$3.4b top-up to ease premium increase

Recommendations from the MediShield Life Council include increased claim limits, expanded outpatient coverage and the inclusion of new, high-cost treatments. The changes will take effect from April 2025. Here are some common questions on how these changes might impact Singaporeans financially.

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Will I have enough in my MediSave account as MediShield Life deductibles and premiums go up?

To cushion the impact from the higher deductible and premiums, the Government is providing $3.4 billion in MediSave top-ups and $700 million in additional premium subsidies.

The total amount ($4.1 billion) will more than offset the cumulative $1.8 billion increase in MediShield Life premiums over the next three years for almost all ages and income levels, said MOH. MediSave is the national savings scheme that Singaporeans can use to pay for hospitalisation, outpatient treatment, and MediShield Life premiums.

As part of the changes to MediShield Life, the inpatient deductible which is the amount a policyholder must pay before a MediShield Life claim can be made will also increase by up to $1,500. It can be paid using MediSave.

More assistance will be provided to the lower- and middle-income individuals in older age groups. From April 1, 2025, they will be able to receive MediShield Life premium subsidies of up to 60 per cent, from up to 50 per cent today.

Those who are unable to afford their MediShield Life premiums even after government subsidies and MediSave use can apply for additional support. More details can be found on moh.gov.sg/healthcare-schemes-subsidies/medishield-life/medishield-life-faqs

What's driving the significant increase in premiums?