MediShield Life to offer higher claim limits, better coverage; premiums to rise

Government support will more than offset increases in next 3 years for most S'poreans

- Joyce Teo

Singaporeans will be able to claim more for hospital stays, and get coverage for additional outpatient treatments as well as certain new groundbreaking therapies from their MediShield Life policies, when changes kick in progressively from April 2025.

Inpatient daily claim limits for the first two days of a normal ward stay will rise to $1,630, from $1,000, for instance, while that of intensive care unit (ICU) stays will more than double to $5,140. The policy year claim limit will also be pushed up to $200,000, from $150,000, said the Ministry of Health (MOH), in accepting recommendations from the council tasked with ensuring that MediShield Life is effective.

Premiums for the mandatory national insurance scheme will rise as a result, especially for older Singaporeans, although over nine in 10 people will get help to more than offset these increases. Health Minister Ong Ye Kung said the changes and support measures will strengthen the MediShield Life and MediSave systems, which, when combined, have worked well for Singapore. There are countries that focus a lot on healthcare subsidies, which are funded by taxation, but that causes excess demand. Waiting time becomes very long in hospitals and clinics, and while the care is very affordable, it is not very accessible, he explained.

“There are also other countries that then focus a lot on insurance, and excess demand becomes much less of a problem. Instead, affordability becomes an issue for those who are not insured.

“It is very important that these two safety nets work hand in hand,” he told the media in an interview at MOH headquarters.

The first review of MediShield Life in four years has recommended that premiums be increased amid rising healthcare costs, and outpatient coverage be enhanced significantly given that healthcare delivery is increasingly shifting from hospitals to outpatient, community and home settings.