MediShield Life: Minimal impact on top-ups for Integrated Shield Plans, say insurers
- POSTED: 27 Jun 2014 11:31
- UPDATED: 27 Jun 2014 11:49
Insurers will ensure that Integrated Shield Plans remain competitively priced, the Life Insurance Association of Singapore says.
SINGAPORE: The Life Insurance Association of Singapore (LIA) has assured policyholders that there will be minimal impact on the top-up portion of Integrated Shield Plans (IP) following the introduction of MediShield Life.
A statement from LIA Singapore President Dr Khoo Kah Siang on Friday (June 27) said insurers will proactively engage policyholders to update them on how IPs will be adjusted. "IP insurers will also continue to monitor and manage the impact of medical inflation to ensure that the IPs remain competitively priced," he said.
Dr Khoo said the association plans to work with policymakers to address concerns over rising medical inflation. This includes improving the price transparency of professional fees within the healthcare industry, as well as finding opportunities to analyse data to allow better scrutiny of unusually high bills, he said.
The five IP insurers represented by LIA are AIA, Aviva, Great Eastern Life, NTUC Income and Prudential.
According to the MediShield Life Review Committee, about 60 per cent of Singaporeans have purchased Integrated Shield Plans, which consist of MediShield and a top-up portion. The plans will continue to be integrated with MediShield Life in future, the committee said.
The committee has recommended that the Government work with the insurance industry to develop key features for a standardised Integrated Shield Plan, targeted at Class B1 level coverage. This will give Singaporeans an option for enhanced coverage beyond the basic MediShield Life level, it said.
In its report, the committee also suggested that the Government improve the current regulatory and accountability framework for IP insurers, including setting clearer guidelines and rules for insurers and rules for insurers in the selling and renewing of IPs and enhancing responsible selling requirements.