CareShield Life in Singapore | Health Insurance in Singapore

Health Insurance | Insurance

by Priyadarshini 16 June 2023

Did you know that by the year 2050, nearly half of Singapore’s population will be over the age of 65? Government spending on healthcare is expected to rise. We need to make plans as individuals to ensure that we spend on healthcare enough to protect ourselves. And for that healthcare or health insurance has to be affordable too. You may be familiar with government programmes such as MediSave and MediShield Life. Both of them are intended to assist you in affording medical care. What if you become disabled as a result of old age or a medical condition? Neither scheme will cover all of your long-term care needs. In this blog, we talk about CareShield Life in Singapore.

CareShield Life in Singapore

For those who don’t know about CareSheild, CareShield Life is a disability insurance plan that pays for both personal and medical expenses. CareShield Life is a government-sponsored disability insurance programme that started in October 2020. If you become severely disabled, the scheme will pay you a monthly income no matter where you live in the world. Now you may be wondering about the inclusions of CareShield Life.  According to CareShield Life,  it includes any person who is unable to perform at least three out of six Activities of Daily Living or ADLs. They are –

• Washing – Taking a bath or shower (including getting in and out) or washing in another way.
• Dressing entails putting on, taking off, securing, and fastening all clothing, braces, artificial limbs, or other surgical or medical appliances.
• Feeding yourself prepared and readily available food
• Toileting – Using the toilet and managing bowel and bladder function, if necessary with protective undergarments or surgical appliances.
• Walking or moving around – Moving from room to room inside on level surfaces.
• Moving from a bed to an upright chair or wheelchair and vice versa is referred to as transfer.

CareShiled Life Absolutely Necessary?

Well, it is estimated that one in every two healthy Singaporeans over the age of 65 will become severely disabled before they die. Severely disabled individuals require assistance with eating, going to the toilet, or walking around, etc. It also includes all activities that mandate the assistance of a caregiver or another person. However, keep in mind that there is no overlap of CareShield Life with MediShield Life insurance. CareShield Life provides cash assistance to help with living expenses. MediShield Life and MediSave, on the other hand, only pay for medical expenses as they arise. You do not receive a cash payout.

Do you Need CareShield Life in Singapore?

From the age of 30, Singapore Citizens and Permanent Residents born in 1980 and later will be automatically covered by the scheme. It is mandatory once enrolled, and you cannot opt-out. Those born before 1980 can apply to join starting at the end of 2021. There are no age restrictions, and the government will provide information on how to apply later this year. However, if you are already severely disabled, you are ineligible to participate in the scheme.

CareShield Life Premiums

For men, the premium will start at the age of 30 priced at $206. Similarly, for women who are 30 years of age, the premium stands at $253. The premium will increase by 2% per year until the age of 67. You can use MediSave to pay for all of your premiums.

What is the Maximum Amount that CareShield Life Will Pay Out?

Once you enroll in the CareShield Life scheme and pay your premium, you will be able to receive monthly payments for as long as you are severely disabled. When it was launched in the year 2020, the monthly payout was $600. However, the payout increase at a 2% rate per year. So, your monthly payouts for 2021 should be around $612. Once you have made a successful claim or reached the age of 67, whichever comes first, your CareShield Life payout amounts will be fixed and will no longer increase.

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