Medisave Flashcards
What is MediSave
MediSave is a national savings scheme which helps CPF members save for future medical expenses, especially after retirement.
Under this national savings scheme, you contribute a part of your monthly salary to your MediSave Account (MA). If you earn yearly Net Trade Income (NTI) of more than $6,000 as a Self-Employed Person, you will also need to contribute to MediSave.
Percentage of Medisave
8% (35) -> 9% (45) -> 10% (50) -> 10.5% (55 onwards)
When can I use Medisave?
You can use your MediSave atall public healthcare institutions, and approved private hospitals and medical institutions
Who can I use my Medisave for?
You can use your MediSave savings for yourself or your approved dependants which include your spouse, children, parents, grandparents and siblings. They can be of any nationality, except for grandparents and siblings who must be Singapore Citizens or Permanent Residents.
What can I use my Medisave for?
Your MediSave can be used to pay for medical care and hospitalisation expenses listed in the table below, up to the respective MediSave Withdrawal Limits. You can check with your hospital or healthcare provider for more details.
- can use for vaccination, health screening, hospital, surgery, chronic treatment, rehab
Can I use Medisave to fully cover my medical expenses?
The MediSave Withdrawal Limits are generally enough to pay for the charges incurred by a patient staying in B2 or C ward types in a public hospital. If you decide to switch to another ward type or a private hospital, you may have to pay part of the bill in cash. It is therefore important to choose a ward or medical institution that you can afford. For a rough estimate on the medical charges, you can check the hospital bill sizes by medical condition / procedure on the Ministry of Health’s (MOH) website. If you know your estimated medical charges, you may use our MediSave/ MediShield Life Calculator to estimate how much you can claim from MediSave and / or MediShield Life.
What is Medishield life?
MediShield Life replaced MediShield from 1 November 2015 to offer:
Better protection and higher payouts, so that patients pay less MediSave/cash for large hospital bills
Protection For All Singapore Citizens and Permanent Residents, including the very old and those who have pre-existing illnesses
Protection For Life
MediShield Life, which is administered by the CPF Board, is sized for B2 or C ward type stays. If you wish to have additional coverage for stays at private hospitals or for A or B1 ward types in public hospitals, you can consider buying an Integrated Shield Plan (IP) from private insurers.
Singaporeans can pay for their MediShield Life premiums fully using MediSave. If you have an IP, there are Additional Withdrawal Limits (AWLs), you may use MediSave, up to a cap, to help pay the additional premiums for the private insurance component of IPs. The AWLs apply on top of the amount of MediSave used for MediShield Life premiums.
The AWLs are meant to ensure that you have enough MediSave for your other healthcare needs, and are pegged to your age:
$300 if you are 40 years old or younger on your next birthday.
$600 if you are 41 to 70 years old on your next birthday.
$900 if you are 71 years old or older on your next birthday.
What is MediFund?
MediFund is an endowment fund set up by the Government as a safety net to help needy Singapore citizens who are unable to afford the subsidised charges at MediFund approved institutions such as public hospitals, even after MediSave and MediShield Life.
What is Medisave Care?
From the scheduled launch of MediSave Care, also known as MediSave Withdrawals for Long-Term Care, in mid-2020, Singapore Citizens and Permanent Residents aged 30 and above who are severely disabled will be able to make monthly cash withdrawals from their own and/or their spouse’s MediSave account for their long-term care needs.
What is the Basic Healthcare Sum?
The Basic Healthcare Sum (BHS) is the estimated savings you need in your MediSave Account for your basic subsidised healthcare needs in old age.
For CPF members below age 65, the BHS will be adjusted annually to keep pace with the expected growth in MediSave use by the elderly. This ensures that the BHS will stay relevant for each cohort when they arrive at retirement age
Once CPF members reach age 65, their BHS will be fixed for the rest of their lives.
For CPF members aged below 65 in 2020
The prevailing BHS is $60,000, and will be adjusted yearly.
For CPF members who turn 65 in 2020
The cohort BHS is $60,000 and it will remain fixed for the rest of their lives.
What is the minimum balance for Medisave?
There is no minimum amount you need to set aside in your MediSave Account (MA). Part of your working contributions will be allocated to your MA until your balance reaches the Basic Healthcare Sum (BHS). Amounts above the BHS will be transferred to your other CPF accounts, depending on your age (SA or RA).
What are benefits of Medishield Life?
MediShield Life will provide better protection for life, for all Singapore Citizens and Permanent Residents, including those who may already have a serious medical condition.
Compared to MediShield, coverage benefits have been enhanced under MediShield Life, with higher claim limits and lower co-insurance rates. This ensures that MediShield Life pays more and patient pay less.
What is Medishield Life premiums and subsidies?
As an insurance scheme, MediShield Life premiums are risk-pooled to support the payouts and benefits under MediShield Life. Those with serious pre-existing conditions may have to pay Additional Premiums for 10 years.
The Government will also provide significant support to keep premiums affordable, including those who need to pay Additional Premiums:
Premium Subsidies for the lower- to middle- income;
Pioneer Generation Subsidies and MediSave top-ups for the Pioneer Generation;
Merdeka Generation Subsidies and five-year MediSave top-ups for the Merdeka Generation; and
Additional Premium Support for those who are unable to afford their premiums even after premium subsidies
MediShield Life premiums may be fully paid from MediSave.
Who needs to pay additional premium?
MediShield Life provides universal coverage for all Singapore Citizens and Permanent Residents. Those who have pre-existing conditions are also fully covered.
The Government will support most of the cost of extending MediShield Life coverage to those with serious pre-existing conditions. Individuals assessed to have serious pre-existing conditions upon joining MediShield Life will only need to pay 30% Additional Premiums for 10 years to reflect their higher risk. After the 10-year period, they will pay the same standard premium as the rest in their age group.
The Ministry of Health has conducted an extensive review on the serious pre-existing conditions that will be subject to Additional Premiums, with specialist advice from clinicians.
A fair and compassionate approach has been adopted in identifying the Singapore Residents who will be subject to the Additional Premiums. Individuals who join MediShield Life and need to pay Additional Premiums are notified by the Central Provident Fund Board in writing when they are notified of their eligibility for coverage.
How do Medishield Life claim works?
To make a claim, please inform the staff handling your hospital admission or outpatient treatment that you wish to make a claim. Upon your authorisation, the medical institution will submit your claim for you.
If a payout is due, subject to claim limits, deductible and co-insurance, it will be made to the medical institution by the CPF Board on your behalf. The deductible is the amount that is payable by the insured each policy year before MediShield Life provides a payout.
If you have an Integrated Shield Plan (IP), your private insurer will process your claim and make the total payment to the medical institution on your behalf. This will include the MediShield Life portion of the payout.
The remaining amount on your bill (including co-insurance and deductible), after the MediShield Life or IP payout, can be covered by MediSave and/or cash.
What is Integrated Shield Plan?
An Integrated Shield Plan (IP) is a medical insurance plan which offers additional benefits on top of that provided by MediShield Life. Members who buy such integrated plans will also be covered under MediShield Life, subject to eligibility conditions such as age and citizenship status.
The MediShield portion of your IP has been replaced by MediShield Life from 1 November 2015. Under MediShield Life, all Singapore Citizens and Permanent Residents, regardless of age, will continue to be covered by MediShield Life.
Even though the IP is jointly insured by the private insurer and the CPF Board, you only need to approach the private insurer as the single point of contact on matters relating to any claims.
What is Standard Integrated Shield Plan?
The Standard IP is a private insurance product targeted at covering large hospital bills and selected costly outpatient treatments at the Class B1 level in Singapore’s public hospitals.
It serves to give Singaporeans an option for additional coverage beyond basic MediShield Life in a standardised, easily understood package. It will also be a viable option for those who want to switch from their Class A and Private Hospital IPs to a more affordable plan.
The benefits of Standard IP are regulated by the Government, and are identical across all insurers.
Similar to all other IPs, premiums for the additional private insurance coverage component of the Standard IP are set by the private insurers.
How much of my medisave can I buy the IP?
Singaporeans Citizens and Permanent Residents can pay for their MediShield Life premiums fully using MediSave. For those with IPs, there are Additional Withdrawal Limits (AWLs) to enable Singaporeans to use MediSave, up to a cap, to pay the additional premium for the private insurance component of IPs. The AWLs apply on top of the amount of MediSave used for MediShield Life premiums:
$300 if you are 40 years old or younger on your next birthday.
$600 if you are 41 to 70 years old on your next birthday.
$900 if you are 71 years or older on your next birthday
Each insured person can only have one Integrated Shield Plan paid with MediSave.
Who should buy Integrated IP?
If you want to have additional insurance protection on top of what MediShield Life provides, such as coverage for your stay in private hospitals or A or B1 wards in public hospitals, you can consider buying an Integrated Shield Plan.
What is Eldershield?
ElderShield is a severe disability insurance scheme which provides basic financial protection to those who need long-term care. It provides a monthly cash payout to help pay for out-of-pocket expenses up to a maximum period of 72 months.
CPF members with a MediSave Account (MA) will automatically be enrolled in ElderShield at the age of 40, unless they opt out of the scheme. No registration or medical assessment is needed.
The Ministry of Health (MOH) has appointed three private insurers to manage ElderShield. They are Aviva Limited, Great Eastern Life Assurance Company Limited, and NTUC Income Insurance Co-operative Limited.
You will receive a welcome package from one of these insurers three months before your 40th birthday. Policyholders are assigned to the insurers randomly, although you can opt to change insurer before your cover commences.
If you are under 65 years old and are not covered, you can apply for ElderShield from any of the ElderShield insurers, subject to medical assessment.
What is the definition of severe disability?
When a person is unable to do at least three of these six daily activities listed below, the person is considered to have severe disability. If you or your loved one meets this criteria, you may wish to consider submitting a claim.
Washing Dressing Feeding Toileting Mobility Transferring
What are the payouts under Eldershield?
There are currently two ElderShield schemes: ElderShield300 and ElderShield400.
Singapore Citizens and Permanent Residents who join ElderShield after September 2007 will be under the ElderShield400 scheme.
For ElderShield300, the monthly cash payout is $300 for a maximum of 60 months.
For ElderShield400, the monthly cash payout is $400 for a maximum of 72 months.
Why should I stay on Eldershield and not opt out?
By joining the scheme under auto-coverage, you do not need to go for any medical assessment. If you opt out now and want to join later, your application will be subject to the insurer’s underwriting and approval.
In addition, as the ElderShield premiums depend on the age of entry and do not increase with age, annual premiums are more affordable if you join the scheme earlier.
