ElderShield to be revamped with more payout, extended coverage
By Hasnita A Majid/Margaret Perry, Channel NewsAsia | Posted: 25 February 2007 2043 hrs

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SINGAPORE: More payout for the ElderShield scheme can be expected by year's end.

Monthly claims will be increased and coverage extended, says Health Minister Khaw Boon Wan.

A rider scheme will also be introduced.

All these changes will help Singaporeans cope better with any disability.

Mr Khaw was speaking at a dialogue session after a tour of the Pioneer division of the West Coast GRC on Sunday. This was the first ministerial walkabout this year.

The ElderShield scheme was introduced five years ago by Mr Khaw's predecessor, Lim Hng Kiang, to help the elderly with disabilities.

Mr Khaw described the scheme as "very good" and said that it would now be revamped.

Firstly, coverage under the basic ElderShield scheme will be extended to six years from the current five years, and payout raised to $400 a month instead of $300.

But that would mean a slight increase in premiums, which is being worked out, as the revamped scheme will see almost $30,000 paid to the insured compared to $18,000 currently.

Secondly, for those who wish to have better coverage, they can opt for a rider scheme.

"There would always be people who find that $400 is not enough, $1,000 would be better. But I also hope that if they accept that it's $1,000, then the premiums would be higher then if it's just $400. Then you buy riders, and again we will allow Medisave to be used to pay for some of the premiums, if not the entire premiums, because there's usually a limit to the withdrawal limit," said Mr Khaw.

The Minister hopes the market will come up with a range of products so that potential insurers will have options.

As for MediShield, Mr Khaw has said that he plans to get more housewives and young children covered.

The Minister is also looking at making MediShield an automatic scheme for babies, to ensure that they are covered under the insurance scheme at birth or from the time they enter Primary 1.

But for those who do not want to be included, they can opt out anytime.

The automatic MediShield scheme for babies will be implemented as soon as possible.

Speaking to reporters at a separate community event, Minister Lim Boon Heng said the changes to ElderShield are timely.

Mr Lim, who overseas the Ministerial Committee on Ageing, said the current ElderShield benefits are useful but do not seem to be good enough.

He added that Minister Khaw had been examining the insurance scheme for a year and knows what can be sustainable for the long term.

"I hope that as the years go by and we get more experience with ElderShield, we'll be able to make it more attractive and more value for money, as far as the residents are concerned," said Mr Lim, who is the Minister in the Prime Minister's Office. - CNA/ir