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MediShield Life is a basic health insurance scheme that offers Singaporeans and Permanent Residents access to quality healthcare at subsidized rates within B2/C wards. However, to ensure widespread affordability, it does have limitations on coverage, including certain expenses and reimbursement caps.
For instance, MediShield Life doesn’t cover pre and post-hospitalization treatments such as diagnostic scans, consultations, rehabilitation, and specialist follow-ups. Additionally, there are caps on reimbursements for specific medical procedures, potentially leaving individuals with out-of-pocket expenses. If a complicated surgery exceeds the cap specified by MediShield Life, the excess amount will not be reimbursed.
To bridge these gaps, individuals may consider purchasing an Integrated Shield Plan (IP), offering extensive coverage surpassing that of MediShield Life, thereby guarding against substantial medical expenses that could present significant financial risks.
The most economical option for extending coverage to these additional areas is the B1 “as charged” IP, available from seven insurers, including plans such as Enhanced IncomeShield and GREAT SupremeHealth.
CAN YOU AFFORD AN UPGRADE?
When thinking about upgrading to an IP, it’s crucial to consider two things: your budget and your comfort level with the types of hospitals, wards, and doctors. Can you afford the IP premiums in the long term, especially as they rise with age?
Private insurers offer extra protection or riders to cover deductibles and co-insurance, which may require separate payments. All new riders from March 2018 onwards will need to incorporate a co-payment of 5% or more. Additionally, it’s important to note that IP premiums may increase over time, and additional riders to cover deductibles and co-insurance may require separate payments.
By securing an IP early on, individuals can ensure insurability regardless of future medical conditions, providing long-term peace of mind. However, it’s essential to understand that purchasing insurance is a significant commitment that should align with individual needs and circumstances. Therefore, seeking advice from a financial advisor is recommended to assess specific requirements and explore suitable insurance options.
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Disclaimer: This information serves as a general guide and does not constitute financial advice. Terms and conditions of insurance policies may vary, and coverage is subject to individual circumstances and insurance provider policies. Seek professional assistance when necessary.
