowing their principal and projected gains are tied to regulated, insurance-based instruments rather than market fluctuations.
3. Better Value Entry Point
Since these are resale policies, investors effectively acquire them at a discount. This enables potentially higher overall returns compared to starting a new endowment plan.
4. Diversification for Conservative Portfolios
Traded endowment policies offer a unique balance between security and yield, making them an excellent complement to fixed deposits, bonds, or unit trusts.
5. Transparent and Legal Process
All transactions are processed through legal assignments with the original insurer, ensuring that ownership transfer and returns are fully protected under Singapore law.
Why Policyholders Sell Their Insurance Policies
Policyholders choose to sell their insurance policies for many legitimate reasons. Changes in financial priorities, liquidity needs, retirement planning, or shifting investment goals may make an early sale more suitable than waiting until the policy matures.
For sellers
The secondary market may offer an alternative to surrendering the policy directly to the insurer. For investors, it creates opportunities to buy a traded endowment policy with an established maturity value and a clearly defined investment timeline.
For individuals
Individuals who considering a quick resale of an endowment policy in Singapore, professional guidance helps ensure that the transfer process is completed properly, with all documentation verified and the policy legally assigned to the new owner.
TEP Returns vs Other Investments
Traded endowments are an alternative investment that provides a higher return to the investor vs a regular savings plan.
Using a sum of $100,000 as a capital illustration, let’s do a quick comparison of the returns between a traded endowment policy vs a traditional saving plan in the market.
| Product | Annual % rate | 10 year rate | Returns |
|---|---|---|---|
| Structured Deposits | 1.86% Annually | 18.6% | $18,600 |
| SG Bonds | 3.3% 10 years average | 33% | $33,000 |
| Central Provident Fund “ordinary account” | 2.5% annually | 28% | $28,000 |
| Conserved Endowments | 4.5% annually | 45% | $45,000 |
* The above rates are for illustration purposes only. Rates and returns provided by the above entities may change.
How the TEP Investment Process Works
Investing in TEPs is a straightforward, regulated process. Begin by expressing your interest through our contact form or by viewing our current investment opportunities available in the traded endowment policy market.
Our 4-Step Investment Process
Browse our listings and choose a traded endowment policy that suits your investment goals.
We will schedule an appointment with you to visit the insurer together. At the counter, you can confirm key details such as:
- Premiums paid so far by the original policyholder
- Balance premiums payable
- Maturity benefit amount
Once you are satisfied with the details, the policy will be legally assigned to you within approximately 20 minutes of completing the paperwork.
You will receive the official endorsement letter from the insurer within 7–10 working days.
This quick and efficient process makes it easy to invest in a resale endowment policy in Singapore.
Required Documents for Investment
To complete your investment in traded endowment policies, you will need to provide:
- NRIC or Passport (for identity verification)
- Proof of address (e.g., recent utility bill or bank statement)
- Proof of funds (for payment verification)
Our consultants will assist you in preparing all necessary documentation and guide you through each stage of the assignment process to ensure a smooth transaction.
Investment Size & Expected Returns
Most traded endowment policies need an initial investment of $7000–$20,000. Premium payments are usually a few hundred dollars monthly.
Your exact final return will be determined by the assurance company. However, you should expect an annual rate of return in excess of 3–4% per annum.
Google Reviews
EXCELLENTTrustindex verifies that the original source of the review is Google. Transaction with Trevor was super duper fast and seamless. Money received before signing of any documents. So no worries and Highly recommended!!!Posted on GoogleTrustindex verifies that the original source of the review is Google. Trevor was prompt, efficient and friendly, great service and would definitely recommend to everyone!Posted on GoogleTrustindex verifies that the original source of the review is Google. Good experiencePosted on GoogleTrustindex verifies that the original source of the review is Google. I know about Conservation Capital while I was driving. Response was fast fantastic. I saved a lot of time and they are helpful. No hanky panky at all. Today is my first time sell my insurance to this company.Posted on GoogleTrustindex verifies that the original source of the review is Google. Trevor has been very helpful and fast in handling my transaction. Seamless and smooth. Would recommend his services.Posted on GoogleTrustindex verifies that the original source of the review is Google. I wanted to sell off one of my insurance plans and reached out to several companies. Trevor is approachable and friendly which made the entire process hassle free and efficient. Thank you!Posted on GoogleTrustindex verifies that the original source of the review is Google. Swift and Steady. Highly recommend his service.Posted on GoogleTrustindex verifies that the original source of the review is Google. Fast and hassle free transaction. Trevor has been very helpful and clear in his explanation.Posted on GoogleTrustindex verifies that the original source of the review is Google. Very good service and fast. I am happy. Good price
Frequently Asked Questions About Traded Endowment Policies
Traded endowment policies are pre-owned savings-type insurance plans that have been sold by their original owners before maturity. These policies allow investors to benefit from shorter holding periods and steady, mid-term returns. To learn more about how Conservation Capital facilitates these transactions, visit our About Us page.
Yes. Traded endowment policies operate within Singapore’s legal framework. The process involves a formal policy assignment at the insurer’s office, transferring full ownership from the seller to the buyer. This ensures the transaction is transparent and compliant.
As a trusted traded insurance company in Singapore, Conservation Capital ensures that every resale endowment plan is properly documented in Singapore.
Resale endowment policies are already partway to maturity, allowing investors to enjoy faster and often higher returns compared to starting a new policy. Since these are existing, active plans, the investor avoids the early accumulation period and benefits from predictable payouts within 3 to 10 years.
When a traded endowment policy is legally assigned to a new owner, all rights and benefits, including any maturity or death payout, belong to the new investor. The insured life remains unchanged, but the proceeds will go to the current policyholder or their estate, as recognised under Singapore law.
If the original life insured passes away, the policy technically continues until its maturity date. In most cases, the buyer will not receive the death benefit, as claiming it would require submitting the insured person’s death certificate—something typically not accessible to unrelated parties. Instead, the buyer will likely continue holding the policy until maturity and receiving the payout as originally scheduled.
The returns depend on the policy’s remaining term and guaranteed values. Many investors enjoy yields ranging from 12% to 50% over the remaining duration. These figures typically exceed the returns from bank deposits or newly purchased endowment plans. Use our Financial Calculator to estimate potential returns based on your chosen policy.
Getting started is simple. Browse our resale policies listed on our website or contact us for current opportunities. We’ll guide you through the verification and policy assignment process to ensure a smooth transaction.
How can i invest in this.
1) Contact us by expressing your interest using the form on the right
2)You could click on this button below this button of the screen.
3) You could click on our investment listing page to view a list of policies available for investments.
What is the process of investing one
Once you have confirmed an interest with a particular policy, ..
1) We will make an appointment with you to visit the insurer together.
2) You will verify the information pertaining to the policy at the counter
– Premium paid so far by the original policy holder
– Balance premium payable
– Maturity benefit
3) When you are satisfied with the policy information, the policy can be assigned to you within 20 minutes of paper work.
4) You will receive the official endorsement letter from the insurer within 7-10 working days
Click here to make an appointment
Size of investment and returns:
Most policies need an initial investment of $7000 – $20,000. Premium payments are than usually a few hundred dollars monthly.
Your exact final return will be determined by the assurance company. However, you should expect an annual rate of return in excess of 3-4% per annum.
CLICK HERE TO VIEW OUR LIST OF POLICIES