Severely disabled want to be included in annuity scheme
By Valarie Tan, Channel NewsAsia | Posted: 10 September 2007 2059 hrs

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SINGAPORE : The severely disabled do not want to be totally excluded from buying compulsory annuities when they turn 55.

Even as they welcome the possible exemption, they hope the government will give them an opt-in option, and allow them to tap into the monthly payouts at an earlier age, since most do not expect to live till 85.

Muscular dystrophy has weakened John Lee's body, but the 50-year-old is determined to stay productive.

John earns S$500 a month as a data entry clerk at Bizlink. But he knows this will not last forever.

He has already developed complications such as diabetes and breathing problems. And doctors say it is unlikely he will live till 85.

John said, "They told me 'I don't think you can live that long'. Especially those handicapped people... because of the sickness and medical causes... from my own observation... I think I won't live till 85."

John said he has about S$20,000 in his Central Provident Fund savings, and he has plans to write to CPF to draw down the funds at an earlier age if he cannot work anymore.

Doctors say there are currently no exact figures on how many Singaporeans are down with severe disabilities such as muscular dystrophy.

But they say these medical conditions are extremely rare in Singapore.

The lifespan of these patients are significantly reduced by complications such cardiac arrest, diabetes and breathing difficulties.

Still, people like John welcome the annuity scheme, which can come in handy when they are no longer able to work.

But he hopes the payouts can be brought forward to when he turns 70 or even earlier.

Leo Chen Ian, President, Disabled People's Association, said, "People who are severely disabled, people with muscular dystrophy cases, seriously disabled people in terms of paraplegics... their lifespan is not as long as your average lifespan.

"It's important for people with disabilities, with limited lifespan, be exempted from this scheme because they will definitely not be able to benefit from drawing out this annuity. It's very obvious that they can't live beyond the age of 85."

Their suggestion to the government is to exempt the severely disabled, but allow them to opt into the scheme.

The Disabled People's Association also hopes the government will put in place a sliding rule system based on the various disabilities and lifespans, and allow these people to draw down from the annuity payouts at an earlier stage.

BizLink said it would include these and other suggestions in its report to the Manpower Ministry. - CNA/ms