Managing the surge in medical insurance premiums

HEALTHCARE costs are heading north, with Singapore residents facing the double whammy of rising premiums from the private medical Integrated Shield Plans (IPs) and riders, and MediShield Life.

Following the end of the freeze on IP premiums at end-August, nearly all IP insurers have raised their premiums for IPs and riders. Did you know that the most expensive lifetime IP premiums with riders can hit close to S$842,000? This figure does not include premiums for MediShield Life which will also increase by an average of 22 per cent after enhancements to the national health insurance scheme were announced last month (October).

Excluding riders, lifetime premiums for IPs that offer cover for private hospitals can amount to S$323,900. Recently, five insurers raised premiums by double digits for their base IPs, focusing mainly on private hospital plans, while Income Insurance raised premiums across all ward types.